Lotte Department Store Launches 'Baro Delivery' Service for Receiving Products Within 3 Hours After Online Order
[Asia Economy Reporter Seungjin Lee] Lotte Department Store has introduced the industry's first "order and receive immediately" service.
On the 29th, Lotte Department Store announced the launch of the "Baro Delivery" service, which allows customers to receive products ordered online within 3 hours. "Baro Delivery" is a service where if consumers order products before 4:30 PM on the same day through the online Lotte Department Store Mall, Lotte On, or Lotte On, the main store or Jamsil branch of Lotte Department Store prepares the products within 1 hour and delivers them within a total of 3 hours.
The service is available throughout the Seoul area, covering 90,000 products from about 400 department store brands. Delivery costs are waived with a free shipping coupon for purchases over 100,000 KRW on Lotte Department Store Mall for single items. On Lotte On, delivery costs are 10,000 KRW for purchases under 100,000 KRW, 5,000 KRW for purchases over 100,000 KRW, and free for purchases over 500,000 KRW. Unlike regular courier services, products are quickly delivered in shopping bags as if purchased directly from the department store, making it especially useful for gifts.
In fact, an analysis of customers using Lotte Department Store's quick service over the past three months (March to May) showed that 26% of purchased products were accessories such as handbags and jewelry, 25% were cosmetics, and 20% were women's fashion, with over 50% being popular gift items. The majority of users were in their 20s and 30s, with 42% in their 30s and 32% in their 20s. Last year, the number of uses in the Seoul area exceeded 3,000 cases.
Earlier, in April, Lotte Shopping introduced a Baro Delivery service that delivers within 2 hours after ordering at Lotte Mart's Seoul Junggye branch and Gyeonggi Gwanggyo branch.
Lotte Department Store plans to position "Baro Delivery" as one of the core strategies of the 'O4O (Online for Offline)' approach connecting online and offline stores, aiming to deliver seasonal new products fastest while significantly reducing consumer costs to win customers' hearts.
To commemorate the launch of the Baro Delivery service, Lotte Department Store is offering free shipping coupons for purchases over 100,000 KRW on all products on Lotte Department Store Mall and items on the Lotte On Baro Delivery event page until July 10. Additionally, customers using the Baro Delivery service during this period will receive a multi-purpose tarpaulin bag as a gift.
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Kim Myung-gu, head of Lotte Department Store's Online Business Division, said, "Although we started the Baro Delivery service in Seoul, we plan to expand the service area to major cities nationwide in the future," adding, "We will continue to pursue the O4O strategy connecting online and offline to enhance customer shopping satisfaction."
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