The Handsome.com, Annual Sales Jump 67%
[Asia Economy Reporter Yujin Cho] The fashion company Hansome's online mall, ‘The Hansome.com,’ saw its annual sales surge by 67% due to a rapid increase in online members.
Hansome, a fashion specialist company affiliated with Hyundai Department Store Group, announced that the total sales of The Hansome.com from January to the end of September this year reached 125 billion KRW, a 67% increase compared to the same period last year. This surpassed last year's total sales (110 billion KRW) in just nine months.
The segmentation of the ultra-high-value customer (VIP) tier, which accounts for 70% of total sales, and the strengthening of specialized services drove the overall sales growth. From January to September this year, VIP sales increased by 128% compared to the same period last year, and the number of VIP members also grew by 112% during the same period.
Earlier this year, Hansome revamped the VIP tier of its online mall. Previously, the VIP tier was operated in two stages: Mania (5 million to 10 million KRW and above) and Star (10 million KRW and above), and they newly added the ‘The Star (top 100 customers)’ tier for the highest 100 spenders.
Additionally, as a specialized service exclusively for The Star tier customers, three dedicated consultants have been assigned to provide prompt and personalized consultation and services not only during daytime hours (9 AM to 6 PM) but also in the evening (6 PM to 9 PM). This is an unprecedented service in the domestic fashion industry.
Moreover, to ensure that products ordered by The Star tier customers are delivered safely and quickly, the entire delivery service was improved. A separate inspection process was added for all deliveries to check for product and package defects, and the number of times products are shipped from the logistics center was increased from 8 to 10 times per day, adding two more shipments daily for faster delivery.
These efforts have borne fruit, with the number of orders from The Star tier customers in the third quarter of this year increasing by 27% compared to the first quarter, and the average purchase amount per customer also rising by 49% during the same period.
Furthermore, changing the ‘product planning method’ to showcase only products optimized for the online shopping environment contributed to the increase in VIP sales and membership.
A Hansome official said, “Since the spring-summer season, we have been separately planning online products based on customer online purchase data such as design, color, and size. Accordingly, we increased basic items like knits, t-shirts, and skirts by about 30% in the collections released online, and boldly applied bright colors like mint and lime, as well as unique prints and materials, targeting younger customers.”
This change in planning also led to an expansion of VIP customers. In the first half of this year alone, about 1,500 regular customers were upgraded to VIP status, with young customers in their 20s and 30s accounting for more than half, at 56%.
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Hansome plans to continue expanding premium services and differentiated benefits for VIPs. In the first half of next year, they will offer free premium laundry and repair services for purchased products and plan to introduce a personal shopper service where professional consultants assist customers with individual styling.
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