Home Shopping Reduces Burden of Large Volumes... CJ O Shopping Starts Shared Delivery
Split Delivery of Ordered Products to 2-3 Locations
Targeting Millennials Including 1-2 Person Households
[Asia Economy Reporter Cha Min-young] CJ ENM O Shopping Division announced that it will launch the ‘Nanum Delivery’ service, which splits ordered products into 2 to 3 shipments, starting on the 16th. This is aimed at attracting customers who hesitated to purchase products due to large quantities and the millennial generation with a high proportion of single-person households.
The service will be available from the 16th on the ‘Nanum Delivery Service Dedicated Page’ of the online mall CJmall. Customers can select desired products from about 40 designated items and specify up to three delivery addresses depending on the product.
For example, when clicking on the ‘Spam Mild’ product consisting of 20 units on the CJmall Nanum Delivery page, customers can choose between ‘Split Purchase’ (Nanum Delivery) and ‘Direct Purchase’ (regular delivery). By toggling the split purchase switch, customers can specify additional delivery addresses besides the default one and receive 10 units of Spam at each delivery location. The ‘Kyungdong Navien 1mm Ultra Slim Hot Water Mat’ broadcast on the TV home shopping channel ‘CJ O Shopping’ at 10:55 PM on the 18th will be the first product to apply the Nanum Delivery service. Customers can receive the two hot water mats at separate delivery addresses.
Using the Nanum Delivery service incurs an additional shipping fee of 2,300 KRW (for two locations), but some products sold on TV home shopping can be used free of charge until the end of this year. CJ ENM O Shopping Division plans to operate the ‘Delivery Address Nanum Delivery’ service until early next year and then add a ‘Delivery Date Nanum Delivery’ service in the first half of the year, allowing customers to split not only delivery addresses but also delivery dates.
The Nanum Delivery service was planned considering that many customers hesitate to purchase TV home shopping products that come in multi-unit sets. According to an internal survey conducted by CJ ENM O Shopping Division at the end of last year, 55.5% of respondents hesitated or gave up purchasing due to the burden of product quantity.
Attention was also paid to the fact that many millennials, the main consumer group, live alone. In 2020, the number of single-person households in Korea was about 6.17 million, accounting for 30.3% of all households. This is nearly double the 15.5% recorded in 2000. Among them, single-person households aged 20 to 40, the main consumer group, number 1.83 million, accounting for 30% of all single-person households.
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Gu Cheong-hwan, SCM Planning and Operations Team Leader of CJ ENM O Shopping Division, who planned the service, said, “We will enhance differentiated logistics competitiveness by implementing customer convenience-centered services beyond simple speed competition.”
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