W Concept "This Year's Target Transaction Amount Approaching 300 Billion KRW"

Sales Increase 47% Despite Fashion Recession

[Asia Economy Reporter Yujin Cho] Online edit shop W Concept has shown significant sales growth this year despite the domestic fashion industry's downturn.

According to W Concept on the 16th, this year's sales (as of the end of last month) increased by 47% compared to the same period last year. During the same period, mobile app downloads and member logins also rose sharply by 66% and 51% respectively compared to the previous year, showing clear growth.

The transaction volume increased more than sixfold over five years from 2015 to 2019, with an average annual growth rate of 56%. Riding on this rapid growth, W Concept raised its target transaction volume from 250 billion KRW set earlier this year.

A W Concept representative stated, "We expect to achieve a transaction volume close to 300 billion KRW for the year." In online fashion shops, transaction volume refers to the total product sales amount, while sales revenue means the amount after deducting commission fees and coupon costs from the transaction volume.

The secret to W Concept's rapid growth lies in steady customer expansion. As of the first to third quarters this year, the number of members increased by 37% compared to the same period last year, with traffic evenly rising across all age groups from their 20s to over 50s.

As of the first half of the year, the main customer base, the 20s and 30s age group, maintained about 80% of total members, while the number of buyers in their 40s and 50s surged by 43% and 47% respectively compared to last year, expanding the customer base to the high-purchasing-power 40s and 50s age group.

The company is focusing on strengthening internal operations such as smooth platform management in line with expanding its customer base. Amid ongoing workforce reductions in the fashion industry due to the COVID-19 pandemic, W Concept increased new hires by more than 30% this year (January 1 to November 30) compared to the same period last year.

A W Concept representative said, "The unique tastes we propose, which are rarely seen on other platforms, are a major driving force behind W Concept's growth. Next year, we will continue to expand our core competencies by discovering designer brands and collaborating with tenant brands, while also focusing on IT development to enhance platform convenience and maintain customer trust."

This content was produced with the assistance of AI translation services.