Impact of 'Kosepe' Boosts November Retail Sales by 6.3%... Online Sales Up 17%

Ministry of Trade, Industry and Energy, November Sales Summary of Major Retailers

On the 4th of last month, during the ongoing '2020 Korea Sale Festa (Kosepe)', the largest shopping festival in Korea, citizens are seen visiting event booths in front of Seoul Station. Photo by Moon Honam munonam@

[Asia Economy Reporter Moon Chaeseok] Major online retailers' sales continued to increase last month.

On the 23rd, the Ministry of Trade, Industry and Energy announced that the 'November retailer sales' survey showed a 6.3% increase compared to the same month last year. Online sales increased by 17%, while offline sales decreased by 2.4%.

The Korea Sale Festa, held from the 1st to the 15th of last month, influenced the increase in online sales. The expansion of non-face-to-face consumption due to the novel coronavirus disease (COVID-19) also contributed to the rise in online sales. Sales of fresh food and health functional foods increased.

By product category, sales increased in food (46.4%), home appliances and electronics (25.6%), and daily necessities and furniture (18.6%).

Although the unit price of offline purchases rose by 8.1%, the number of store visits for purchases decreased by 9.8%, resulting in an overall 2.4% decline in offline sales.

Offline retailers saw sales declines in large discount stores (-4.1%), department stores (-4.3%), and corporate supermarkets (SSM, -9.8%). Only convenience stores (3.3%) experienced growth.

The government explained that the decrease in department store sales was due to the widespread atmosphere of refraining from going out. Sales of fashion-related products such as women's casual wear (-25.2%), accessories (-24.8%), and men's clothing (-12.1%) declined, leading to an overall sales decrease.

An official from the Ministry of Trade, Industry and Energy stated, "Offline retailers also saw sales increase until early last month thanks to the Korea Sale Festa, but sales sharply declined after mid-last month due to the spread of COVID-19."

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