Premium Hanwoo Beef and Wine... Reasons for the Popularity of Expensive Seol Gifts

[Asia Economy Reporter Yuri Kim] Amid the non-face-to-face Lunar New Year, department store gift set sales recorded an all-time high. Premium gift sets, including top-quality Hanwoo beef, were more popular than ever, as people sent their heartfelt feelings through gifts due to their inability to visit their hometowns. It is also analyzed that the temporary increase of the gift limit for agricultural and livestock products to 200,000 KRW under the Improper Solicitation and Graft Act during the COVID-19 situation had an impact.

Shinsegae Department Store announced that sales of gift sets from January 4, when pre-orders began, to February 5 increased by 51.3% compared to the previous year. In particular, sales of gift sets priced over 100,000 KRW nearly doubled. It is analyzed that more people sent premium products to express their feelings instead of visiting their families in their hometowns. The government’s temporary increase of the gift allowance for agricultural and marine products to 200,000 KRW for Lunar New Year also influenced this trend. The growth rates by major categories were meat (Hanwoo) 51.8%, seafood 45.4%, agricultural products 53.3%, health and tea 58.2%, and alcoholic beverages 48.4%. Pre-orders conducted from January 4 to 24 also recorded a high performance of 79.5%. Popular items included 'Anseong Matchum Hanwoo Happiness (130,000 KRW)', 'Shinsegae Sodam Apple and Pear Set (140,000 KRW)', and 'Suhyup Special Selection Gulbi Obok (150,000 KRW)'. The 'Luxury Hanwoo Dabok (550,000 KRW)', which used 1++ top-grade Hanwoo and was priced high, saw a 39% increase in sales compared to last year. The 'Suhyup Yeonggwang Chamgulbi Happiness (300,000 KRW)' also saw sales increase by 78%.

Hyundai Department Store also reported that sales of Lunar New Year gift sets from last month’s 4th to this month’s 5th rose by 48.3% compared to the previous year. Sales of major product groups such as Hanwoo (55.8%), fruit (52.3%), gulbi (51.4%), and health functional foods (49.5%) surged. Lotte Department Store analyzed that many consumers turned their attention to premium gift sets, with ultra-high-end wine gift sets priced between 500,000 and 4,000,000 KRW selling over 70%.

Department stores are strengthening various promotions during the holiday period to suit the special situation of a non-face-to-face Lunar New Year. Targeting Valentine’s Day, the last day of the holiday, they are introducing various chocolate products. Hyundai Department Store’s food specialty online mall 'Hyundai Food Hall ToHome' is holding a 'Love Festa' until the 14th, selling over 50 products including chocolates, macarons, and caramels. They introduced items such as 'Valentine Macaron Cupid Set (12,350 KRW)' from 'Patissier Madam Jeong', a premium dessert brand of the popular dessert cafe 'The Gami' in Paju, Gyeonggi Province; 'Godiva Gold Collection 3 Types (22,000 KRW)', a premium Belgian chocolate brand; and 'Tiramisu Whole Cake (31,350 KRW)' from tiramisu specialty store 'Bistecca'.

Promotions targeting the new school semester are also underway. Lotte Department Store will offer various benefits both online and offline along with spring new semester event products until March 4. The North Face Kids and Hazzys Kids are discounting backpack sets. The North Face Kids Wide Protection School Pack is discounted by 10% to 143,100 KRW, and the Hazzys Kids Royal Check Backpack Set is discounted by 30% to 139,300 KRW. Fila offers an L Holder set (8 types) with backpack purchases, and with Carbon backpack purchases, an L Holder set (8 types) and washable mask set (mask, strap, filter) are given in limited quantities per store. North Face White Label is holding a 10% discount event on new semester bag purchases (5 styles) until March 31.

An official from the distribution industry said, "This Lunar New Year, with movement restricted due to COVID-19 and Valentine’s Day coinciding, customers who did not visit their hometowns during the holiday are expected to prepare for Valentine’s Day and the new semester, so we prepared events in advance." He added, "As premium gifts gained popularity during the non-face-to-face Lunar New Year, consumption patterns change depending on the situation, so we are closely monitoring them."

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