Lotte Duty Free Enters Overseas Direct Purchase Business... Launches Direct Sourcing Online Mall

Lotte Duty Free Opens Direct Sourcing Online Mall 'LDF BUY'
Industry's First Entry into Overseas Direct Purchase Business, Growing from 'Duty-Free Shop to Travel Retailer'
Lotte Duty Free's Australian Subsidiary Directly Operates... Selling Over 200 Products from 13 Health Functional Brands

[Asia Economy Reporter Yuri Kim] Lotte Duty Free has leveraged its overseas store logistics infrastructure and product sourcing capabilities to become the first in the industry to enter the overseas direct purchase (direct buying) business.

On the 21st, Lotte Duty Free announced the launch of the overseas product direct sourcing online mall 'LDF BUY'. Through this initiative, Lotte Duty Free plans to expand beyond the duty-free business into the 'travel retail' sector.

Since 2019, Lotte Duty Free's Australian subsidiary, which operates four stores in the Australia region, has been responsible for product sourcing, platform operation, product sales, and providing direct delivery services to consumers residing in Korea. The products handled include over 200 items from 13 well-known Australian health food brands such as Dr. Natural, Nutra-Life, and Spring Leaf. Because it is an overseas direct purchase, a personal customs clearance code is required when purchasing products, and purchases under USD 150 are exempt from customs and value-added tax.

Lotte Duty Free stated, "We plan to expand product sourcing to other countries where we have overseas stores and broaden product categories to cosmetics, fashion, watches, and more," adding, "We aim to develop the platform into an online marketplace where not only domestic customers but also overseas consumers can make purchases."

Lotte Duty Free cited 'product quality assurance' and 'customer service management' through direct sourcing of all products as the differences between LDF BUY and existing overseas direct purchase sites. A Lotte Duty Free official said, "Unlike other overseas direct purchase sites where sourcing is done by individual sellers, LDF BUY is directly managed by Lotte Duty Free's Australian subsidiary for product sourcing," adding, "Customers can expect reliable products at more affordable prices." They further stated, "LDF BUY users can purchase products with confidence without needing to verify authenticity, and Lotte Duty Free guarantees after-sales service in case of any issues."

To celebrate the launch of LDF BUY, various events have been prepared. Lotte Duty Free is offering a 50% discount on shipping fees for new members in celebration of the grand opening of LDF BUY. There is also a 50% discount event on joint health products and a 10% discount event on themed products such as basic nutrition and immunity.

Meanwhile, Catherine Jane Rayper, the Australian Ambassador to Korea who took office in January, also sent a congratulatory message for the launch of LDF BUY, which newly connects Australia and Korea. Ambassador Rayper said in a congratulatory video, "I am pleased that Korean consumers are interested in Australia's clean and safe functional foods," adding, "This new overseas direct purchase platform is significant as it provides Korean consumers with easier access to excellent Australian brands."

Lee Gap, CEO of Lotte Duty Free, said, "Based on Lotte Duty Free's local logistics infrastructure and product sourcing capabilities in Australia, we can offer high-quality products to domestic consumers at affordable prices," adding, "The convenience for Australian direct purchase customers will greatly increase." He continued, "Lotte Duty Free will continue to pursue business diversification and grow as a 'travel retailer,' not just a simple duty-free shop."

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