Last Month Online Distribution Sales Up 20.2%... Continued Growth in 'Food Delivery and e-Coupons'

Ministry of Trade, Industry and Energy, July Major Retailers' Sales Trends

Expansion of Online Grocery Shopping and Increased Demand for Seasonal Home Appliances

Offline store visits decrease due to strengthened quarantine measures, with a tendency for bulk purchases per visit increasing

[Sejong=Asia Economy Reporter Joo Sang-don] Last month, online distribution sales grew by more than 20%, maintaining double-digit growth. In particular, sales growth continued in service sectors such as food delivery and e-coupons.

According to the Ministry of Trade, Industry and Energy on the 26th, sales of major distribution companies in July rose 13.1% year-on-year, with both offline (7.0%) and online sectors (20.2%) continuing their growth trends.

By product category, offline sales showed continued strong performance in overseas famous brands (18.8%) and children’s & sports products (15.6%), while sales in home appliances & culture (15.0%) increased due to rising demand for seasonal home appliances. On the other hand, sales in fashion & accessories (-5.6%) declined due to reduced outings following strengthened quarantine guidelines.

Online sales maintained an upward trend in services & others (44.9%) such as food delivery and e-coupons, and food (30.7%), with home appliances & culture (28.0%) also increasing. Sales in children’s & sports (-2.8%) continued to decline compared to last month.

An official from the Ministry of Trade, Industry and Energy explained, "As online food delivery orders and e-coupon usage expand and online grocery shopping becomes common, major online distribution companies’ sales rose 20.2% due to strong sales of seasonal home appliances amid summer heat. Offline sales grew 7% overall, with department store growth slowing somewhat due to reduced store visits from strengthened quarantine management, but large supermarkets and SSMs showed strong sales in food categories, seasonal home appliances, and processed beverages."

Due to strengthened quarantine management, the number of store visits decreased, and the tendency for bulk purchases per visit increased. Across all offline retail types, the number of purchases fell 2.0% year-on-year, but the purchase unit price rose 9.2%. In particular, department stores saw an 8.1% decrease in purchase frequency but a 17.3% increase in unit price.

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