"Entry of Large Corporations into Used Car Sales: 53.6% of 2030 Support vs 9.1% Oppose"

63.5% Have Experience Buying Used Products, Quality and Price Considered When Purchasing
MZ Generation Purchase Channels: Mobile/Online 55.3% vs Traditional Markets 1.2%
Support for Easing Large Mart Operating Regulations at 48.0%, Over 4 Times Higher Than Opposition at 11.6%

[Asia Economy Reporter Kim Hyewon] Amid divided opinions on whether domestic automakers such as Hyundai Motor Company should enter the used car sales market, it was found that the 20s and 30s age groups have more than five times as many supporters as opponents.

On the 13th, the Federation of Korean Industries (FKI) commissioned Mono Research, a market research specialist, to conduct a survey on distribution issues among the 20s and 30s generations. The results showed that more than half (53.6%) supported the recent issue of domestic automakers participating in the used car sales market. Opposition was only 9.1%. Among them, 15.9% were strongly in favor, 37.7% in favor, 7.8% opposed, and 1.3% strongly opposed. Those with no opinion accounted for about 37.3%. The FKI analyzed that this reflects the hope of the 20s and 30s generations for domestic automakers to participate in the used car sales market and improve the quality of used cars in Korea.

63.5% of the 20s and 30s generations reported having purchased used products, confirming that the trading of secondhand goods has recently become more active. When asked about the top priority considerations when purchasing used goods among those who had experience buying secondhand items, the responses were in order: reliable quality (37.4%), low price (28.0%), trustworthy seller (27.0%), and purchasing near their residence (7.6%).

Only 1.2% of the 20s and 30s generations usually purchase daily necessities at traditional markets

Among the 20s and 30s generations, more than half (55.3%) mainly purchase daily necessities through mobile (37.1%) or online (18.2%) channels. Next were large supermarkets (19.3%), convenience stores (15.3%), and supermarkets (7.3%) in that order. Only 1.2% of the 20s and 30s generations primarily use traditional markets when buying consumer goods, which is an extremely low level. This is interpreted as reflecting the reality that traditional markets are failing to attract the 20s and 30s generations who lead consumption trends centered on mobile and online platforms.

Among the 20s and 30s generations who mainly use mobile and online transactions, when asked about their intention to increase mobile and online purchases in the future, almost all (96.7%) responded that they plan to maintain (53.2%) or increase (43.5%) their current level. Only 3.3% said they would reduce mobile and online transactions compared to the current level.

When asked about the types of products purchased by the 20s and 30s generations who mainly use mobile and online purchases, 73.2% said they buy all kinds of products including delivery food, food and beverages, fashion products, home appliances, and household goods. About 20% responded that they purchase all products except those requiring freshness management such as food and beverages via mobile and online. Regarding the advantages of mobile and online purchases, the most common answer was that purchases can be made anytime (49.5%). This was followed by the ability to buy at a low price (21.8%), the ability to compare various products (15.9%), and the ability to purchase anywhere (12.8%).

Offline retailers such as large supermarkets should seek new opportunities through experiential and complex formats

Regarding the desirable business direction for offline retailers such as large supermarkets in a distribution market where online shopping has surged, responses favored exploratory stores where customers can experience products before purchasing online (36.2%) and complex stores where leisure activities can be enjoyed simultaneously (31.9%). Next were specialized stores focusing on specific products such as fresh food (22.7%) and unmanned stores (9.2%).

Regarding the bill to ease business regulations on large supermarkets, support (48.0%) was more than four times higher than opposition (11.6%). Strong support was 15.5%, support 32.5%, opposition 8.4%, and strong opposition 3.2%, with 40.4% responding that they did not know or had no opinion. Based on these results, the FKI claimed that the 20s and 30s generations hope that offline retailers will play a key role in regional distribution through experiential and complex strategies in an online transaction-centered distribution market, and generally support easing business regulations on large supermarkets.

Yoo Hwan-ik, head of the Corporate Policy Office at the FKI, said, "It is time to establish distribution policies suitable for the changing distribution market environment, such as the increase in mobile, online, and used goods transactions centered on the 20s and 30s generations," adding, "Now, the path should be paved for domestic automakers to participate in the used car sales market in line with the expectations of the public, including the 20s and 30s generations."

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