LF Hazzys Partners with 'Shopee' to Target Mongolian MZ Generation

LF's casual brand 'Hazzys' has signed a business agreement with Shopee, Mongolia's largest e-commerce platform, to target the Mongolian online market. The photo shows the business agreement ceremony.

[Asia Economy Reporter Seungjin Lee] LF announced on the 13th that it has signed a strategic partnership with Mongolia's largest e-commerce platform, Shopee, to target the Mongolian online market for its flagship brand, Hazzys.

Through this business agreement, Hazzys and Shopee plan to pursue comprehensive cooperation in various fields such as product planning and marketing, targeting the Mongolian MZ generation (Millennials + Generation Z), which has recently emerged as a core consumer group driving Mongolia's economic growth.

Launched in 2017, Shopee is Mongolia's largest e-commerce platform rapidly growing based on a young and high purchasing power customer base aged 18 to 40. As of 2020, over 1,000 brands across various product categories including fashion apparel and accessories, beauty, living, and food have joined the platform. Shopee is also expanding its business by partnering with offline stores. The number of merchants joining this year is expected to increase by about 90%, and transaction volume is anticipated to grow by approximately 100% compared to the previous year.

The Mongolian market that Hazzys is entering through Shopee has a population of 3.3 million, which is not large in scale, but 64% of the total population is composed of young people under 35, making it a market with high growth potential. According to the Korea Trade-Investment Promotion Agency (KOTRA), Mongolia's economic growth rate has steadily maintained 5-6% since 2017, except for 2020 when the COVID-19 pandemic severely impacted the world. Additionally, with the rapid increase in internet usage and smartphone penetration recently, the share of e-commerce is also surging.

Hazzys expects to expand customer touchpoints based on the vast data and know-how accumulated by Shopee through consumer communication in both PC and mobile environments. By adding its success know-how in the Asian market, Hazzys plans to lead local fashion trends and further accelerate the pace of its recent global territorial expansion.

Kim Sang-gyun, Vice President and Head of LF Fashion Business, explained, “Through close cooperation with Shopee, which has e-commerce know-how and insights in Mongolia, we will be able to more effectively introduce Hazzys' unique sensibility and style to the young and attractive Mongolian market.” He added, “We will continuously seek opportunities to meet more overseas customers and strengthen Hazzys' position as a global brand leading lifestyle.”

Previously, Hazzys has established its presence in the Asian market by consecutively entering China in 2007, Taiwan, Thailand, Vietnam, and Singapore. In particular, it operates about 470 stores in China alone and is expanding customer touchpoints by increasing the number of stores in major cities in Vietnam. Hazzys has also accelerated its overseas online market development by opening an official brand mall on Shopee Singapore. Furthermore, it is advancing as a global brand by opening pop-up stores in world fashion hubs such as Paris, France, and London, UK.

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