Lotte ON and SSG.com to Host Year-End 'Gift Festival' Worth 500 Billion KRW

Lotte and Shinsegae's integrated online malls, Lotte ON and SSG.com, have launched the largest year-end events. With the resurgence of COVID-19 and the surge in demand for contactless gift-giving during the year's final peak season, they are strengthening their e-commerce events. The total volume prepared by both companies for the year-end events amounts to 500 billion KRW.

◆ Event Volume Reaches 500 Billion KRW

On the 13th, Lotte ON announced that it will offer up to 30% discounts on gift items, party supplies, and more until the 22nd, targeting the year-end season. Including the 'Beauty Awards' and 'Brand Awards' events starting the same day, the total volume reaches 300 billion KRW. Lotte ON stated, "With the strengthening of social distancing measures, we have set up a separate Christmas gift corner," adding, "We also suggest recommended products for customers who are unsure about what gifts to choose." They will also provide up to 20% discount coupons in three rounds.

For home party supplies, they have prepared Christmas atmosphere items such as trees, candles, and tableware. They also offer meal kits and steak meat that can be easily prepared. Until the 26th, over 1,000 Toys "R" Us products for children's gifts will be sold at up to 50% discount.

SSG.com is also conducting a 200 billion KRW discount event from the same day until the 26th to capture the year-end contactless gift-giving demand. During the event, they will introduce five types of 'Wonderful Gift Boxes' mainly composed of toys related to popular Disney content such as Frozen and Toy Story. Purchasing the gift boxes is up to 45% cheaper than buying individual products. Disney paper fireworks, a home party accessory, will be given as a free gift. Special prices will be offered on Marvel, Pixar, Princess, and Star Wars products carefully selected by a buyer specializing in children's goods. Popular products perfect for gifts, ranging from fashion and beauty to baby and pet supplies, will be available. In addition to product discounts, coupon, points, and free gift events will also be held.

◆ Increased Demand for Gift-Giving Due to COVID-19 Spread

Recently, demand for contactless gift-giving has surged again. Last month, with the phased return to normal life (With COVID-19), there were expectations for the resumption of face-to-face year-end events, but as the COVID-19 spread worsened again, people refrained from private gatherings to minimize infection risk and increased sending Christmas and year-end gifts contactlessly. Using gift-giving services allows sending gifts without knowing the recipient's address, only their phone number. At SSG.com, gift-giving sales from the 1st to the 10th increased by 66% compared to the same period last year. Lotte ON also said, "Aligned with the expanding contactless culture, gift-giving sales and the number of buyers are steadily increasing."

The industry expects a significant increase not only in year-end gifts but also in year-end home party supplies and food items that replace dining out, and is preparing accordingly. An e-commerce industry official said, "As more people postpone reservations for dinner at fancy places with acquaintances and choose to spend time with family, the demand for related products has increased recently," adding, "We are expanding the event period until around Christmas and focusing on offering product assortments that enable a party atmosphere and meals at home comparable to parties held outside."

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