Home&Shopping "6 Billion KRW Paid to 60 Small and Medium Partners through Performance Sharing System"

49 Billion KRW Support Provided to 522 Partners Since 2013
Compensating Losses of Partners Struggling with Broadcast Sales Efficiency During COVID-19 Period

Kim Ok-chan, CEO of Home&Shopping

[Asia Economy Reporter Kwak Min-jae] Home&Shopping announced on the 10th that it will implement a performance-sharing system worth a total of 600 million KRW to support the stable business activities of small and medium-sized enterprise (SME) partners.

Through the performance-sharing system, Home&Shopping plans to provide 10 million KRW each to 60 partner companies, totaling 600 million KRW. The company explained that this is to compensate for losses of partners struggling due to poor broadcast sales efficiency and to support SMEs and small business owners facing crises caused by COVID-19.

Previously, Home&Shopping has been implementing a performance-sharing system on excess profits since 2013. The system started as a program that refunds 10-20% of excess profits compared to annual targets in cash to excellent SME partners with high sales contributions. Since 2016, the approach shifted from returning excess profits to high-contributing partners to compensating losses of companies experiencing poor broadcast sales efficiency. From 2013 to the present, a total of 4.9 billion KRW has been provided to 522 SME partners.

Kim Ok-chan, CEO of Home&Shopping, said, “We have implemented the performance-sharing system again this year to overcome difficulties together with SME partners facing challenging business environments due to the prolonged COVID-19 pandemic. We will continue to strive to provide practical support to small and medium-sized enterprises.”

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