Homeplus, One Month After Renewal... Sales at 7 Stores Jumped About 46%

Homeplus Ganseok Branch.

[Asia Economy Reporter Jeon Jinyoung] Homeplus announced on the 22nd that sales increased by about 46% compared to the same period last year for one month after the renewal opening of seven stores.

Homeplus renewed and reopened a total of seven stores, including World Cup Branch, Ganseok Branch, Incheon Songdo Branch, Jakjeon Branch, and Incheon Cheongna Branch on the 17th of last month, followed by Gajwa Branch and Inha Branch on the 3rd. Over the course of one month, the purchase amount per customer at the seven stores increased by about 40% compared to the same period last year, showing a significant rise. Monthly sales at Ganseok Branch and World Cup Branch also increased by about 80% compared to the same period last year, and sales per customer in the region increased by about 20%, indicating that these stores are driving regional growth.

Ganseok Branch, considered a representative renewal store, saw about a 30% increase in the number of customers. The complete relocation and reorganization of fresh food, along with luxurious interior design, have received positive feedback for providing a pleasant shopping experience.

In the case of Ganseok Branch, online sales have also performed well in proportion to offline sales after the renewal. Online sales increased by 21% and 23% compared to the same period last year and the previous month, respectively. Sales of ‘Barley-fed Pork Belly,’ ‘Directly Delivered Seongju Melon,’ and ‘Trusted Nonghyup Safe Rice’ increased by 317%, 296%, and 298%, respectively, compared to the same period last year.

The most noticeable change after the renewal of the seven stores is the increase in MZ generation (Millennials + Generation Z) customers. The number of customers increased across all age groups, with particularly high growth rates of 37% and 17% among young customers in their 20s and 30s, respectively, compared to other age groups.

The expansion of ‘Matkimcharim (Omakase)’ and single-serving packaged products, which have recently gained popularity among the MZ generation, had an impact. This aligned well with consumption trends that emphasize experience and communication in food, as well as the increase in single-person households.

The meat and deli categories, which include ‘Order-made Steak,’ where various meat products are trimmed and prepared according to customer orders, and ‘Fresh To Go,’ offering custom salads with menus and reasonable prices comparable to salad specialty stores, saw sales increase by 74% and 60%, respectively, compared to the same period last year after opening.

Inha Branch, located near a university and officetels, is frequently visited by single-person household customers. The ‘Dining Street,’ which expanded refrigerated and frozen convenience foods and introduced single-serving meal kits, offers customers a variety of food options. Additionally, single-serving packaged products are handled in fresh and grocery items, generating steady demand. After the renewal, meal kit sales at Inha Branch increased by about 387% compared to the same period last year over two weeks.

Stores renewed as ‘Homeplus Mega Food Market’ increased the proportion of food products with high offline demand and reduced the proportion of non-food items, while reflecting customer trends in daily necessities and interior goods, transforming into a space of selection and concentration.

First, fresh food includes tropical fruits, herbs, exotic mushrooms, premium livestock and seafood, and 700 kinds of world sauces available at ‘World Sauce,’ all purchasable in one place. The ‘Food To Go’ corner sells about 100 products, including salmon steak, kaisendon, unagidon, futomaki rolled with 11 diverse ingredients, and roast chicken baked whole in the oven with domestic fresh chicken and quinoa.

With the introduction of ‘The Wine Cellar,’ showcasing over 1,200 types of wine, whiskey was also strengthened. Notably, Homeplus whiskey sales in 2021 increased by 47% compared to the previous year, and the number of whiskey buyers in their 20s and 30s increased by 71% during the same period. Accordingly, the number of whiskey products in renewed stores was doubled. Additionally, in line with whiskey trends, the selection was reorganized from popular blended whiskey to rare single malt whiskey. After the renewal, whiskey sales increased by 489% at World Cup Branch, 444% at Incheon Songdo Branch, and 393% at Ganseok Branch compared to the same period last year.

Meanwhile, Homeplus has expressed its ambition to become a more beloved brand through the ‘Twenty-five Years Old Fresh Thoughts, Homeplus’ brand campaign celebrating its 25th anniversary. Furthermore, it plans to actively continue investments by renewing and opening more than 10 additional ‘Homeplus Mega Food Market’ stores within the year.

Oh Yonggeun, head of the Homeplus Store Strategy Team, said, “Incheon is a region with many Homeplus customers and is expected to see an increase in population inflow from non-metropolitan areas due to commercial district development and redevelopment. To repay customer support and enhance brand image, we focused on renewing the Incheon area.” He added, “Riding on the strong performance in Incheon, we will continue renovations to solidify Homeplus’s trendiness and create a foundation for a changing and growing Homeplus.”

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