Sseuk-On, Group Online 'Jeonjingi Base'
SSG.com and Lotte ON as Bridges for Group Products and Cultural Marketing
e-Commerce Strengths with No Time and Space Constraints and High Accessibility
Utilized as Test Beds for New Brands and Products in Marketing
SSG.com and Lotte ON are strengthening their roles as bridges for Shinsegae and Lotte Group products and cultural marketing. Utilizing the advantages of e-commerce, which has no constraints of time and space and offers excellent accessibility, they serve as test beds for new brands and new products of affiliated companies, while also being used as representative channels for group-level marketing.
According to the distribution industry on the 21st, SSG.com became a major sales channel after the launch of Emart's new premium health functional food private label (PL) 'Effect' earlier this year. Effect's 'Premium 10 Billion Probiotics & Diet,' 'High-end Vitamin,' and 'Supercritical Vegan rTG Omega-3' rank among the top sellers in SSG.com's supplements and health functional food category.
Emart and SSG.com, noting that the online sales of the health functional food PL Biopublic have been growing by about 10% monthly on average since its launch in June 2021, launched the new PL Effect on SSG.com, and this strategy is considered successful. In the case of health functional foods, the high repurchase rate, high average order value relative to product size, and the possibility of detailed product descriptions make online sales suitable. Also, the increase in health functional food purchases through online channels, especially among the 20s and 30s age group, played a role.
Chosun Hotel & Resort's home meal replacement (HMR) also used SSG.com as a test bed. Chosun Hotel & Resort exclusively launched HMR products through SSG.com and is expanding sales channels by selecting those with good customer responses. On this day, 'Chosun Hotel Five-Grain Samgyetang' was released through SSG.com. It will be sold at a 25% discount until the 10th of next month, and an SSG new product experience group will be recruited to gauge market reactions through their reviews. Previously, 'Uni Jjajang,' which reproduced the taste of Chosun Hotel Hongyeon, recorded sales of over 20,000 units in one month, laying the foundation for expansion to other channels. Last year, the Chinese hotel convenience food line was expanded to dishes such as 'Chili Shrimp,' and premium Korean dishes like 'Chosun Hotel Samgyetang' and Japanese menu items like 'Nagasaki Jjamppong' were pre-launched on SSG.com.
Lotte ON is also playing a flagship role in group-level marketing events. The integrated marketing event for Lotte distribution groups, 'Lotte Day,' running until the 26th, has set its main page to Lotte ON, introducing the schedules and details of each company's Lotte Day events and allowing customers to participate in each event directly. Registration for the Lotte World Tower vertical marathon 'Sky Run,' held on the 22nd, was also conducted through Lotte ON. It was explained that registration was carried out using Lotte ON, which can respond in real time in a situation where thousands of participants rush to apply in an instant.
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The industry analyzed that even as e-commerce overall has been focusing more on profitability than external growth since the second half of last year, these platforms will continue to strengthen their roles as online bridges for their groups. A distribution industry official said, "The system in which SSG.com and Lotte ON collaborate with affiliated companies is a competitive advantage that differentiates them from other e-commerce platforms," adding, "It is also meaningful as a role to expand not only the products and services of these e-commerce platforms but also those of the entire group and to spread them to the 20s and 30s generations familiar with online channels, so efforts to create synergy through this will be strengthened."
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