Lotte Mart Strengthens PB... Today's Good Wet Wipes Account for Over 85%
Wet wipes account for over 85% of total sales
Improved quality by increasing moisture content by 20%
Streamlined distribution process, price reduction
Lotte Mart's private brand (PB) 'Oneul Joeun' wet wipes have become the flagship product of the Oneul Joeun brand just three months after their launch.
Models are showcasing the private brand (PB) 'Oneul Joeun' wet wipes at Lotte Mart Seoul Station branch.
[Photo by Lotte Mart].
On the 15th, Lotte Mart announced that since the launch of Oneul Joeun wet wipes on May 9th until August 8th, they accounted for about 85% of the total sales volume of general wet wipe products, gaining significant popularity. This represents a 15 percentage point increase in the PB composition ratio within total wet wipe sales compared to the same period last year.
The PB wet wipes newly launched by Lotte Mart this year include three items: the single product 'Oneul Joeun Wet Wipes,' 'Oneul Joeun Thicker Wet Wipes,' and the bundle product 'Oneul Joeun Thick Wet Wipes.' Oneul Joeun Wet Wipes is a cost-effective product revamped from the previously operated PB wet wipes. The moisture content in the wet wipe fabric was increased by 20% to improve the previous PB wet wipes' drawback of "moisture drying quickly." The selling price was set at 1,000 won, the same as before.
Oneul Joeun Thicker Wet Wipes and Oneul Joeun Thick Wet Wipes were newly launched this year considering market trends and customer purchasing patterns. They were developed focusing on the increasing number of consumers who prefer thick yet cost-effective products in the low-priced wet wipe market. Compared to general products, the price per sheet is more than 40% cheaper, capturing both cost-effectiveness and emotional satisfaction. Based on consumer survey results indicating that a family of four uses about four packs per month and customer feedback that six-pack bundles are heavy and inconvenient to purchase in offline stores, the product was planned as a four-pack bundle.
Based on three years of PB wet wipe operation data, Lotte Mart calculated the optimal minimum order quantity (MOQ) and increased it about 20 times compared to the previous PB wet wipes. The MOQ is set by Lotte Mart and its partners based on cost and volume, and Lotte Mart purchases the entire quantity. Expanding the MOQ allows partners to buy raw materials in bulk, reducing costs and enabling stable production planning.
Production processes were also dualized according to product characteristics to increase production speed. Packaging box specifications optimized for logistics stacking were calculated, improving logistics efficiency by adding more than 150 products per pallet compared to before, thereby enhancing cost competitiveness.
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In addition, various paper products under the Oneul Joeun brand have established themselves as popular items in each product category by emphasizing cost-effectiveness. Over the past three months, 'Oneul Joeun Natural Pulp 3-Ply Toilet Paper' and 'Oneul Joeun Natural Pulp Facial Tissue' have ranked first in sales in the roll tissue and facial tissue product categories, respectively. Although there is no difference in quality compared to general products, the fact that the unit price is more than 40% cheaper is cited as the reason for their popularity.
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