CJ Daehan Tongun Emphasizing 'Fulfillment', Quadruples E-commerce Customers

Operating Profit of 480 Billion KRW Last Year... Record High
'Efficient' Fulfillment... Integrated Management from Order to Delivery
E-commerce Customers Increase from 250 to 1,071 in One Year

CJ Logistics recorded its highest-ever operating profit last year. This is attributed to quadrupling its e-commerce customers and continuously improving productivity.

According to the Financial Supervisory Service's electronic disclosure system on the 14th, CJ Logistics posted consolidated sales of 11.7679 trillion KRW and an operating profit of 480.2 billion KRW last year. While sales decreased by 3.0% compared to the previous year, operating profit increased by 16.6%, marking a record high.

In particular, the domestic business division performed well. The parcel and e-commerce business recorded sales of 3.7227 trillion KRW and an operating profit of 246.1 billion KRW. The 'fulfillment' service provided to e-commerce customers was credited for this success. Fulfillment is an integrated logistics service that offers everything from product storage to order shipment, delivery, and inventory management all at once.

As of the end of last year, the number of e-commerce customers using CJ Logistics' fulfillment service reached 1,071, about four times the approximately 250 customers from the previous year. The types of customers have also diversified to include luxury goods, fashion, food, and pet supplies. After establishing a fulfillment center in Gunpo with Naver, they launched a 'Delivery Guarantee' service that compensates a certain amount if delivery is delayed beyond the scheduled date. It is explained that profitability was strengthened by adding the delivery guarantee service fee to the basic parcel shipping fee. Going forward, they plan to diversify services such as Sunday delivery and same-day delivery based on sellers' product characteristics and buyers' order patterns.

CJ Logistics expects continued growth in the e-commerce sector as new customers steadily increase. The e-commerce market itself is growing, and demand for fulfillment is rising in the industry to ensure fast and accurate delivery. A CJ Logistics official said, "Our proactive response to the rapidly changing e-commerce market after COVID-19 laid the foundation for business growth," adding, "Even after the end of COVID-19, we continue to discover new customers, making this a new cash cow for the company."

CJ Logistics Gunpo Smart Fulfillment Center (Photo by CJ Logistics)

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