Daegu City Supports Marginalized Alley Markets... 'Systematic Support, Differentiated Market Development'

Daegu City is recruiting alley commercial districts to participate in the ‘2024 Alley Economy Zone Development Project’ aimed at discovering alley commercial districts with growth potential and fostering them as representative commercial districts of Daegu.

Daegu City has established a ‘Mid- to Long-term Plan for Alley Commercial District Revitalization’ to activate alley commercial districts that have been neglected by existing government support policies focused on traditional markets. The city is promoting the ‘Alley Economy Zone Development Project’ to nurture representative alley commercial districts in the region and help small business owners within these districts build self-sustainability.

Daegu Jung-gu Kim Kwang-seok Street (Bitgil Lighting).

So far, as a catalyst for alley commercial district revitalization, the city has promoted community capacity building and phased specialization projects based on commercial district demand, targeting 81 newly organized alley commercial district groups, 86 joint marketing groups, 23 recovery and vitality support groups, and 2 premium alleys.

As a result, Geundae Alley Kim Gwang-seok Street and Chilseong Furniture Street in Buk-gu regained vitality as the merchant associations, rather than local governments, led brand development and various revitalization programs. In Nam-gu’s Mulbegi Street and Dalseo-gu’s Igok Eutteum Street, merchant associations took the lead in establishing cooperatives and took the first steps toward securing the commercial districts’ self-sustainability.

Recently, with the increase in low birth rates, aging population, and regional extinction risks, economic imbalances within the region have deepened due to commercial district shifts or decline caused by urban redevelopment, new town development, and relocation of major facilities.

Mulbegi Street, Nam-gu, Daegu City

Accordingly, the city has established institutional foundations for commercial district revitalization by enacting the ‘Ordinance on Fostering and Supporting Alley Commercial District Communities’ and the ‘Ordinance on Coexistence and Revitalization of Regional Commercial Districts.’ Starting this year, the city plans to actively promote Season 2 of the Alley Economy Zone Development Project.

The 2024 Alley Economy Zone Development Project will be implemented in stages according to growth phases: 1st stage supporting newly formed alley commercial district communities, 2nd stage supporting recovery and vitality of alley commercial districts, 3rd stage fostering local brand commercial districts, and nurturing star small business owners based in alleys.

First, the 1st stage support for newly formed alley commercial district communities will provide support for the organization of new groups consisting of more than 30 small business owners based in alley commercial districts, community activities, joint marketing, and capacity building to establish a foundation for commercial district growth.

In the 2nd stage, projects for recovery support (50 million KRW per commercial district) and vitality support (200 million KRW per commercial district) will be implemented reflecting the characteristics of each commercial district. Support will be provided to discover the unique features and competitiveness of commercial districts through brand and design development, online and offline promotion, alley festivals, management consulting, facility installation, and environmental improvements.

The 3rd stage fostering of local brand commercial districts will support the establishment of governance for commercial district development by various stakeholders (merchants, residents, companies, etc.) and help alley commercial districts build self-sustainability and sustainable development through local archiving and living labs to solve commercial district issues.

Additionally, in the 3rd stage, anchor small business owners who lead changes in alley commercial districts will be nurtured. Outstanding small business owners with creativity and digital capabilities in alley commercial districts will be selected and supported to grow into entrepreneurial small business owners through star small business owner certification, customized consulting, and linkage to private investment.

Furthermore, support will be provided for alley commercial districts to enter and receive discounts on the delivery app ‘Daeguro,’ promotional marketing support directly linked to small business sales in cooperation with promising local startups, deployment of alley managers by district and county to assist small business owners in utilizing digital technologies, and active communication and resolution of small business owners’ difficulties such as discovering alley regulations.

Daegu-si Buk-gu Hamji Park Meokgolchon

The recruitment schedule accepts applications for newly formed alley commercial district communities and vitality support projects until the 28th, and in early April, calls for applications for recovery support, local brand commercial district fostering, star small business owner nurturing, and alley commercial districts wishing to enter the delivery app ‘Daeguro’ will be announced on the Daegu City website.

An Jung-gon, Director of the City’s Economic Bureau, said, “Through branding and systematic support of alley commercial districts, we will do our best to foster distinctive and differentiated commercial districts so that alley commercial districts can become the mainstay of the local economy.”

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