Home&Shopping Implements Performance Sharing System... Provides 600 Million KRW Support to Partner SMEs

Compensating Partner Losses
Continuing Mutual Growth with SMEs

Home&Shopping announced on the 24th that it will implement a performance-sharing system worth a total of 600 million KRW to support small and medium-sized enterprises (SMEs) amid the economic downturn. Home&Shopping's performance-sharing system goes beyond simply sharing profits with high-performing partners; it provides practical assistance by compensating losses for partners struggling with poor broadcast sales efficiency. Through this performance-sharing system, which shares last year's results, it plans to support 40 partner companies with 15 million KRW each, totaling 600 million KRW.

Since its launch in 2012, Home&Shopping has been implementing a performance-sharing system on excess profits starting from 2013, the first year it generated significant profits. Through this system, it has supported a total of 6.7 billion KRW to 658 SME partners from 2013 to the present. The performance-sharing system is evaluated not only to better embody the spirit of "coexistence with SMEs" but also to contribute to the stable management activities and technological development capabilities of the target companies.

Additionally, Home&Shopping has been continuously shortening the payment period for partner product sales proceeds. The average payment period, which was 32.5 days in the early stages of the business, has now been drastically reduced by more than three weeks to an average of about 8 days. Payments are settled three times a month in 10-day intervals and sales proceeds are paid within three business days from the closing date.

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