Park Jae-hyuk is a seasoned journalist who has provided comprehensive coverage of South Korea's corporate dynamics, economic policies, industry challenges and the global positioning of Korean companies. Based on the articles he has written since joining The Korea Times in 2016, his investigative approach has helped readers understand corporate governance, economic trends and business strategies shaping South Korea’s economy.
E-commerce firms expanding global partnership
Models celebrate the grand opening of a Rakuten store on SK Planet’s e-commerce subsidiary 11st, Monday. / Courtesy of SK Planet
By Park Jae-hyuk
By Park Jae-hyuk
E-commerce companies are expanding global partnerships to increase their sales, attracting more customers calling for a single channel for overseas direct purchases.
SK Planet said Monday its e-commerce subsidiary, 11st, began to sell products supplied by Rakuten Ichiba, an online shopping mall run by Japan’s top e-commerce firm.
The mall, which has about 42,000 specialty stores and over 100 million members, tops the market share in Japan with the largest number of loyal customers, thanks to strict rules and an evaluation system of its suppliers.
Amid three consecutive years of sales growth for Japanese products, 11st expects its sales this year will be double that of 2014.
11st said all Rakuten products will be sold at a 10 percent discount until the end of next month, in order to celebrate the grand opening.
The e-commerce firm has also sold products supplied by Revolve, a U.S.-based fashion specialty mall, since August, and Max Muscle, a U.S.-based franchise specializing in sports nutrition, since July.
The company plans to open two or three more foreign brand shops by the end of the year.
“Customers, who are used to overseas shopping, have visited the representative online malls of each country, which allows them more economical purchase,” said SK Planet merchandise team head Park Joon-young. “As the top retail hub leading the global shopping trend, 11st will continue to innovate the easiest and most convenient way for overseas shopping.”
Compared to 11st, some e-commerce firms supply their products to foreign online shopping malls to meet foreign consumers’ demand for Korean goods.
CJ O Shopping signed a memorandum of understanding with Lazada Group on Oct. 7 to supply Korean goods to Southeast Asia’s biggest online shopping mall.
Lazada runs online malls in Malaysia, Indonesia, Singapore, the Philippines, Thailand and Vietnam and tops the market share in five of the six.
CJ aims to preoccupy the market and emerge as the top retailer of Korean goods among the online shopping malls in Southeast Asia.
Interpark, which has supplied goods to Alibaba Tmall since 2014, seeks to expand its presence in China.
Its trade volume has risen more than 300 percent every year since entering China’s biggest e-commerce firm.
In order to continue this pace, Interpark signed a contract with the No. 2 player, Jingdong, on Oct. 6.