The Korea Times

HiteJinro finds breakthrough with merchandise collaborations

HiteJinro's popular Jinro Soju and its brand mascot, a toad / Courtesy of HiteJinroBy Kim Jae-heunHiteJinro is working on enhancing its brand image in the sluggish liquor market by selling merchandise and collaborating with fashion firms. In the long term, the brewery aims to secure future customers while targeting the global market by increasing overseas sales volume. The alcoholic beverage market here had already been on a slow decline since 2016, before the COVID-19 pandemic struck and had a major impact. According to the Korea Agro-Fisheries & Food Trade Corporation, the market volume was at 8.9 trillion won in 2019, down by 4 percent compared to the 2015 volume, when it was at its highest since 2011. The government's social distancing guidelines, designed to curb the increasing number of new daily cases, have banned gatherings of more than four people. This situation has led to a decline in alcoholic beverage consumption, as well as liquor companies' sales. In the first quarter of this year alone, beer and soju sales declined by 8 percent and 4.4 percent, respectively. Soju

May 19, 2021By Kim Jae-heun

HiteJinro finds breakthrough with merchandise collaborations

Companies

E-mart to sell retail business in Vietnam

E-mart's discount store in Go Vap, Vietnam / Korea Times fileBy Kim Jae-heunE-mart said it will sell its retail store business in Vietnam to a local firm there after facing repeated obstacles to expanding its operations in the Southeast Asian country. Korea's largest retailer will receive royalty payments from the Vietnamese buyer instead.E-mart revealed through a public disclosure on Monday that its board of directors has decided to sell off a 100 percent stake in E-mart Vietnam Co. to Truong Hai Auto Corporation (THACO) Group. THACO Group is one of the leading car manufacturers in Vietnam and the fourth-largest firm in the country. Through the deal, E-mart will no longer operate its brand discount store in Vietnam. The discount store will be run as franchises managed by THACO, which will pay royalty fees to E-mart.The retail giant entered the Vietnamese market in December 2015 and opened its first discount store in Ho Chi Minh City. However, it was unable to open additional stores there, due to the local government's delays in approving construction plans. Last year, E-mart decided

May 18, 2021By Kim Jae-heun

E-mart to sell retail business in Vietnam

Companies

Starbucks pressing Lotte, CJ

By Kim Jae-heun Lotte Confectionery CEO Min Myung-ki Starbucks Korea's consecutive successes with collectible merchandise giveaways has prompted many local firms to follow suit in hopes of generating more sales.Lotte Confectionery plans to reward customers by passing out small suitcases manufactured in collaboration with U.S. camping brand CHUMS. They look almost identical to Starbucks Korea's mega-hit Sumer Ready Bag that went out of stock instantly after its release. Customers can get the bag after displaying a receipt showing they purchased over 15,000 won worth of snacks at Homeplus or seven packs of chips at Lotte Mart.Local coffeehouse chain A Twosome Place is offering discounts on camping products when customers purchase frozen desserts at its chain stores. A Twosome Place CEO Lee Young-sang Bakery franchise SPC Group also revealed its limited-e

May 17, 2021By Kim Jae-heun

Companies

Coupang marks record Q1 sales after NYSE listing

Coupang founder Kim Bom poses after his company debuted on the New York Stock Exchange in March. YonhapBy Kim Jae-heunThe country's largest online retailer Coupang reported record sales for the first quarter, Thursday, after making its debut on the New York Stock Exchange in March. The company said its quarterly sales reached $4.26 billion, or about 4.73 trillion won, up by 74 percent from a year ago. The figure is biggest achievement in any of Coupang's first-quarter sales figures. At the same time, Coupang's number of active users ― those who have a record of purchasing an item through the online platform ― have soared by 21 percent to reach 16.03 million between January and March.The average active user spending also skyrocketed by 44 percent to $262 in the first quarter from the previous year's $182. This has contributed to Coupang's largest sales record.However, the online retailer's operating loss also increased by 180 percent to about 332.1 billion won.Coupang attributed the loss to its rewarding of employees with stocks worth 10 billion won and on increased recruitment and hu

May 13, 2021By Kim Jae-heun

Coupang marks record Q1 sales after NYSE listing

Companies

ANALYSIS Orion snacks sweep China, Russia and Vietnam

By Kim Jae-heunThe outbreak of COVID-19 has brought about an unexpected increase in sales for local food companies ― strict social distancing measures have forced people to spend more time at home and they are consuming more food while they are there.Orion is one of the biggest beneficiaries. It is the largest food firm in terms of sales in Korea followed by Lotte Confectionery and Crown. Lotte took the No.1 spot in 2019, but thanks to the growing popularity of snack items overseas, Orion recaptured the top position in 2020. Winning against pandemic oddsCJ CheilJedang and Nongshim likely come to mind first when people are asked which local food firm has the highest oversea sales. But Orion's sales last year surpassed those of these established giants, reaching 1.5 trillion won (1.34 billion won), or 66 percent of its 2.2 trillion won (1.97 billion won) total. China was at the center of Orion's success ― sales there soared 12 percent to a record 1.09 trillion won, passing the 1 trillion mark for the first time since 2016. This was just prior to the Chinese government taking economic r

May 12, 2021By Kim Jae-heun

[ANALYSIS] Orion snacks sweep China, Russia and Vietnam

Companies

ZOE, ideal entry-level electric car

Renault Samsung's electric vehicle ZOE / Courtesy of Renault SamsungBy Kim Jae-heunRenault Samsung's best-selling electric vehicle (EV) ZOE is the most recommended car for drivers looking for an eco-friendly vehicle, because of the car's price, safety and low maintenance costs. A number of EVs have come out in the market in the past few years, as consumers worldwide place more emphasis on protecting the environment. However, the vehicles are expensive and it is not easy for customers to find the right one for them. Renault Samsung says its third-generation ZOE is ideal for people who want to purchase an electric vehicle for the first time. Renault Samsung has been pioneering the electric vehicle market in Europe since 2012 and the ZOE has become the top-selling eco-friendly car there. Even the popular Model 3 produced by U.S. EV maker Tesla has been unable to outperform the ZOE there.The European carmaker says the ZOE is much safer than the Model 3 as it has never been involved in a fire incident. Tesla's vehicles have been criticized for safety issues as some have caught fire while

May 12, 2021By Kim Jae-heun

Companies

S-OIL establishes ESG committee

S-OIL CEO Hussain Al-QahtaniBy Kim Jae-heunS-OIL said Wednesday that it established an in-house ESG committee to strengthen environmentally-sustainable management practices.The ESG committee will be tasked with creating basic environmental, social and governance (ESG) policies, strategies and a roadmap to enable the systematic and integrated management of such practices. The committee will consist of seven members ― the heads of the Corporate Strategy HQ, the Corporate Affairs Division, the Safety & Environment Division, and the Refinery Innovation & Coordination Division, the Treasurer, the Compliance Officer, and the president of Corporate Strategy & Services, who will chair the committee. It will convene a regular meeting every quarter to discuss, evaluate, and deliberate ESG management activities. “S-OIL launched an ESG committee under CEO Hussain Al-Qahtani to enhance efficiency by involving all departments and to promote seamless cooperation among relevant departments. We bolstered the CEO's accountability by requiring what has been discussed at the ESG commit

May 12, 2021By Kim Jae-heun

Companies

Customers break down on- and off-line barrier in retail is broken

Customers shop at a Homeplus grocery store in Seoul, March 5. Courtesy of HomeplusBy Kim Jae-heunThe COVID-19 pandemic has brought many changes to retail markets around the world ― especially a transition to digitization. It shorten this process much quicker than the industry expected before the outbreak of the coronavirus.However, digitization did not mean end for bricks-and-mortar business with large discount stores such as E-Mart, Homeplus and Lotte Mart taking advantage of their fresh food venues, which customers still feel comfortable purchasing from. These e-commerce firms are utilizing their supermarket outlets as “fulfillment centers,” where customers can pick up their products after purchasing them online.Homeplus' strategy is to focus on its discount stores while quickly adopting to trends for its online business. This is possible for Homeplus because it can use its supermarkets across the country as distribution or logistics centers and not spend money building new facilities. Homeplus owns discount stores here equal in size to 420 soccer stadiums. In 2018, Hom

May 12, 2021By Kim Jae-heun

Customers break down on- and off-line barrier in retail is broken

Companies

KITA introduces 15 new board members

Korea International Trade Association Chairman Koo Ja-yeol speaks during its first meeting of its 31st board at the Trade Tower in Samseong-dong, Seoul, Tuesday. Courtesy of KITABy Kim Jae-heunThe Korea International Trade Association (KITA), led by Chairman Koo Ja-yeol, introduced its 31st board, which includes 15 new representatives from various sectors, Tuesday. The export promotion body's triennial 31st board held its first meeting in the Trade Tower in Samseong-dong, Seoul, where it discussed ways for the trade industry to cope with changes in the global supply system, affected by the trade conflict between the United States and China. “The board is formed by gathering representatives from the traditional manufacturing and future export industries, experienced and next-generation young managers, large companies, and small- and medium-sized enterprises, as well as both metropolitan and rural trade industries,” Koo said. “KITA will take the lead in digital innovation and new export-oriented growth industries with a diverse and balanced perspective, while establis

May 11, 2021By Kim Jae-heun

Companies

SSG, PEFs make final round for Yogiyo acquisition

Yogiyo's corporate logo / Korea times fileBy Kim Jae-heunYanolja, the country's top travel and lodging service platform operator, has dropped its bid for Korea's second largest food delivery player Yogiyo, leaving retail giant Shinsegae and four private equity funds (PEF) seeking to be named preferred bidder for its acquisition.According to the investment banking industry, Shinsegae's online retailing business SSG.com qualified as a strategic investor due to its funding power among other reasons.“MBK Partners, which owns Homeplus, is a suboptimal contender that has qualified for the main bidding but will compete with the other major PEFs,” an industry source said. Affinity Equity Partners, Permira and Bain Capital are the other three. In related news, Yanolja is said to have given up on an initial public offering before the end of the year. SSG.com and MBK Partners are currently seen as the most likely buyers, which has drawn attention as the two are also competing to take over eBay Korea. However, SSG.com is seen as the strongest contender as it is a retailer with more d

May 11, 2021By Kim Jae-heun

Kim Jae-heun

Read more

HiteJinro finds breakthrough with merchandise collaborations

E-mart to sell retail business in Vietnam

Starbucks pressing Lotte, CJ

Coupang marks record Q1 sales after NYSE listing

ANALYSIS Orion snacks sweep China, Russia and Vietnam

ZOE, ideal entry-level electric car

S-OIL establishes ESG committee

Customers break down on- and off-line barrier in retail is broken

KITA introduces 15 new board members

SSG, PEFs make final round for Yogiyo acquisition

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