SEOUL, Nov. 7 (Korea Bizwire) — Japanese beer brands and Uniqlo, major companies affected by the boycott movement in South Korea, are taking desperate measures for survival.
Lotte Asahi Liquor Co, the official importer of Asahi beer, has lowered beer prices by 30 percent. Sapporo beer importer M’s Beverage also lowered prices for its beer products.
Lower supply prices typically result in lower consumer prices. The new measure is seen not as a way to boost sales, but as a means to maintain current transaction channels even if it further undermines profit.
South Korean customs reported that Japanese beer imports last September were valued at only US$6,000, down by 99.9 percent from last year, and indicating a de facto shutdown of all Japanese beer imports.
Uniqlo, on the other hand, reintroduced its pick-up service once shut down last August.
The company, following recent success at online stores led by massive discount offers, is seen as trying to make an appeal offline, in an effort to attract customer numbers that have plunged as a result of the boycott movement.
By reintroducing the pick-up service in stores, the company is hoping to make an impression to the public that the customers are returning to its stores.
Uniqlo’s pick-up service is available at 115 stores across South Korea. Those who purchase goods worth more than 70,000 won (US$60.53) and use the pick-up service will be given a Heattech scarf.
It is along these strategic lines that Uniqlo is attempting to recover its previous number of stores, despite plunging sales.
Since August, Uniqlo has been renovating and opening new stores across the country. Now, the company runs 187 stores in South Korea, up by one store since last year.
H. M. Kang (email@example.com)