As the sweltering heatwave continues, shoppers are flocking to well-air-conditioned department stores and large malls, leading to a boost in sales. Pictured is the “Peach Alert” pop-up store on the first floor of Time Villas in Suwon. (Photo courtesy of Lotte Department Store)
SEOUL, July 29 (Korea Bizwire) — A sweltering heatwave over the weekend sent South Koreans flocking to air-conditioned department stores and shopping malls, leading to a double-digit surge in sales at major retailers. In contrast, large discount chains saw a dip in revenue, despite government-issued consumer coupons aimed at reviving domestic spending.
According to industry data released Monday, department stores across the country — including Lotte, Shinsegae, and Hyundai — posted sales increases of over 15% on July 26–27 compared to the same weekend last year. Lotte saw a 16% bump, Shinsegae rose 15.1%, and Hyundai climbed 15.8%, with all three reporting a similar jump in foot traffic.
The heatwave spurred demand for seasonal essentials. Lotte reported a 60% surge in lifestyle product sales, driven by items like air conditioners and fans, while summer accessories such as parasols and sunglasses rose 15%. Shinsegae noted a broad-based boost across fashion, sportswear, food, and luxury goods.
The indoor garden at The Hyundai Seoul, styled as a Hawaiian resort, drew some 5,000 visitors a day eager for a “staycation” photo op.
The Hyundai Seoul in Yeouido is the largest shopping mall in Seoul, boasting a floor area equivalent to 13 soccer fields. (Image courtesy of Hyundai Department Store)
Shopping malls also saw a sharp rise in visitors. I’Park Mall in Yongsan posted a 57% sales increase from the previous month’s comparable weekend, with home goods sales soaring 219% and food and beverage up 72%. Starfield Hanam reported a 10% rise in foot traffic, with the hottest weekend of the month drawing the largest crowds.
Despite being excluded from the government’s “Livelihood Recovery Coupons” program — which cannot be used at direct-owned department stores or hypermarkets — indoor comfort and growing consumer sentiment drove traffic to these venues.
In contrast, major discount stores like E-Mart and Lotte Mart saw sales fall by 5–10% over the same period. While the consumer coupons were accepted at tenant restaurants within these stores, they could not be used for groceries or fresh produce, which make up the bulk of hypermarket sales.
Industry insiders suggest that the heat discouraged home cooking, with many consumers opting instead for dining out using the government-issued coupons. Supermarkets responded by ramping up discounts and highlighting which in-store vendors did accept the coupons.
Analysts noted this divergence mirrors previous patterns seen during the COVID-19 pandemic, when supermarkets were similarly excluded from emergency spending programs and suffered sales declines.
Lina Jang (linajang@koreabizwire.com)
