The sales contribution from elderly customers visiting convenience stores during lunchtime hours has increased. (Image courtesy of Yonhap)
SEOUL, Jun. 20 (Korea Bizwire) – As high interest rates and soaring inflation persist, domestic consumption in South Korea has been on a downward trajectory for five consecutive months, according to BC Card.
The credit card company reported on June 19 that sales across seven major sectors have declined month-over-month compared to the same period last year since January. The decreases were 3.4% in January, 4.2% in February, 5.6% in March, 7.4% in April, and 4.9% in May.
Notably, during this period, sales at restaurants experienced a maximum year-over-year decline of 11.2%. However, convenience store sales saw a relatively smaller drop, decreasing by up to 6.8% compared to the previous year.
Interestingly, the sales contribution from elderly customers visiting convenience stores during lunchtime hours has increased.
The sales share of customers aged 70 and above at convenience stores during the lunch period (the proportion of transactions during a specific time relative to the total sales for that business category) rose from 19.9% in January to 22.9% in May, an increase of 3 percentage points.
In contrast, the sales share of customers in their 20s to 50s increased by less than 1 percentage point during the same period.
A BC Card official commented, “Those in the economically active age group cannot forgo eating out during lunchtime, so restaurant sales during that period are unlikely to change significantly.”
The official added, “As customers feel burdened by the rising cost of dining out, they seem to prefer the more affordable option of convenience stores for a quick meal. This trend is expected to continue for the time being.”
Ashley Song (ashley@koreabizwire.com)
