SEOUL, Jan.11 (Korea Bizwire) – Korean home shopping networks are currently stepping away from the TV to open offline stores. To overcome their limit of only communicating with customers through TV, they are starting to provide omni-channel services so that customers can actually touch and try out products sold through home shopping networks.
CJ O Shopping opened an offline store called ‘Style on Store’ at the Shinsegae Simon Yeoju Premium Outlet in February 2015. A second store was opened in November 2015. Products from 40 different brands sold through CJ O Shopping are displayed at the Style on Store. Consumers can also pick up items purchased earlier through the network, or return them at the offline store.
Lotte Home Shopping opened its ‘Lotte Home Shopping Studio Shop’ at the underground square of Lotte World Mall in Jamsil. Products from 70 different brands are displayed, including brands exclusive to Lotte Home Shopping and the store itself. Products can be purchased right away through the ‘Baro TV’ mobile application, and sent to the location preferred by the customer.
Lotte officials comment that an average of 80 to 90 guests visit the studio shop during weekdays, and more than 100 visit on weekends.
Hyundai Home Shopping is also joining the trend by opening an offline store at its Dongdaemun outlet that is scheduled to open in March. Fashion items, kitchen utensils and everyday products will be displayed. Customers can purchase products on site or through mobile applications.
The trend of home shopping networks exploring other sales channels is expected to continue. Due to the expanding mobile shopping industry, consumers are walking away from the TV, leading to disappointing sales for home shopping networks.
Officials from Hyundai Home Shopping comment that their competitors are no longer limited to other home shopping networks. Thus, by expanding their O2O (online to offline) service, they’re seeking a competitive edge against other retailers.
By Francine Jung (email@example.com)