Lotte Mart Opens ToysRUs Gwangmyeong Branch... Fifth Non-Mart Store

Lotte Expands into Retail Channels... Synergy Expected with Lotte Mall
"Play Hub" Concept: An Experiential Store

On July 20, Lotte Mart announced the grand opening of 'ToysRUs Gwangmyeong Branch,' a specialty toy store located on the 2nd floor of Lotte Mall Gwangmyeong in Iljik-dong, Gwangmyeong-si, Gyeonggi-do.

ToysRUs is a global toy brand operating over 1,400 stores in 32 countries worldwide. In Korea, Lotte Mart has been operating ToysRUs since opening its first store in 2007, and currently runs a total of 43 locations nationwide.

Storefront of 'ToysRUs Gwangmyeong Branch' located on the 2nd floor of Lotte Mall Gwangmyeong. Provided by Lotte Mart.

Lotte Mart is accelerating its strategy of launching ToysRUs as independent stores in external retail channels, rather than within its own stores, under the so-called 'non-mart standalone store' model. Starting with Lotte Premium Outlet Icheon, ToysRUs has sequentially entered various Lotte Group retail channels, including Giheung, Paju, and Hi-Mart Daegu Jukjeon. With the opening at Lotte Mall Gwangmyeong, there are now a total of five non-mart standalone ToysRUs stores in operation.

Lotte Mart expects that ToysRUs can generate synergy by opening in complex shopping malls frequented by family customers in their 30s and 40s. These locations can attract customers from a broader catchment area than traditional hypermarkets. In fact, sales at ToysRUs stores based in external retail channels increased by approximately 15% year-on-year in the first half of this year, outpacing the growth of in-hypermarket stores.

The Gwangmyeong area, where the store is located, has become a densely populated residential zone for children due to new town development. The proportion of customers in their 30s and 40s also exceeds the national average. As such, ToysRUs Gwangmyeong aims to secure a unique competitive edge in the region, where there is a lack of competing toy stores, by offering differentiated content such as character specialty shops and exclusive products.

ToysRUs Gwangmyeong is designed as a 'play hub,' focusing on experiential content. Popular brand zones such as 'Catch! Teenieping Brand Shop,' 'Nintendo Shop,' and 'Bandai Shop' are organized as shop-in-shop spaces, creating an environment that caters to the tastes of customers of all ages.

In particular, the Catch! Teenieping Brand Shop features character artwork and offers a wide range of Teenieping-related products, including new toys and fancy goods. The Lego Shop provides a variety of products for all age groups, while the Bandai Shop offers over 100 items, including Gunpla and popular Japanese animation figures, targeting kidult customers.

For the first time at any ToysRUs branch, the Gwangmyeong location has introduced an interactive experience called 'Live Sketch.' This feature allows customers’ colored drawings to move on a large screen, providing a unique experience that combines play and art. In addition, on weekends, a board game experience zone is operated for families to enjoy together. 'Capsule Street' is a space reflecting the latest trends, featuring over 40 authentic figure and merchandise capsule machines to meet the diverse needs of kidult customers.

To celebrate the new opening, a variety of promotions are being offered. At the Gwangmyeong branch, customers who spend over 50,000 won and follow the store on social networking services (SNS) will receive a complimentary 'Harim Foodie Buddy Ramen (4-pack)' on a first-come, first-served basis. In addition, until July 30, popular toys will be offered at discounts of up to 30%.

Lee Youngno, Head of the TRU Division at Lotte Mart, stated, "ToysRUs Gwangmyeong has been designed as a space where everyone, from children to adults, can enjoy, by concentrating differentiated elements such as experiential content, character IP goods, and exclusive products. We will continue to do our best to introduce unique ToysRUs content to more customers through expansion into various Lotte Group retail channels in the future."