After Liquor Tax Law Revision, Alcohol Also Sold Online... Department Store Wine Sales Surge

Surge in Homebody Demand and Online Sales, Wine Revenue Soars 45.9%
Up to 15% Discount Boosts Untact Shopping Popularity, Cheese and Snacks Also Selling Well

[Asia Economy Reporter Lim Hye-seon] With the revision of the Liquor Tax Act allowing online sales of alcoholic beverages, Shinsegae Department Store's wine sales have increased.

Since starting online sales on the 27th of last month until the 22nd of this month, Shinsegae Department Store's wine sales increased by 45.9% compared to the same period last year. From January 1 to April 26, before online sales began, sales increased by 8.6% compared to the same period last year. Analyzing only online wine sales, the average daily number of orders is about 50. The average daily sales exceeded 3 million KRW. Daily sales of 3 million KRW are comparable to those of medium to large department store wine shops such as Yeongdeungpo and Daegu branches.

Since the implementation of the Liquor Tax Act revision last month, on the 27th, Shinsegae Department Store opened 'Shinsegae Wine House' on SSG.com, selling over 200 items ranging from premium wines such as Bordeaux First Growth Grand Cru to reasonably priced daily wines. Online payment is available, but delivery is not. After verifying age (19 or older) and placing an order online, customers can pick up their wine at their desired store (Main Branch, Gangnam, Gyeonggi, Centum City, Daegu) two hours later.

Despite the inconvenience of having to pick up products directly at the department store, demand for online wine purchases continues to grow. This is because prices are about 10-15% cheaper due to in-house coupons and credit card discounts on the online mall. The increase in people preferring contactless shopping due to social circumstances is also one of the reasons for the rise in online sales.

Thanks to customers visiting the department store to pick up wine, sales of related categories such as imported foods and cheese have also increased.

Since the opening of the online wine specialty section, imported foods centered on products that can be paired with wine grew by 11.0% compared to last year, while cheese and salami (imported ham products) increased by 34.3% and 21.7%, respectively.

Shinsegae Department Store expects the number of customers purchasing wine online to steadily increase and plans to expand the product lineup to about 400 items by the end of the year. Additionally, the ‘First Half Wine Settlement Exhibition’ starting on the 19th of next month will be held in a relay format both online and offline, maximizing sales by leveraging the strengths of each channel.