Daegu Textile Industry Sees Remarkable Sales Growth Through Non-Face-to-Face and Online Marketing... B2C Sales Prove Effective

Rapid Growth Trend in Online Sales of Household Textile Products
E2Collection Shows 45% Year-on-Year Recovery in May-June

Image of E2 Collection's shopping mall.

[Asia Economy Yeongnam Reporting Headquarters Reporter Dongwook Park] Despite the overall economic downturn caused by the novel coronavirus disease (COVID-19), remarkable sales growth driven by non-face-to-face and online marketing is evident among companies in the textile industry, a traditional industry in the Daegu region.

According to Daegu City on the 9th, E2 Collection Co., Ltd. (CEO Yongcheol Lee and Changman Lee), an online seller of household textile products, achieved sales of approximately 10 billion KRW in the first half of the year as of June, marking a 45% increase compared to the previous year. Although sales slowed down in March and April due to the COVID-19 situation, they recovered in May and June. Exports, which account for about 15% of total sales to countries such as Japan, China, and Russia, are also on the rise.

Busung TFC Co., Ltd. (CEO Sanghyung Jo) is the new name of Migwang Daitex Co., Ltd., acquired by Bukwang Textech Co., Ltd. in 2018. With domestic and international exhibitions canceled due to COVID-19, making export marketing difficult, the company achieved non-face-to-face export sales of approximately 1.1 billion KRW and 300 million KRW to DICKS and The North Face respectively in the first half of this year through non-face-to-face marketing such as video calls and sample book shipments.

Texcorp Co., Ltd. (CEO Seongyong Yang) produced the 'NOVID droplet protection coverall' using a highly breathable functional fabric developed by its parent company, Youngpoong Hwaseong Co., Ltd., which prevents droplet and liquid penetration. It achieved sales of 1.2 billion KRW in exports to the U.S. and 500 million KRW domestically in the first half of this year.

Seojin Material Co., Ltd. (CEO Gyuyong Song), a dyeing and processing company, shifted from a large-order, mass-production system to a non-face-to-face one-on-one product manufacturing system without meeting buyers directly. By operating the 'Real Fabric' site, a customer order-based custom manufacturing method, it transformed its sales structure from B2B to B2C. Selling 100% made in KOREA products, Seojin Material has steadily grown sales by expanding Real Fabric, opened in 2013, from the domestic market to a global site focused on Japan and the U.S.

Daehan Textile Co., Ltd. Daegu Plant (CEO Inho Kim), which produces quilts and bedding, is driving sales growth through online sales domestically via Cottonville (B2C) and internationally through Amazon. Following the COVID-19 outbreak and the surge in untact consumption, Cottonville's sales increased by 260% in March compared to January this year, and Amazon sales showed an explosive increase of 596% in April compared to January.

Choi Unbaek, Director of the Daegu City Economic Bureau, said, "Despite the difficult situation faced by many local companies due to COVID-19, the textile industry, a traditional industry in Daegu, is overcoming the crisis by developing competitive textile products along with non-face-to-face and online marketing suited for the post-COVID era." He added, "Daegu City will actively support local companies striving to turn this crisis into an opportunity."