'50th Anniversary' Hyundai Department Store Group "Achieving 40 Trillion KRW in Sales by 2030"

Held 'Digital Vision Proclamation Ceremony' for Employees and Announced 'Vision 2030'
Promoting New Growth Strategies for Core Businesses and Entering Future New Industries
Chairman Jeong Ji-seon: "We Will Create a New History Lasting Over 100 Years"

[Asia Economy Reporter Lim Hye-seon] Celebrating its 50th anniversary, Hyundai Department Store Group announced its 'Vision 2030' on the 4th, aiming to achieve sales of 40 trillion won by 2030. Based on the group vision of being 'the most trusted company by customers,' it is a commitment to create shared benefits and value through a virtuous cycle with society.

The group plans to establish and implement customized growth strategies for its three core business portfolios: distribution, fashion, and living & interior, while actively entering future new and emerging businesses with high growth potential that can create synergy with existing businesses. It will also strengthen its capabilities in Environmental, Social, and Governance (ESG) to contribute to creating social value.

Jung Ji-sun, Chairman of Hyundai Department Store Group (pictured), said, "In a situation where uncertainty has become constant and the industrial paradigm is rapidly changing, we established 'Vision 2030' to respond swiftly and create new growth opportunities." He added, "'Vision 2030' will serve as a compass presenting the core values and business directions the group should pursue over the next decade." He emphasized, "Based on the resilience that has sustained growth despite numerous difficulties over the past half-century, we will leverage 'Vision 2030' as a fulcrum to create a new history for Hyundai Department Store Group that lasts over 100 years."

Targeting 40 Trillion Won in Sales by 2030

To achieve the group's vision of being 'the most trusted company by customers,' the business direction of 'providing better value alongside customers' lives' is embedded in the vision. By pursuing a two-track strategy of 'customized growth strategies for each affiliate' and 'group business diversification,' the group aims to double its current sales scale to around 40 trillion won in 10 years. It will actively engage in new investments and mergers and acquisitions. In particular, it plans to further strengthen 'ESG (Environmental, Social, and Governance) management' to gain customer trust and establish a foundation for sustainable growth.

In the distribution sector, centered on department stores, outlets, home shopping, and duty-free shops, the group plans to enhance competitiveness by business type and expand into related businesses, increasing sales from the current 13.2 trillion won to 29 trillion won by 2030.

To strengthen e-commerce competitiveness, the group will promote specialization of The Hyundai.com and Hyundai Food Hall To Home, while also expanding its live commerce business. Additionally, it plans to enter related sectors such as 'neighborhood-type distribution platforms' and 'food platforms (Select Dining)' that operate food and beverage (F&B) tailored to commercial district characteristics.

Customized Growth Strategies for Each Affiliate

Hyundai Home Shopping plans to enter related businesses to complement online sales channels and strengthen product competitiveness. To this end, it is considering building specialized malls centered on broadcast products, enhancing media commerce, and launching fashion and beauty specialty malls. It is also reviewing business entry focused on fashion, beauty, and health functional food brands. Hyundai Department Store Duty-Free aims to enter the 'Global Top 10 Duty-Free Shops' by acquiring additional domestic duty-free licenses and expanding into overseas duty-free markets.

In the fashion sector, Hansem will focus on launching new fashion brands leveraging its unique premium image and expanding online and offline distribution channels. It will also pursue entry into the beauty field, including high-function premium cosmetics, and the lifestyle sector dealing with design accessories. Through this, it plans to expand sales from 1.2 trillion won last year to about 2 trillion won by 2030.

Comprehensive food company Hyundai Green Food aims to become a 'company positively influencing people's dietary habits' by expanding its customized health food business. To this end, it will enhance competitiveness in existing business sectors such as group catering, ingredients, and dining out, based on health and eco-friendly concepts, and accelerate diversification of care food products. In particular, in the catering sector, it plans to introduce a health management program that provides customized healthy meals and one-on-one nutrition counseling to manage employees' health.

In the living and interior sector, the group plans to double sales from the current 2.6 trillion won to about 5.1 trillion won in 10 years by enhancing competitiveness in existing businesses and entering related businesses considering future environmental changes. Hyundai Livart will expand its furniture (home furnishing) and total interior lineups and diversify distribution channels. Hyundai L&C aims to become a 'customer-customized total living and interior company' through product lineup expansion, online and offline sales channel expansion, and differentiated services. Especially, anticipating increased demand for eco-friendly and premium materials, it plans to enter related markets such as eco-friendly packaging materials. Hyundai Rental Care plans to simultaneously pursue 'business stabilization' and 'scale expansion' by securing manufacturing capabilities for its main rental products, expanding its product pool, and broadening sales channels.

Entry into New Growth Businesses such as Beauty

The group has identified future new growth businesses in fields expected to have synergy with manufacturing and platform business areas, including beauty, healthcare, bio, eco-friendly, and senior-friendly sectors, and plans to expand its business portfolio accordingly.

In the beauty business sector, beyond the currently pursued businesses, the group plans to secure medical information and bio technologies to additionally enter cosmetics and beauty supplies businesses tailored to each affiliate's characteristics. In the healthcare business sector, it envisions launching products and services related to 'self-medication,' such as health functional foods and home medical devices that enable individuals to manage their own health. It is also considering entering the 'online and offline healthcare specialized platform' business, including healthcare stores.

In the bio business sector, based on the bio raw material manufacturing capabilities of its affiliate Hyundai Bioland, a beauty and healthcare specialist, the group plans to develop and manufacture bio raw materials (antioxidants, skin improvement), bio pharmaceuticals (cell therapies, etc.), and medical materials (wound treatment materials, etc.). In the eco-friendly business sector, it will consider entering businesses such as alternative processed meat and household waste treatment. In the senior-friendly business sector, it plans to promote a 'total care solution platform' business that provides products and services necessary for a healthy and convenient old age.