[Report] Direct Competition in Home Appliances at Yeouido's 'The Hyundai Seoul'... Visiting Samsung and LG Stores

[Asia Economy Reporter Suyeon Woo] Samsung and LG opened their massive flagship stores side by side on the 26th at 'The Hyundai Seoul,' the largest department store in Seoul, engaging in a direct competition once again. As 'The Hyundai Seoul' is the first department store to open in Seoul in 10 years, the competition among home appliance companies to attract consumers visiting this new landmark has intensified.

In the afternoon, I visited 'The Hyundai Seoul' in Yeouido, Seoul, to tour the new flagship stores of Samsung Electronics and LG Electronics. Located on the 5th floor, the largest department store floor in Seoul, the two stores faced each other with the indoor garden 'Sounds Forest' in between.

The Hyundai Seoul Indoor Garden Sounds Forest / Photo by Hyundai Department Store

Among the newly opened stores that day, aside from Blue Bottle Coffee located on the same floor, Samsung and LG stores were the only places where customers lined up to wait. Both stores limited the number of visitors to 50 due to COVID-19 restrictions, so to tour the stores, customers had to make reservations in advance or wait for more than an hour. However, consultation customers were admitted relatively quickly, entering the store in about 30 minutes.

Upon entering the Samsung Electronics store, the first thing that caught the eye was the gigantic 110-inch MicroLED TV displayed outside the entrance. The MicroLED TV is an ultra-premium TV priced at 170 million KRW, released last year and only showcased in select stores. The area in front of the TV was crowded with people eager to experience the vivid, lifelike picture quality unique to MicroLED technology.

At the front of the store, colorful Bespoke refrigerators were lined up, and inside, consultations for various home appliances such as TVs, washing machines, and air conditioners were held in separate corners. At consultation desks set up throughout the store, consumers looking to purchase electronics were receiving advice behind partitions. The consultation areas were almost fully occupied with customers who came expecting various events and discounts on the opening day. At the very back of the store, a separate consultation space was prepared for premium customers.

Samsung Micro LED TV exhibited at Samsung Electronics The Hyundai Seoul Premium Store / Photo by Woo Su-yeon

Consumers who wish to purchase at Samsung Electronics The Hyundai Seoul Premium Store are receiving consultations. Photo by Woo Su-yeon

Passing through the indoor garden, I headed to the LG Electronics Best Shop facing Samsung's store. There was also a long line there. The rollable TV 'Signature OLED R' and the 'LG CLOi Barista Robot' displayed at the entrance attracted the attention of passersby. The 'Signature OLED R' is the world's first rollable OLED TV. The store front was packed with people captivated by the rollable TV that rolls the screen into the main body and unfolds it again.

Half of the store was dedicated to a separate space for LG Objet Collection, a space interior appliance line, LG's ultra-premium Signature series, and the ultra-premium built-in Signature Kitchen Suite. The space-type exhibition gave a cozy feeling as if the living room or kitchen had been moved directly into the store. It was refreshing to see the actual appearance of appliances integrated into a model house rather than just densely packed appliances.

LG Best Shop The Hyundai Seoul store displaying home appliances like a model house. Consumers who want to purchase built-in appliances are receiving consultations. Photo by Woo Su-yeon

People gathered to see the LG Rollable TV that rolls the screen into the main body / Photo by Woo Su-yeon

The Samsung Premium Store (672㎡) and LG Best Shop (680㎡) were built with similar sizes, each about 200 pyeong. Samsung's store is the largest premium store in the Seoul area and the second largest in the brand overall, following Galleria Gwacheon. LG Electronics' The Hyundai Seoul store is the largest LG Best Shop located in domestic department stores.

After touring both stores, LG Electronics had an advantage in spatial comfort and a pleasant environment for browsing or consulting about home appliances. Samsung Electronics allocated about one-third of the same area to the mobile sector and designed a separate consultation space inside the home appliance store for premium customers. Conversely, consumers who want private consultations for premium products would likely prefer Samsung Electronics' store.

Meanwhile, The Hyundai Seoul, the largest department store opened that day, spans from 7 basement floors to 8 above-ground floors, with a sales area of 89,100㎡ (about 27,000 pyeong). It houses a total of about 600 domestic and international brands, including not only Samsung and LG but also Microsoft, Dyson, Apple, Sony, Nikon, and various other electronic appliance and IT device brands.