Selected 500 Popular Processed and Household Products
Compensation of Price Difference in 'eMoney' if More Expensive Than Online
Automatic Comparison with Coupang, Lotte Mart Mall, and Homeplus Mall
"Offline is More Expensive" Awareness Improvement + Repeat Visit Effect
[Asia Economy Reporter Kim Yuri] Emart has entered the lowest price competition among e-commerce companies. If a product purchased offline is more expensive than from an online shopping company, the price difference is credited as 'e-money' to be used for the next purchase.
◆Price Comparison with Coupang and Others, Compensation for Price Difference
On the 8th, Emart announced the implementation of the 'Lowest Price Compensation Accumulation System.' The lowest price comparison targets are three online malls: Coupang, Lotte Mart Mall, and Homeplus Mall. It compares Coupang's Rocket Delivery products and Lotte Mart Mall and Homeplus Mall's store delivery products with the same product and same volume. From 9 a.m. to 12 p.m. on the day of purchase, the prices of Emart and the comparison channels are compared, and if there is a product purchased by the customer that is cheaper than Emart, the difference from the lowest price among them is credited as 'e-money.'
The products eligible for the 'Lowest Price Compensation Accumulation System' include about 500 top-selling processed and daily necessities products, including the number one products in each category such as Shin Ramyun, CJ Hetbahn, Seoul Milk, Coca-Cola, and Samdasoo. Emart has posted separate notices titled 'Lowest Price Compensation Accumulation' on the relevant products in stores to make them easily distinguishable. It can also be checked through the Emart app.
The compensation method is also simple. Enter the 'Receipt' tab at the bottom left of the Emart app and press the 'Price Compensation Application' button in the purchase receipt list. The application period is from 9 a.m. the next day after the purchase date up to 7 days. The 'e-money,' which can be used like cash at Emart, is credited in real time when the price compensation application button is pressed, and up to 3,000 points can be accumulated per day based on the purchase date. The usage period is 30 days. An Emart official said, "The app automatically compares prices," and "customers can easily receive compensation through the app."
◆"Offline is not expensive."
Emart's introduction of the 'Lowest Price Compensation Accumulation System' for major products aims to improve consumers' perception that offline prices are less competitive compared to online. Although Emart is strengthening its 'experience-type stores' and other offline channel strengths, if the perception that offline is relatively expensive remains, purchases will ultimately be made online. This lowest price compensation is intended to eliminate such prejudice.
Emart also aimed for a revisit effect. By limiting the 'Lowest Price Compensation Accumulation System' to 500 products, even if these products are sold at the lowest margin, consumers who visit and purchase other products together will lead to increased sales.
Choi Hunhak, Emart Marketing Executive Director, said, "Emart has strengthened the competitiveness unique to offline large marts through experiential elements such as existing store renovations and grocery product differentiation," and added, "We expect that the implementation of the 'Lowest Price Compensation Accumulation System' will be an opportunity to strengthen not only experiential elements but also price competitiveness."
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