"Must Live in 'Expensive Apartment' for Discounts and Free Parking? Department Store Discrimination Controversy"

Nearby Residents Express "Relative Deprivation" and "Unfairness" in Outrage

Pyeongchon Signiel Club Event. Photo by Lotte Department Store website capture.

[Asia Economy Reporter Kim Bong-ju] A famous department store in Gyeonggi Province has been embroiled in controversy for holding an event that offered discounts and free parking benefits only to residents of high-end apartments.

Lotte Department Store Pyeongchon Branch has been running a membership program called the 'Pyeongchon Signiel Club' since September last year, targeting nearby areas such as Gwacheon, Gunpo, Anyang, and Uiwang in Gyeonggi Province.

The department store promoted that those who joined the membership by the 31st of last month would receive various benefits such as free parking and discounts.

The problem was the eligibility criteria for joining. The event's membership qualification was limited to residents of 'representative' apartments designated by the store in the nearby areas.

However, rumors spread that these 'representative' apartments were only the high-end apartments that are among the most expensive in the region, sparking accusations of discrimination.

The sale prices of these apartments range from a minimum of 800 million KRW to a maximum of 2 billion KRW for an exclusive area of 84㎡. Among them, Gwacheon Prugio Summit is a high-end apartment, with a large-sized exclusive area of 121㎡ recently traded at 2.66 billion KRW.

Local residents expressed frustration, saying, "We feel deprived," and "It is unfair to provide benefits just because someone lives in a high-end apartment."

The department store explained that the criteria for 'representative apartments' were not 'high-end apartments' but rather apartments where many customers who significantly contributed to the department store's sales over a certain period reside.

Experts point out that distinguishing customers based on specific apartments like this is socially undesirable.

As the controversy spread, the department store changed the membership name to 'Apartment Club' and announced that the event target was changed to residents of apartments in all nearby areas.