'Mobile First' CJ OnStyle Challenges to Become the Live Commerce Leader

TV Home Shopping Reorganized Around Mobile... Integration of O Shopping, CJ Mall, and T-Commerce
CEO Heo Min-ho "Confident in Competitiveness, Targeting 3 Trillion KRW in Sales for 2023"
Targeting 3,554 Women with O2O Service... Expanding Product Range by Professional Show Hosts

Heo Min-ho, CEO of CJ ENM Commerce Division (right), and host Lim Se-young are conducting the online launch briefing for 'CJ OnStyle' on the 28th.

[Asia Economy Reporter Jo In-kyung] CJ O Shopping is merging its TV home shopping, internet shopping mall (CJmall), and T-commerce (CJ O Shopping Plus) into one to launch a new integrated brand, 'CJ ONSTYLE,' on the 10th of next month. The company aims to shift the core of its TV home shopping business, which has been ongoing since 1995, to mobile, and based on its accumulated broadcasting experience, open the 'live personalized shopping' market that selects products perfectly suited to customers' tastes.

"The boundary between TV and mobile has disappeared"

On the 28th, Heo Min-ho, CEO of CJ ENM Commerce Division (CJ ONSTYLE), held an online briefing and stated, "In response to the media environment where the boundary between TV and mobile is disappearing, we aim to transform the business paradigm with a 'mobile-first' strategy," and declared, "We will become the strongest in live commerce." He also expressed his ambition to grow the merchandise handling volume in the digital sector by more than 15% annually to reach a scale of 3 trillion won by 2023.

CJ O Shopping's mobile division sales surpassed TV home shopping last year. Of CJ O Shopping's total merchandise handling volume of 3.882 trillion won in 2020, 50.5%, or 1.96 trillion won, came from the digital sector. CEO Heo predicted that by 2023, mobile sales will account for at least 60% of total sales. He said, "The competitiveness of live commerce lies in trustworthiness, expertise, and attractive products, just like broadcasting," and added, "CJ ONSTYLE was the first in the home shopping industry to start live broadcasting and has competitiveness with quality control (QC), delivery, and all other aspects."

The main customer base consists of women aged 35 to 54, corresponding to 'Millennial Moms' and 'Generation X.' These digitally savvy customers actively use O2O (Online to Offline) services that allow them to enjoy the advantages of both online and offline shopping. CJ ONSTYLE combines the product strength of specialty malls and the reliability of comprehensive malls to propose a lifestyle that satisfies customers' tastes beyond simple product sales.

CEO Heo explained, "We will differentiate ourselves from other commerce companies that are homogenized by lowest-price competition and fast delivery competition," and added, "Under the new theme of lifestyle proposals, we will pioneer a new market beyond the mature TV home shopping market."

Professional Show Hosts Engaged in Live Commerce

In line with the launch of CJ ONSTYLE, CJ O Shopping plans to significantly expand the range and types of live commerce products sold by professional show hosts. The three major category specialty malls?fashion, living, and beauty?will be presented in a curated shop format on mobile tailored to each category's characteristics. The fashion flagship store 'Celeb Shop' will focus on styling, the living curated shop 'Olive Market' will offer expert curation, and the beauty curated shop 'The Beauty' will provide expert reviews and other professional content to assist consumer purchases, thereby establishing differentiated competitiveness.

The mobile application (app) was also revamped to coincide with the new brand launch. A 'Live' tab was newly added to the CJ ONSTYLE mobile app menu, implementing a 'Multi-Live' feature that allows users to view broadcasts from home shopping, T-commerce, live commerce, and influencer commerce channels (Pick the Cell) all at a glance.

Through the app, all shopping information such as optimized coupon benefits, reward points, product orders, and delivery status is displayed clearly and in real time for individual customers. A 'Next Day Arrival' service will also be introduced, delivering products ordered before 11 p.m. the previous night by the next day.

CEO Heo emphasized, "As the originator of live commerce in the TV home shopping business, we will leverage our accumulated broadcasting know-how and platform capabilities to compete on mobile," and added, "We will help customers find their lifestyle with discerning products and brands, plan the optimal lifestyle, and enable customers to experience rational personalized consumption."