"Luxury Brands, Where Customers' Eyes Reach" Shinsegae Gangnam Store's 'New Space Strategy'

Shinsegae Department Store Gangnam Branch is hosting a pop-up store showcasing Louis Vuitton's 2021 Fall/Winter new collection across five floors from the 30th of last month until the 15th of this month. On the 31st of last month, visitors were browsing products at 'The Stage' on the first floor.

Newly Renovated Shinsegae Gangnam Store
Louis Vuitton Pop-up Store Across 5 Floors
Initiates a New Spatial Strategy
In-house Luxury Cosmetic Brands
Maximizing VIP Exposure and Increasing Brand Awareness

[Asia Economy Reporters Yuri Kim and Seungjin Lee] Following a major renovation of the first floor, known as the 'face of the department store,' Shinsegae Department Store Gangnam has launched a Louis Vuitton pop-up store spanning five floors, embarking on a 'new spatial strategy.' This strategy places the core luxury lineup of the Gangnam store along customer pathways where visitors’ eyes and hands can easily reach, leveraging the greatest strength of offline retail: 'experience.'

◆ Louis Vuitton’s New Products Catch Attention on Every Floor

On the 31st of last month, the Shinsegae Gangnam store was visited. Despite social distancing measures making weekends quieter than usual, 'The Stage' on the first floor was bustling with visitors. This is the autumn/winter new product pop-up store presented in collaboration with Louis Vuitton until the 15th of this month. The pop-up store, located along the main customer flow from the first to the fifth floor, naturally attracts attention even from customers who are not specifically there to buy luxury goods. Shinsegae’s strategy is to foster interest by making luxury products easily accessible to customers.

The Gangnam store showcased new products such as the Cannes bag (4.37 million KRW) created in collaboration with the Italian art and design atelier 'Fornasetti.' The Patty ankle boots (2.61 million KRW), Patty wedge high boots (3.14 million KRW), and items from the 'Star Blossom' collection including bracelets, earrings, and pendants in white gold are exclusive to the Gangnam store, according to the department store.

Previously, in July 2019, the Gangnam store also launched a pop-up store featuring new products across all Louis Vuitton categories. Last year, exclusive products were introduced through events such as strikes at Chanel and Louis Vuitton Men’s sections, contributing to a 23.1% year-over-year increase in luxury sales in the first half of the year despite the COVID-19 pandemic.

Shinsegae Department Store Gangnam Branch is hosting a pop-up store showcasing Louis Vuitton's 2021 Fall/Winter new collection across five floors from the 30th of last month until the 15th. View of the men's collection pop-up store on the 6th floor (Photo by Shinsegae Department Store).

◆ 'Love for Cosmetics' Evident in First Floor Layout

The newly renovated first floor of the Gangnam store, unveiled on the 27th of last month, has been reborn as a space where customers can experience over 100 brands including luxury cosmetics, scarves, and handbags.

Luxury cosmetic brands 'Poare' and 'Swiss Perfection,' led by Jung Yoo-kyung, Head of Shinsegae Group’s Department Store Division, are located right next to the VIP customer drop-off and pick-up entrance at the Gangnam store, aiming to increase brand awareness and sales. This is typically where overseas luxury brands are situated. The path to the VIP lounge, which will be established in the mezzanine (between the first and second floors) later this month, also passes by the Poare and Swiss Perfection stores.

Poare is an in-house cosmetic brand launched by Shinsegae International after acquiring the French brand 'Paul Poiret,' with a preparation period of 10 years. Swiss Perfection is a Swiss skincare brand acquired and introduced last year. As top-tier luxury brands, the plan is to maximize exposure to VIP customers to enhance brand recognition.

Poare is expected to actively target young VIP customers in their 20s and 30s among the VIP clientele. At the flagship store, Poare achieved 160% of its sales target, with customers in their 20s and 30s accounting for over 50% of total sales. Especially since young customers in their 20s and 30s have recently emerged as major luxury consumers at the Gangnam store, the department store expects to capture both brand awareness and sales for Poare.