"Lotte Department Store Dongtan Unveils 'Mega, Digital, Experiential' Sports Zone Captivating MZ Generation"

From the Largest 'Nike' Store in Southern Gyeonggi to 'Converse By You' Where You Can Design Yourself
Main Store Nike, Digital Concept Store Sees 4x Sales Increase Among MZ Generation After Opening

[Asia Economy Reporter Kim Yuri] The Lotte Department Store Dongtan branch, opening on the 20th, will showcase a sports section with the concept of 'super-large, digital, and experiential.' The strategy is to maximize the strengths of offline stores by showing various products all at once in a super-large store with a digital concept that adds fun for the MZ generation (Millennials + Gen Z) familiar with online shopping, and by creating a space where customers can experience beyond simple purchases.

According to Lotte Department Store on the 8th, the main store's 'Nike' was renewed and reopened last August as 'Nike Rise,' the largest digital concept store in the metropolitan area department stores (1124㎡). Sales from January to July this year increased more than threefold compared to the same period last year. In particular, sales from the MZ generation (people in their 20s and 30s) increased more than fourfold, and the proportion of MZ generation sales in total sales also rose by 10% to 58%. It is analyzed that the futuristic interior with full-screen displays and the ability to find all Nike lines in one place, including limited edition shoes, were key strengths.

Based on the success of the main store, Lotte Department Store is expanding the introduction of super-large sports stores to major stores nationwide. Following the Jamsil branch in July, the Busan main store will open the largest 'Nike Rise' store in Gyeongnam (1008㎡) on the 12th. The first 'Adidas BCS' concept store in the Busan area will also open.

The newly opening Dongtan branch will also house the largest 'Nike Rise' in southern Gyeonggi (1048㎡). It features LED interiors and Nike's digital service 'Assist.' This is an integrated online-offline service that allows customers to search online and receive free delivery if the desired color or size of a product is not available in-store. Reflecting the characteristics of the area where many young 'kids moms' raising young children reside, the kids and women's categories will be expanded and operated.

'Adidas' and 'New Balance' stores will also open as large megastores with areas of 509㎡ and 269㎡ respectively. They will showcase special lines such as Adidas's 'Consortium' products, which are collaborations with famous artists not sold in regular stores, and New Balance's 'USA MADE' line. 'Converse' will implement the largest in-department-store custom service space in Korea called 'Converse By You.' Customers who purchase new or bring existing Converse products to the store can customize shoes, t-shirts, eco bags, and more with their desired colors and designs.

Street sports brands will also be present. Representative brands include 'Vintril,' which is rapidly gaining popularity through SNS mainly among people in their 20s; 'Juoyk,' which has a strong fan base in the street fields of skateboarding, graffiti, and hip-hop in the U.S.; and 'Volcom,' which is very popular among young domestic surfers for its vivid colors and printing.

Song Hwaseok, Chief Sports Buyer (Senior Merchandise Planner) at Lotte Department Store, said, "We are reorganizing sports stores at major stores nationwide, including the newly opening Dongtan branch, with bigger and more fun content. We will leverage the unique strengths of offline stores that cannot be experienced online to make each store a 'sports sanctuary' representing its region."