[Asia Economy Reporter Kim Yuri] Department stores are significantly increasing the volume of major sales items such as luxury goods and fashion in preparation for the October autumn regular sale. The strategy is to absorb the shopping demand concentrated during the substitute holiday period and to continue expanding consumption until the end of the year by leading each company's representative events both online and offline consecutively.
According to the distribution industry on the 27th, major department stores such as Lotte, Shinsegae, and Hyundai will hold autumn regular sales from the 1st to the 17th of next month. Unlike previous years, this year's sale period includes two substitute holiday weekends for National Foundation Day and Hangul Day. Usually, holidays have a negative impact on department store sales due to a surge in travel demand, but this year, with the ongoing spread of COVID-19, department stores expect many people to choose 'consumption instead of travel.'
Lotte Department Store will offer up to 40% discounts on products from about 40 famous brands, including golf wear and outdoor clothing during this period. A Lotte Department Store official said, "We plan to run promotions for golf and outdoor product categories suited for outdoor activities," adding, "We expect consumption to increase through gift certificates exchanged among families after the Chuseok holiday. Also, with the vaccination rate rising and more people receiving their second dose, we see early to mid-October as the first step toward with-COVID-19, so we are preparing the regular bargain sale."
From the 18th of next month, a large-scale sale will also be held on the online mall called 'Lotte Onsesang.' Last year, seven Lotte distribution affiliates, including Lotte Department Store and Lotte Mart, participated in this event, offering discounts on products worth 2 trillion won over ten days.
Shinsegae Department Store is targeting consumers longing for travel during the autumn sale period by exhibiting photos and videos taken by Magnum photographers with Italy as the theme at all stores, and selling Italy-related products with discounts in conjunction with the exhibition. They are also preparing for 'Korea SSG Day,' a large-scale discount event involving all affiliates next month. Shinsegae Group recorded sales of 640 billion won during the week-long SSG Day event held at the end of October last year.
Hyundai Department Store will also have about 300 brands participating across all stores, selling new autumn season products at 10-30% lower prices compared to the initial selling price in categories such as fashion, accessories, sports, and cosmetics. A department store official said, "We expect high sales in luxury and fashion categories due to increased consumption after Chuseok and the effect of revenge consumption caused by COVID-19."
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