Consulting Based on Competitor Monitoring
[Asia Economy Reporter Lim Chunhan] "I have always wondered which products sell best at competing companies and whether the trends I think are really popular now. Big data has solved all these questions and greatly helped me focus solely on my business."
On the 9th, Go Woo-ra, CEO of the women's clothing specialty shop ‘Larum,’ said that since applying big data to the shopping mall last year, sales in the first half of this year increased by 150% compared to the same period last year. This achievement was made possible by Cafe24 Marketing Center’s big data-based precise marketing combined with product competitiveness and branding.
Larum pursues a modern-sensibility daily look brand focusing on product quality and simple coordinated looks. It is also unique in not showing the model’s face in product introduction photos. This is because CEO Go believes that external factors should be minimized so consumers can focus on the products. She said, "We show various stylings by matching one item in different colors, and the response has been good."
While maintaining branding strategies to differentiate from competitors, Larum closely examined competitors’ trends in product composition. Through Cafe24 marketing consulting, they utilized big data from a total of 1.9 million shopping malls to analyze the latest trends and reflect them in product and event composition. Diagnosing a shortage of products in various categories including dresses, they increased the number of product varieties, which drove sales growth. Various events that were previously conducted without much thought could also be executed more strategically.
CEO Go explained, "Marketing consulting based on competitor monitoring was effective. Originally, we only held monthly regular sales and free shipping events, but based on competitor monitoring, we were advised to try sales events focused on reordered products. After that, sales increased by about 20-30%."
Strengthening communication through social networking services (SNS) also drove sales growth. By actively using Instagram as a branding space that consistently posts simple coordinated cuts, they engaged in active communication with customers.
Larum has been receiving steady inquiries about overseas shipping and plans to establish an overseas mall next year. CEO Go said, "We want to steadily grow while maintaining Larum’s brand value. Starting next year, we plan to actively develop the global market so that overseas customers can also experience Larum’s sensibility."
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