Department Stores and Large Marts Eliminating Paper Receipts... "Capturing Value Consumption"

Shinsegae Department Store Cuts 60 Million Transactions in 5 Years
Lotte Department Store Reduces Paper Receipt Costs by 70%
Homeplus Aims for 40% Conversion by 2025

[Asia Economy Reporter Lim Chun-han] Department stores and large supermarkets are expanding mobile receipts and moving towards zero paper receipts. This strategy aims to enhance corporate image in line with recent value consumption trends, increase the number of mobile application (app) users, and achieve cost savings.

According to the industry on the 29th, Shinsegae Department Store has saved about 60 million paper receipts since introducing mobile receipts in April 2017. The issuance of mobile receipts increased by 30% compared to the same period last year. This year, 40% of mobile app users have set electronic receipt issuance.

Lotte Department Store introduced mobile receipt issuance in July 2018, and so far, 5 million customers have used the mobile receipt service. Lotte Department Store was able to reduce paper receipt purchases by 80% last year and related expenses decreased by 70%.

Hyundai Department Store has been implementing a mobile receipt priority issuance service at all stores since the 27th. Last year, 160 million paper receipts were issued at Hyundai Department Store and Hyundai Outlet, and replacing them with mobile receipts is expected to have the same effect as planting about 1,700 30-year-old trees.

On the 29th, a model is introducing the mobile receipt issuance service at Homeplus Gangseo branch in Seoul.

The issuance rate of mobile receipts is also increasing in large supermarkets. At E-mart, the mobile receipt issuance rate was about 10% in 2019 but has now expanded to 30%, and the number of customers setting mobile receipts increased by 20% compared to the end of last year. Through this, 170 million paper receipts have been saved cumulatively as of this month.

Homeplus aims to convert 40% of all receipt issuances to mobile receipts by 2025. As of this month, Homeplus's mobile receipt issuance rate is 22.6%, achieving about 90% of this year's target.

An official from the distribution industry said, "We are expanding electronic receipt issuance to realize the social value of environmental protection and to quickly respond to customer demands," adding, "We will continue to carry out various eco-friendly campaigns that customers can participate in."