High Inflation Also Affects Online Shopping... What Changes?

WEMAKEPRICE, 'Home Farming' Item Sales Increase
Tmon Survey Shows "Online Shopping Surges Amid High Inflation"

[Asia Economy Reporter Kim Cheol-hyun] It has been revealed that high inflation is also affecting online shopping. Amid soaring prices, a 'Home Farming' trend has emerged where people grow and harvest their own vegetables and fruits, and overall, the frequency of using relatively affordable online shopping has increased.

According to Wemakeprice (WEMAKEPRICE), an analysis of sales data from the 10th of last month to the 9th of this month showed that sales of home farming items have significantly increased compared to the same period last year. This consumer trend is mainly driven by younger generations who are interested in reducing the burden of food expenses while enjoying hobbies at home.

First, sales of seedlings and seeds, which even beginners can easily start with, surged. Sales of lettuce seedlings and green onion seedlings increased by 98% and 197%, respectively, while radish seeds (27%) and chili pepper seeds (67%) also rose compared to the previous year. Mini flowerpots sales increased by 116%, and plant cultivation devices by 297% year-on-year. Sales of related supplies such as repotting soil (34%) and gardening scissors (176%) also rose together.

Besides home farming items, many people sought out imperfect vegetables and frozen vegetables. According to the 'July Consumer Price Trends' released by Statistics Korea, vegetable prices rose by 25.9% and dining-out prices by 8.4% compared to the previous month, making cheaper ingredients popular. Sales of fallen fruit (43%), imperfect potatoes (120%), and imperfect shiitake mushrooms (696%) also increased year-on-year, and sales of frozen vegetable mixes (27%) and mixed vegetables (88%), which can be stored and used for a long time, rose as well.

In a recent price survey conducted by TMON with 787 customers, 95% of respondents said prices have 'risen significantly' compared to a year ago, and one in two said their frequency of using online shopping platforms like TMON has greatly increased. Consumers reported feeling the impact of price increases most when purchasing daily necessities. 94% of respondents said they feel price increases when buying food and daily necessities, and when asked which items they think have seen the biggest price changes compared to last year, 85% answered food expenses.

The trend of 'frugal consumption' has also grown. When asked about the most important factors when shopping, 36% chose price, and 65% said that due to rising prices, they have become more interested in products nearing expiration dates, refurbished items, and secondhand goods. Accordingly, TMON's 'Frugal Shopping' section sales in July increased about eightfold compared to April. In particular, sales in the food sector surged 20 times, and sales of home appliances and digital products increased 27 times. The 'TMON Uniform Price' store saw sales increase eightfold during the same period, and sales of the '10-Minute Attack' discount event, held daily from 10 a.m. for 10 minutes, rose more than threefold, highlighting the prominence of value-oriented consumption.