Transformation of 'Dongdaemun Clothes'... Riding the Platform to 'K-Fashion'

Overseas Orders Surge Through Startup Platform

[Asia Economy Reporter Kim Cheol-hyun] Wholesale clothing from Dongdaemun Market is targeting the global market as 'K-Fashion.' The enabler is a platform operated by startups. The platform connects market wholesalers with overseas buyers. Merchants do not have to worry about the various complicated procedures required for export, such as language support, logistics, and customs clearance. Results are also emerging, with overseas orders increasing significantly. Startups are playing a role in leading small and medium-sized merchants to become export companies.

Linkshops announced on the 18th that approximately 200,000 clothing designs were sold to overseas buyers through its platform last year. In terms of order volume, there were over 1 million orders, and the number of Dongdaemun wholesale companies receiving overseas orders through Linkshops reached 2,300. Overseas buyers from 94 countries, including Greater China, North America, Europe, and South America, are members of Linkshops. The number of countries where actual exports have taken place is 39.

Linkshops operates a platform that mediates between Dongdaemun and Namdaemun fashion wholesale markets and domestic and foreign companies. It began actively targeting markets such as Greater China from last year to assist Dongdaemun fashion wholesalers. This was due to the merchants' urgent need for exports. After COVID-19, visits to Dongdaemun Market decreased, while online traffic increased and the proportion of global buyers began to rise. Dongdaemun fashion had to find a way to survive through exports.

On the 23rd, Pyeonghwa Market and Cheonggyecheon in Jung-gu, Seoul. Photo by Jinhyung Kang aymsdream@

To this end, Linkshops has created an environment where global buyers can purchase by supporting five languages. Customer satisfaction (CS) services are also provided by language. Price changes due to exchange rates are made visible at a glance. To provide reliable information, training was also conducted for wholesale companies. Oh Young-ji, CEO of Linkshops, said, "Wholesalers wanted to export but were struggling because they did not know how to do it," adding, "If global buyers and wholesalers focus on what they do best, Linkshops will take responsibility for the rest."

Delicious’s fashion wholesale and retail trading platform 'Shinsang Market' also contributed to Dongdaemun fashion exports by entering the global market last year. Targeting Japan and Greater China, it intensified its efforts, resulting in a 194% increase in retail clients in Greater China and a 178% increase in Japanese clients compared to the previous year. Based on this, the total transaction amount, which was 572.3 billion KRW in 2021, increased by 37% to 784.9 billion KRW last year.

Delicious explained that this was the effect of Shinsang Market becoming an essential service for domestic fashion wholesale and retail businesses and presenting a customized export strategy for Dongdaemun fashion. Jang Hong-seok, CEO of Delicious, said, "We plan to continue providing standardized systems and various solutions so that competitive K-Fashion can be easily traded globally."