Sharp Performance Growth Since Last Year After Integration into Hyundai Department Store Group
Zinus, acquired by Hyundai Department Store last year, is rapidly establishing itself in the domestic mattress market. Zinus plans to grow its domestic sales to around 300 billion KRW within the next three years by expanding synergies with group affiliates and launching products exclusively for the domestic market.
Zinus, a global furniture and mattress specialist affiliated with Hyundai Department Store Group, announced on the 13th that its domestic sales last year reached 51.6 billion KRW (based on supply price). This marks a 66.4% increase compared to 31 billion KRW in 2021, achieving the highest sales ever. A Zinus representative explained, “Despite the challenging market environment last year due to the real estate market downturn, we surpassed 50 billion KRW in annual sales within three years of starting sales in Korea in 2019, becoming the largest sales country among the 18 countries we have entered, excluding the United States.”
Since joining Hyundai Department Store Group in May last year, Zinus has grown into a global mattress company by pioneering compressed packaging using boxes for delivery. It currently holds the number one position in the North American online mattress market, including the mattress heartland, the United States. It also ranks first in cumulative sales in the mattress category on Amazon.
After becoming part of Hyundai Department Store Group, Zinus has actively worked to raise brand awareness. Last year, it opened new Zinus stores at Hyundai Department Store’s Sinchon branch and D-Cube City. Pop-up stores were operated at seven locations including The Hyundai Seoul, Cheonho, KINTEX, and Ulsan branches. Last month, a large-scale customer experience pop-up store was held at the Mia branch, with plans to sequentially hold similar events at other branches such as the Jungdong branch. Zinus stated that over 400,000 customers have visited the pop-up stores held since September last year.
Zinus has also expanded its online channels. In September last year, it opened a ‘Zinus section’ on The Hyundai.com, Hyundai Department Store’s official online mall. Last month, it launched a ‘Zinus specialty section’ on Hyundai Easywell’s welfare specialty mall, the top company in selective welfare in Korea. Zinus’s main products are also sold on Hyundai H Mall, a comprehensive online mall operated by Hyundai Home Shopping.
Introducing a differentiated product lineup targeting the domestic market also contributed to strong performance. Since May last year, Zinus has been selling various new products in the domestic market. Korea is the first country for which exclusive products have been developed.
The domestic exclusive products actively reflect Korean consumers’ preference for stable support and firm firmness. From the development stage, these products were differentiated from the U.S. products, which favor a soft style that envelops the body. Unlike the U.S. products composed of four different material layers, up to 11 layers were combined to secure detailed and stable support. In addition to ‘memory foam mattresses’ and ‘hybrid mattresses’ combining memory foam and springs, three types of ‘premium spring mattresses’ not available in the U.S. market were newly introduced. A Zinus representative said, “We developed and launched domestic exclusive products reflecting mattress preferences by synthesizing customer feedback from over 120,000 domestic reviews and experiences gained through Hyundai Department Store pop-up store operations.”
The initial batch of 20,000 Korean-style products sold out within two months. Even in the second half of last year, when the domestic living market entered a downturn, mattress sales increased by 50%. The high growth trend has continued this year as well. Zinus’s domestic business sales from January to February increased by 56% compared to the same period last year.
Zinus is preparing to launch a high-quality mattress series targeting the premium mattress market this year. The new products will be completely distinct from existing Zinus mattresses, produced in the U.S., and will use the same materials as high-end mattresses. Zinus plans to increase its domestic business sales to around 300 billion KRW by 2025 through full-scale product lineup expansion and strengthening of its sales network.
A Zinus representative said, “Zinus is a global mattress company with the world’s largest advanced mattress production facilities,” adding, “By combining manufacturing competitiveness with Hyundai Department Store Group’s premium distribution network, we will continuously introduce mattress products that reflect diverse customer needs.”
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