Discussion on Increasing Cooperation in the Product Sector
Follow-up Measures after CJ and Shinsegae Business Partnership Agreement (MOU)
Retail industry giants have strengthened their strategic partnership.
Shinsegae Group and CJ Group announced on the 4th that key executives from both companies, including Kang Shin-ho, Vice Chairman of CJ CheilJedang, Park Min-seok, Head of CJ CheilJedang Food Business Division, Han Chae-yang, CEO of E-Mart, and Hwang Woon-gi, Head of E-Mart Merchandising Headquarters, gathered at the CJ CheilJedang Center in Jung-gu, Seoul, to discuss expanding cooperation in food manufacturing and distribution. This is a follow-up to the 'CJ-Shinsegae Business Partnership Agreement (MOU)' signed in June.
At the meeting, CEO Han Chae-yang emphasized, “Let’s combine the No.1 DNA in distribution and manufacturing to create products that customers will be passionate about.”
On the 30th of last month, Shinsegae Group and CJ CheilJedang held a meeting at the CJ CheilJedang Center in Jung-gu, Seoul, to discuss expanding cooperation in product manufacturing and distribution. (From left) Kim Sang-ik, Head of Food Korea at CJ CheilJedang; Park Min-seok, CEO of CJ CheilJedang Food Division; Kang Shin-ho, Vice Chairman of CJ CheilJedang; Han Chae-yang, CEO of Emart; Hwang Woon-gi, Head of Product Division at Emart; Lee Hyung-soon, Head of HomeMeal at Emart.
The key executives from both companies agreed to continue product development from the customer’s perspective by having E-Mart propose ideas based on its accumulated distribution experience and customer data, while CJ CheilJedang produces products leveraging its technological capabilities. They plan to maximize collaboration by sharing consumer responses to the strategic products launched so far.
First, the two companies decided to expand CJ CheilJedang products that are pre-launched at E-Mart. Additionally, CJ CheilJedang products exclusively available at E-Mart will also be expanded. In line with this, E-Mart plans to pre-launch and sell new frozen home meal replacement (HMR) products, one of CJ CheilJedang’s major product lines, within this year.
Next year, they will enter new markets. In response to the trend of dining at home and value-for-time (performance per time) trends, experts from CJ CheilJedang and E-Mart will collaborate to derive insights based on customer data, aiming to introduce HMR products optimized for consumer needs next year.
Products launched through the collaboration between E-Mart and CJ CheilJedang will expand customer touchpoints not only through E-Mart but also through various E-Mart distribution channels such as Traders, Everyday, E-Mart24, and SSG.com.
Along with this, both companies will put full effort into comprehensive marketing collaboration. Products will be displayed in new ways at E-Mart stores, and the CJ CheilJedang brand section will be expanded in online malls. They will also plan specialized content to raise awareness of strategic products and actively promote new products together on both companies’ social media (SNS) channels to encourage voluntary spread.
E-Mart and CJ CheilJedang have been continuing strategic collaboration since last year, leveraging each company’s core competencies. This has included cooperation from the planning stage such as product concept development to launch innovative products or pre-launching CJ CheilJedang’s key new products like dumplings and Hetbahn on Shinsegae platforms. CJ CheilJedang-E-Mart pre-launch or exclusive sale products released so far include Bibigo Bungeoppang and Hetbahn Ganghwa Island Rice.
A CJ CheilJedang official stated, “Based on CJ CheilJedang’s technological and brand strengths and E-Mart’s operational and platform planning capabilities, we will continue to introduce innovative products and services from the consumer’s perspective.”
An E-Mart official said, “E-Mart and CJ CheilJedang are companies with the most diverse consumer touchpoints in Korea, and by combining the know-how each holds, we will increase innovative products that provide real benefits to customers’ lifestyles.”
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