Shinsegae Department Store Busan Centum City Branch Surpasses 2 Trillion Won in Annual Sales for 2 Consecutive Years

First Two Consecutive '2 Trillion Club' Stores Outside Seoul
Significant Increase in K-Brand Since Last Year
VIP Facilities Strengthened and Entertainment Spaces Expanded Next Year

Shinsegae Department Store announced on the 23rd that the sales of its Busan Centum City branch surpassed 2 trillion won as of the 21st of this year. It became the first department store outside of Seoul to enter the '2 trillion won annual sales club' for two consecutive years following last year.

Exterior view of Shinsegae Department Store Centum City branch. Provided by Shinsegae Department Store

'K-Brand' Experience Sanctuary... Resonated with Both Domestic and International Customers

Shinsegae Centum City saw a 253% increase in foreign visitors as of the 21st compared to the same period last year. Last year, it recorded the highest foreign sales growth rate (668%) among all Shinsegae Department Store branches, and this year it has increased more than threefold from that. Shinsegae Department Store explained that the significant revamp of store composition with K-fashion and beauty brands by newly establishing the fashion specialty halls 'Hyperground' and 'New Contemporary' targeting customers in their 20s and 30s was effective.

Hyperground and the New Contemporary hall are spaces that gathered promising K-fashion brands, including the first department store outlets of domestic emerging brands like 'Pottery' and 'Imiss,' which previously sold products only online. This year, they continue to introduce new brands such as 'Lowraw,' 'No Manual,' 'Setter,' and 'Teal Dye,' maintaining ongoing changes.

Drawing positive responses from both domestic and international customers, Hyperground's sales from January to the 21st of this year increased by 49% compared to the same period last year, and the New Contemporary hall's sales rose by 23.3%. Notably, 20 brands including Imiss, Marithe Francois Girbaud, and Pottery have achieved monthly sales exceeding 100 million won, delivering performance comparable to famous overseas brands. New customers visiting Hyperground and the New Contemporary hall increased by 24% year-on-year, and customers from outside Busan also rose by 10%.

Besides K-fashion, K-beauty brands such as 'Tamburins' and 'Nonfiction,' which have entered in the past three years, saw sales increase by 34% compared to the same period last year. During the same period, the jewelry category centered on domestic brands like 'Honest Seoul' rose by 119%.

Shinsegae Department Store Centum City Branch 'Hyperground'. Photo by Shinsegae Department Store

Strengthening Competitiveness from Entertainment to Luxury Next Year... "Global Destination"

Shinsegae Department Store plans to continue its growth next year by diversifying new brands and entertainment options at the Centum City branch. Starting with the 'Sports Shoe Specialty Hall' which opened on the 20th, new F&B (food and beverage) stores and entertainment spaces such as 'Fun City' and 'Play in the Box' offering experiences, leisure, and relaxation will be introduced in the first half of next year.

Next year, the number of foreign visitors to Korea is expected to recover to pre-COVID-19 levels, and convenience for foreign shoppers will be improved by enabling immediate tax refund procedures at 80 stores, mainly domestic brands like Tamburins and Gentle Monster.

Additionally, premium competitiveness will be strengthened by improving and expanding VIP facilities and expanding luxury brands. Notably, in the first half of next year, the VIP lounge 'Upper House' (for customers who purchased over 120 million won the previous year), currently only available at the Gangnam branch, will be newly established. A comprehensive renewal to expand existing VIP lounges and Personal Shopping Rooms (PSR) is also planned within the next three years. VIP sales at Shinsegae Centum City have grown 73% over the past five years, significantly outpacing the 43% growth in general customer sales.

Kim Seon-jin, Vice President and Head of Sales at Shinsegae Department Store, said, "Shinsegae Centum City has pioneered the path of regional department stores and already demonstrates global competitiveness beyond nationwide reach," adding, "It will evolve beyond a 'must-visit course' in Busan to become a shopping and experience destination for both domestic and international customers."