Popular Household Goods Combine Value and Design
Daiso Leads Offline, While Aliexpress Challenges with Ultra-Low Online Prices
Aliexpress Expands Its Influence in Korea with 9 Million Monthly Active Users
#University student Park recently set up a studio apartment, purchasing storage cabinets from Daiso and ordering mood lamps and other interior accessories from Aliexpress. While Daiso allowed immediate use after buying from a nearby store, there were limited options for interior decor. Park said, "I frequently saw 'room decor Aliexpress recommendations' videos on TikTok (a short-form platform), so I checked out the Aliexpress App. The prices were reasonable, and there were many trendy products with various designs," adding, "I was happy to create a cozy atmosphere in my room with a mood lamp and 2,000-won curtain lights."
Amid an economic downturn and high inflation, consumers with tighter budgets are turning to ultra cost-effective interior accessories for a mood boost.
According to Statistics Korea on July 23, the total value of online overseas direct purchases in the first quarter of this year reached 1.955 trillion won, up 4.7% from the same period last year. Of this, direct purchases from China through Chinese e-commerce platforms such as Aliexpress and Temu amounted to 1.2204 trillion won, a 19.46% increase year-on-year. Purchases of household and automotive goods surged by more than 50%, rising from 95.2 billion won to 147.3 billion won.
Aliexpress is targeting consumers with low prices and a wide product selection. Currently, Aliexpress displays home interior categories by space, such as kitchen, home office, bathroom, bedding, garden/balcony, bedroom, and living room. The bedroom category is further subdivided into items like objets d'art, interior mirrors, tapestries, and accent stickers.
Its price competitiveness is also outstanding. For example, fabric posters for wall decoration typically cost over 10,000 won on domestic platforms, but on Aliexpress, they are available for 4,000 to 5,000 won-about half the price. Scandinavian-style vase decorations can be purchased for around 3,000 won on Aliexpress. Since interior products are often bought to change the atmosphere according to the season, the vast product range and affordable prices have become major advantages.
This consumer trend has led to a steady increase in Aliexpress users. According to data research firm WiseApp Retail, Aliexpress's monthly active users (MAU) in Korea last month reached 9,052,103, making it the second-largest general online mall after Coupang (33,949,251 users).
While Aliexpress dominates online with a wide variety of trendy, value-for-money items, offline, consumers flock to Daiso for its accessibility and low prices under 5,000 won.
Daiso, a fixed-price household goods retailer, has achieved record-breaking results every year as "recessionary consumption" spreads, thanks to its policy of pricing all products under 5,000 won. Last year, Daiso's sales approached 4 trillion won, up 14.6% from the previous year. During the same period, operating profit surged by over 100 billion won, from 261.7 billion won to 371.1 billion won.
With ultra-low-priced items gaining popularity, Chinese brands Miniso and Yoyoso have entered the Korean market directly. Japanese brands Don Quijote and Threeppy have recently opened pop-up stores in Korea as they consider entering the market more fully.
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