Record-High Direct Online Sales to the U.S.
Driven by Surge in K-Beauty Consumption
In September, the value of online shopping transactions reached 23.7956 trillion won, driven by strong Tesla sales and the effect of a later Chuseok holiday. This marked the highest monthly transaction value since related statistics began in 2017. In the third quarter, direct overseas sales to the United States also hit a record high since data collection began, fueled by increased consumption of K-beauty products among American consumers.
On the 13th, customers, mostly foreigners, were selecting cosmetics at Olive Young Myeongdong store. Photo by Huh Younghan younghan@
According to the data, the online shopping transaction value in September totaled 23.7956 trillion won, setting a new monthly record since the compilation of relevant statistics began. The largest increase was seen in automobiles and automotive products, which rose by 559.8 billion won (a 136.4% increase). This was attributed to rising sales of Tesla's new models through its online order system, as well as an increase in used car transactions. Additionally, the combined effects of increased sales of major items such as automobiles and food, and the concentrated holiday spending due to the late Chuseok, contributed to the surge.
Due to the late Chuseok holiday, online consumption of food and beverages increased by 538.7 billion won, or 17.7%, compared to the same month last year. This year, Chuseok fell on October 6, nearly 20 days later than last year (September 17), concentrating holiday spending in September. Travel and transportation services also rose by 12.0%, or 310 billion won, year-on-year. While the use of public delivery apps, which accept delivery orders using government-issued consumer coupons, increased, the growth rate of food service consumption slowed to 6.2% in September, compared to a 9% increase in August. Month-on-month, food service consumption actually decreased by 9.7%.
By product category, food and beverages accounted for 15.1% of total transaction value, followed by food services (14.0%) and travel and transportation services (12.2%). Mobile shopping transactions amounted to 18.0552 trillion won, an 11.0% increase from the same month last year. The share of mobile shopping in total online shopping transactions was 75.9%, down 1.6 percentage points from 77.5% a year earlier.
In the third quarter, direct overseas online sales reached 694.3 billion won, up 7.8% year-on-year, marking the fourth consecutive quarter of growth. Notably, sales to the United States surged by 28.1% compared to the same quarter last year, with the value of direct sales to the U.S. reaching its highest level since statistics began in 2014. An official from the National Data Office explained, “This is due to a significant increase in cosmetics sales as K-beauty consumption grows.” However, direct sales to China decreased by 11.6% year-on-year.
Korean consumers’ direct overseas purchases reached 2.1224 trillion won, up 9.2% year-on-year, marking the eleventh consecutive quarter of growth. By region, direct overseas purchases were highest from China (1.4141 trillion won), followed by the United States (347.9 billion won) and Japan (150.3 billion won). In the case of China, a significant portion was attributed to direct purchases through low-cost distribution platforms such as Aliexpress and Temu. Compared to the same quarter last year, direct purchases from China (up 19.9%), Japan (up 9.1%), and ASEAN countries (up 30.3%) all saw significant increases.
© The Asia Business Daily(www.asiae.co.kr). All rights reserved.
