Shinsegae Gangnam Branch Surpasses 3 Trillion Won in Sales for Third Consecutive Year... "Aiming for 4 Trillion Won Next Year"

Achieved Three Weeks Earlier Than Last Year... Fastest Record Set
Largest Luxury Lineup in Korea... Completion of the Largest Food Hall
Foreign Customer Sales Up 71%... Surge in New VIP Customers
Aiming for 4 Trillion Won in Sales Next Year... Elevating the Status of K-Department Stores

On November 7, Shinsegae Department Store Gangnam Branch became the first among domestic department stores to surpass a cumulative annual sales (transaction amount) of 3 trillion won this year.

This marks the third consecutive year since 2023 that the branch has exceeded 3 trillion won in sales, achieving this milestone two months earlier than in 2023 (December 24) and about three weeks earlier than last year (November 28), setting a new record for the fastest achievement. The company attributed this success to continuous investment and spatial innovation, which have strengthened its core competitiveness.

Shinsegae Department Store Gangnam Branch. Provided by Shinsegae Department Store

The Largest and Most Diverse Luxury Lineup, Exclusive and First-Ever Stores in Korea

Shinsegae Department Store Gangnam Branch achieved this result by offering the largest luxury lineup among single-location department stores in Korea. This year, luxury sales accounted for 40% of the branch's total sales. The branch houses approximately 100 stores featuring the three major luxury brands-Hermes (4 stores), Louis Vuitton (3 stores), and Chanel (4 stores)-as well as global brands such as Gucci (6 stores), Dior (4 stores), Bottega Veneta, and Prada. These brands are represented in various specialized boutiques, including men's and women's, beauty, shoes, jewelry, and kids' lines.

The branch also introduced the first Korean store for Baby Dior, the children's line of the French luxury brand Dior. Last year, it opened Korea's first Louis Vuitton jewelry boutique, which is the third of its kind globally after France and Japan. Additionally, the only Audemars Piguet store in Korea is operated at the Shinsegae Gangnam Branch.

The branch also features all four of the world's leading luxury jewelry brands: Bulgari, Tiffany, Cartier, and Van Cleef & Arpels. As a result, luxury jewelry sales have continued to grow, with sales in this category increasing by more than 30% year-on-year through October of this year.

Customer-Centered 'Spatial Innovation'... VIPs, Foreigners, and Millennials & Gen Z Flock In

Shinsegae Gangnam Branch has reached the pinnacle of spatial innovation through a decade of continuous renovation investment. After beginning the expansion and renovation of its new building in 2016, the branch completed the largest food hall in Korea.

The Gangnam Branch food hall, spanning 6,000 pyeong (about 20,000 square meters), sequentially opened the dessert specialty zone "Sweet Park" and the premium food hall "House of Shinsegae" last year, followed by the newly renovated "Shinsegae Market" in February this year-its first renewal in 16 years-and a premium deli specialty zone in August. Following these renovations, the food hall's sales increased by more than 20%, and it has become a global hotspot attracting more than 100,000 visitors per day on weekends, including many foreign customers.

This year, for the first time, VIP customers accounted for more than half (52%) of the branch's total sales. Notably, the number of Red-level (entry-level, annual purchases over 5 million won) VIP customers at Shinsegae Department Store grew by about 10%, expanding the base of loyal customers.

The Gangnam Branch is also a popular destination for foreign tourists. Driven by the K-food trend and word-of-mouth on social media, tourists flocked to the country's largest food hall, including Sweet Park, House of Shinsegae, and the deli specialty zone, resulting in foreign customer sales increasing by more than 71%.

Additionally, pop-up stores utilizing the branch's unique intellectual property (IP) have attracted Millennials & Gen Z customers. This year alone, 1.6 million customers in their 20s and 30s visited the Gangnam Branch pop-up stores, and 70% of purchasing customers were new to the branch with no prior purchase history.

Juhyung Park, President and CEO of Shinsegae Department Store. Provided by Shinsegae Group

Targeting 4 Trillion Won in Sales Next Year... "Competing with the World's Top Department Stores"

Shinsegae Gangnam Branch aims to achieve 4 trillion won in sales next year. The number of branches with annual sales exceeding 1 trillion won is expected to increase from four (Main Branch, Gangnam Branch, Centum City, Daegu Shinsegae) to five. Daejeon Shinsegae Art & Science is showing strong growth, recently adding a Louis Vuitton store, and is likely to reach 1 trillion won in annual sales by the end of the year.

Centum City is expected to reach 2 trillion won in sales by the end of this month, one month earlier than last year. The Main Branch in Myeong-dong opened "The Heritage" space this year, establishing itself as a venue that encompasses culture, history, and art. The Daegu Branch has solidified its position as the leading department store in the Daegu and Gyeongbuk regions through the full renovation of Sweet Park and the children's zone.

Juhyung Park, President and CEO of Shinsegae Department Store, stated, "Gangnam Branch will not stop at the early achievement of 3 trillion won in sales. We will continue to innovate to elevate our status as a global top department store, enhancing the reputation of K-department stores and earning love as a department store recognized worldwide. Led by Gangnam Branch, we will position landmark stores in major regions nationwide and operate department stores at an entirely new level of competitiveness."