The number of customers using Korean online malls is sharply increasing not just in China and North America, but in new markets around the globe.
SimpleX Internet, which runs Korean eCommerce solutions specialist cafe24, says Korean cross-border shopping malls are tapping into markets in Southeast Asia, Europe, South America and Australia.
President Lee Jae-suk says while making the best use of the online environment that provides an easy way to reach customers around the world compared with the offline market, many Korean shopping malls have had success from customising their website experience and offer to each country.
Funny Love, an online shopping mall specialising in ‘family looks’ has become so successful online, it opened an offline shop in Kazakhstan recently. This is the outcome of the cross-border shopping mall that has drawn great attention among local consumers since 2013. The company’s belief that ‘Korean style family look’ would fit perfectly into the sentiment of Asian people has come true, and thus, the expansion of their sales channels to Vietnam and Singapore.
Mother’s Corn which specialises in eco-friendly tableware for children, made from plant materials, has acquired the strict CE mark and the Federal Institute for Drugs and Medical Devices certificate through its own manufacturing technology. As a result, this has enabled the company to make inroad into markets in over 10 countries in Southeast Asia and Europe, including the Philippines, Indonesia, France, Poland and Germany. It has doubled its overseas sales as of May of this year compared with the same period last year.
President Kim Mi-jin explained: “We won the trust of consumers around the world by providing details of the products using various online contents. We will expand the demand in Europe by releasing new products such as dishwashers.”
Jam Studio, the design props dealer, boosted its business through cross-border shopping mall targeting Southeast Asia. Even slightly more expensive products are selling well due to the popularity of the Korean Wave in Southeast Asia. The customised marketing using Social Networking Services (SNS) such as Facebook and Instagram also played a part.
In addition, shopping malls carrying environment-friendly organic products for Canadian and Australian consumers and those carrying moisturising cream for consumers in hot regions of Southeast Asia are also examples of marketing based on the characteristics of each country.
Language is no barrier for consumers using Korean crossover shopping malls around the globe. Korean companies setting up cross-border shopping malls through cafe24 can do so in English, Chinese, Japanese, Spanish, and Portuguese through cafe24, and French and German will be available within this year as well.
“7 billion people around the world are purchasing Korean products through the experienced eCommerce infrastructure,” said Lee Jae-suk of cafe24 parent SimpleX Internet.
“Korean cross-border shopping malls will strengthen their competitive edge with strategies customised to each country.”
