South Korea’s retail sales grew 3.3 per cent year over year in August on the back of higher sales in convenience stores and super super market (SSM) operators, and online cosmetics and food retailers.
The Ministry of Trade, Industry, and Energy (MOTIE) surveyed 13 brick-and-mortar retailers and 12 online retailers, and saw a 7.6 per cent increase in convenience stores sales due to close proximity, small purchase shopping, and increased outdoor activities during the summer holiday season.
SSM operators reported a 3.2 per cent increase due to higher demand for fresh/prepared food products and processed food products, however flagging a sales decline in daily necessities.
Overall online sales during the month increased 8.1 per cent, thanks to sales in cosmetics and food, which grew 14.1 per cent and 13.0 per cent respectively. Online home/living sector grew 8.7 per cent, while online services sold jumped 13.3 per cent.
Overall brick and mortar hypermarket sales fell 8.4 per cent as home/living and food sales dropped 12.8 per cent and 7.9 per cent, respectively, due to slow demand for gift sets, fresh and processed food products.
Total department store sales 4.9 per cent as food products, foreign designer labels and men’s clothing sold declined.
The data also noted a 2 per cent decrease in fashion/clothing sales and 5.6 per cent decline in sports sales as consumers cut purchase of non-essential items amid lower consumer sentiment.
