Homeplus achieves strong sales increase with summer promotion

Shoppers browse through groceries at a Homeplus location in Seoul during the summer promotional event. (Homeplus)

South Korean discount chain Homeplus said Monday it saw a significant sales increase during it latest promotional event, which featured discounts on meat, vegetables and fruit, targeting peak demand in the summer vacation season.

The event, which ran from July 25 to Aug. 11, resulted in growth across both physical stores and online. According to the company, sales at Homeplus' five major branches surged by over 50 percent, with some branches seeing sales increases of up to 90 percent.

Meanwhile, Homeplus' online sales grew by nearly 12 percent during the event.

In particular, the performance of its quick commerce service saw a 33 percent increase on-year, while sales from its app-based pickup service jumped by 133 percent compared to the previous year. Within just ten days of the event's launch, the company's membership program gained more than 100,000 new members.

"Such strong response from consumers was even greater this year than last year's event, as it aligned perfectly with consumers' needs for affordable grocery shopping during the vacation season," said Kim Sang-jin, head of Homeplus' trade marketing department. "Homeplus will continue to expand events that allow customers to purchase high-quality products without concern for pricing."

During the event, sales of peeled garlic, cucumbers and peppers saw remarkable growth, increasing by 248 percent, 106 percent and 92 percent year-on-year, respectively.

In the fruit category, peaches, offered at a price of 7,990 won ($6), grew by about 11 percent, with plums, watermelons, figs, apples and blueberries also showing sales increases. Similarly, overall meat sales at major Homeplus branches grew by around 8 percent on-year, with sales of pork belly and neck rising by some 30 percent.

By Hwang Joo-young(flylikekite@heraldcorp.com)