| Online luxury goods market grew 11% on-year
| replgogo.com sells high-end luxury watches
| It will be delivered to Valex service. Quality assurance
| Luxury trading platforms such as Must-it and Trenby are also growing
The trend of “price-to-performance shopping”for luxury goods offline and “performance-to-performance shopping” for online malls is becoming an old saying.
Recently, luxury brands have entered the e-commerce platform one after another, increasing consumer contact points. In particular, the amount 레플리카 of online platform transactions specializing in luxury goods is growing every year. Attention is focusing on whether online can become a major distribution channel for luxury goods transactions.
According to market research firm Euromonitor on the 20th, the size of the online luxury goods market last year was 1.5957 trillion won, up 10.9% from the previous year (1.437 trillion won). Compared to 2015 (1.4555 trillion won) five years ago, it has grown 52%.
The sale of the high-end watch brand ‘Panerai’ from the 19th in the integrated online shopping mall is a representative example. It sells 42 kinds of watches and 27 kinds of watch straps of this brand, with the highest price of 37.17 million won and the lowest price of 5.5 million won.
The unreleased model, which is scheduled to be released in September, is also included in the sales product line. For the ‘Luminor PAM01664’ model, it is the first in the world to be sold in 10 limited quantities only at dot-com.
Earlier in May, Lotte Department Store also introduced the Swiss watch brand “Brightling” brand hall at Lotte On, Lotte Group’s integrated online shopping mall. At the time, an official of Lotteon explained, “The sales of luxury watches in Lotte Department Store increased 43% between January and April due to increased demand for luxury goods. As non-face-to-face shopping sales surged due to the new coronavirus infection (COVID-19), luxury watch brands are actively selling online.”.
Lotteon emphasized that Valex, a transportation company specializing in special cargo, is in charge of shipping services. There is a risk of product damage when purchasing expensive luxury goods online, and Valex has increased delivery safety with security vehicles, professional personnel, and compensation systems. Luxury brands Hermes and Cartier, which operate their own online malls, also offer delivery services through Valex if they exceed a certain amount of purchase.
Online platforms specializing in luxury trade are also growing at a high rate. Must-it, which started its service in 2011, is growing at an annual average rate of more than 80%. The transaction amount of the company, which was 95 billion won in 2018, increased to 150 billion won the following year, and last year, the transaction amount grew 66% from the previous year to 250 billion won. In the case of Trenby, which opened in 2017, the number of monthly active users (MAU) reached 4.5 million and monthly transactions reached 15 billion won in about four years.
The size of the e-commerce luxury goods market is expected to grow further in the future. Online platform Musinsa also recently entered the luxury business. Musinsa opened a “Musinsa Boutique” late last month and began to directly purchase and introduce products sold in showrooms and editing shops of foreign brands such as Europe and the United States. It also includes ‘Boutique Certificate’ and ‘ Security Room’ to guarantee the authenticity.
Currently, the Musinsa boutique handles about 15 brands including Prada, Maison Margiela, Saint Laurent, Zilsander, Bottega Veneta, Valenciaga, Burberry, Tom Brown, White, and Ami. Musinsa plans to expand its boutique brand to 100 by the end of this year.
“The main channel where luxury goods are distributed in Korea is department stores, but the online market is gradually expanding,” an industry official said. “Recently, related markets are expected to grow further as online platforms have become more active due to COVID-19.”.