According to data from Statistics Korea, online shopping in Korea saw a 6.1 percent year-on-year growth in August. The total value of online shopping transactions for the month reached 19.1 trillion won ($14.13 billion), compared to 18 trillion won in the same period last year. The growth was largely driven by increased demand for travel and transportation services, which saw a 29.1 percent increase in sales, reaching 2.1 trillion won. This can be attributed to the easing of COVID-19 restrictions, leading to more people traveling. Sales of food and beverages also saw a 5.1 percent increase, amounting to 2.64 trillion won. Additionally, e-coupons and gift cards experienced a significant increase of 37 percent, generating 813.9 billion won. Food delivery services recorded sales of 2.37 trillion won, a 4.4 percent growth, while daily necessities sales rose by 3.5 percent to 1.49 trillion won.
A notable trend in online shopping is the increasing preference for mobile devices. Purchases made through smartphones, tablets, and other mobile devices reached 14.1 trillion won, reflecting a 5.3 percent growth compared to the previous year. Mobile devices accounted for 74 percent of total online shopping, showing a slight decrease of 0.6 percentage point from the same period last year.
The growth in online shopping can be attributed to various factors. Firstly, the convenience and ease of online shopping have become increasingly appealing to consumers, especially in light of the COVID-19 pandemic. With social distancing measures in place, more people are opting to shop from the comfort and safety of their homes. This has allowed online shopping platforms to flourish and expand their offerings.
Furthermore, the growth in online shopping can be linked to the increasing popularity of e-commerce platforms. Major players in the market, such as Coupang and Market Kurly, have gained significant traction and are now able to offer a wide range of products and services, including groceries, household items, electronics, and fashion. Consumers have embraced the convenience, competitive pricing, and extensive product selection offered by these platforms.
Another factor contributing to the growth in online shopping is the increasing adoption of digital payment methods. With the rise of mobile payment services, such as Samsung Pay and KakaoPay, consumers have been able to make secure and effortless transactions, further facilitating the online shopping experience. The ease and speed of digital payments have played a significant role in driving consumer confidence and encouraging online purchases.
The COVID-19 pandemic has also impacted consumer behavior, with many individuals and families minimizing their physical interactions and outings. As a result, online shopping has emerged as a practical alternative, offering a way to meet everyday needs without the risks associated with in-person shopping. This shift in consumer behavior has not only boosted the growth of online shopping but has also prompted traditional brick-and-mortar retailers to enhance their online presence and implement e-commerce strategies to stay competitive.
Looking ahead, the growth in online shopping is expected to continue. As more people become accustomed to the convenience and benefits of online shopping, it is likely that the trend will persist even beyond the pandemic. In response to the increasing demand, e-commerce platforms are expected to further improve their services, including faster delivery options, enhanced customer support, and personalized recommendations. Furthermore, advancements in technology, such as the integration of augmented reality and virtual reality, may further enhance the online shopping experience and provide consumers with more immersive and interactive ways to browse and buy products. Overall, the future of online shopping in Korea looks promising, with continued growth and innovation expected in the coming years.