Hello! Today, based on the '2024 Distribution Industry White Paper' released by the Korea
Chamber of Commerce and Industry, we will learn about the hot keyword 'B.L.U.E. D.R.A.G.O.N.' that gives a glimpse of this year's consumer market.
1. B - It is inevitable to prepare a back-up plan!
This year, it is important to prepare for the unexpected in a difficult business environment. As the retail market is likely to enter a growth plateau due to prolonged high inflation and high interest rates, the importance of a back-up plan or Plan B is becoming more apparent.
2. L - Larger, Better! A distinct phenomenon of megastores.
The bigger the store, the more likely it is that mega malls will be formed. In order to gain competitive advantage, department stores are becoming larger, and there is a trend toward complex shopping malls with experience and service facilities.
3. U - Upward Trend! Continued growth of e-commerce.
The e-commerce market is replacing the offline market by 1% every year. According to a forecast by global management consulting group Kearney, the share of e-commerce in the global retail market is expected to reach 41% by 2027.
4. E - E-commerce Dominance! Increase in domestic e-commerce.
The penetration rate of e-commerce in Korea is expected to increase to 46.3% this year as rational consumption behavior spreads due to high prices and high interest rates.
5. D - Dichotomy in Retail Market! Polarization is intensifying.
Polarization is expected to intensify in supermarkets, online shopping, and department stores. Among supermarkets, corporate supermarkets are recovering their competitiveness, while individual supermarkets will still face a difficult situation.
Other keywords that will drive the consumer market this year include revenue first, AI-based services, advanced retail tech, expanding into overseas markets, maximizing operational efficiency, and constant change.
Let's cheer for the challenges and growth of companies that are flying through the dragon that threatened us, and pay attention to the changes in the consumer market in 2024! Stay tuned to our blog to meet the brands that continue to lead the trend, and join us so that you don't miss any new news and trends! 🚀🛍️