Published : Aug. 24, 2017 - 18:11
Shinsegae Group is preparing to make a “shocking” announcement at the end of the year regarding its future strategy in online shopping, according to the group’s Vice Chairman Chung Yong-jin Thursday.
Chung made the remarks at the opening ceremony for Shinsegae’s third shopping mall under the Starfield brand, Starfield Goyang, in Gyeonggi Province.
Shinsegae Vice Chairman Chung Yong-jin attends the grand opening of Starfield Goyang on Thursday. (Shinsegae)
“It is true that Shinsegae was considering acquiring 11st, as well as other opportunities,” Chung said. “We expect to be able to make a shocking announcement by the end of the year.”
Retail giant Shinsegae, as well as its rival Lotte, had been rumored to be in talks with SK Planet to acquire the online open market 11st. If Shinsegae’s online shopping platforms were combined with 11st, it would have been a formidable rival to leading company eBay in terms of volume.
SK Planet has denied that it plans to sell 11st, although it has said it is “pursuing various opportunities for expansion,” which may include strategic partnerships with other retailers.
Chung’s remarks came as the group moves to strengthen its online strategy, pursuing entertainment-focused expansions in the offline space with malls such as Starfield Goyang.
The megamall in the northwestern metropolitan area drew over 450,000 visitors during its preopening week that started on Aug. 17, according to Shinsegae.
Roughly one-third of store space in Starfield Goyang is dedicated to nonshopping facilities, with the aim of attracting families for weekend outings that go beyond shopping.
Starfield Goyang will be competing against the nearby Lotte Mall Eunpyeong, which opened in December last year and attracted over 5 million people in its first 100 days.
By Won Ho-jung (
hjwon@heraldcorp.com)