Homeplus, the nation’s second-largest supermarket chain, is in talks with furniture maker Hanssem to set up shop-in-shop at its outlets, the retailer said on Monday.
If the deal is finalized, Hanssem will be the first shop-in-shop at Homeplus to sell home furnishing products such as household linen, lights and sofa.
Hanssem’s flagship store in western Seoul. (Hanssem)
“We are discussing a potential tie-up but it’s just one of the many discussions we’re having with other companies, and nothing has been fixed,” a spokesman from Homeplus said.
Hanssem is one of three major furniture brands along with Hyundai Livart and Ace Bed.
Speculations rose that Hanssem is diversifying its distribution platform in an unusual move to compete with Swedish furniture giant IKEA, which opened its first local outlet in Gwangmyeong, Gyeonggi Province in December.
IKEA’s management said in a news conference prior to the launch that about 60 percent of its products are home furnishing goods, reflecting the local consumers’ increasing needs.
Trendy and affordable retailers including Zara and H&M recently threw their hats into the ring, turning up the heat in the home furnishing market.
It is against this backdrop that Hanssem launched a home-furnishing brand, Hanssem Home, on Feb. 14.
Hanssem, established in 1970, said on Monday that it aims to reach 3 trillion won in sales ($ 2.7 billion) in the next three years through M&As and small domestic appliance businesses.
By Suk Gee-hyun (monicasuk@heraldcorp.com)
