GS Retail strives to lure delivery service customers Retail firm ups accumulation rate of GS&POINT by 10 times
Translated by Kim So-in 공개 2021-09-29 08:10:14
이 기사는 2021년 09월 29일 08:07 thebell 에 표출된 기사입니다.
GS Retail, which merged with GS HomeShopping, is actively working to lure customers for its delivery services amid higher delivery fees.GS Retail’s convenience store chain GS25 has upped an accumulation rate of GS&POINT from existing 0.1% to 1.0% for parcel delivery service users for three months from August to October, according to the company on Monday.
“We have expanded benefits for customers as the number of users for parcel delivery and half-price parcel delivery services continues to increase due to the prolonged Covid-19,” said an official at GS Retail. GS Retail will decide whether to extend the special promotion after three months depending on feedbacks from customers.
Through the half-price delivery service launched in March 2019, customers can send and receive a parcel at the nearest GS25 convenience store. With the GS25’s logistics and delivery infrastructure utilized for the entire process, the service is available 24/7 at half the price of regular delivery service.
After offering the service for over two years, the delivery period has also been shortened by optimizing the operation process. The half-price parcel delivery service, which took about four days at the beginning of its launch, has been reduced to two days. An increase in demand for non-face-to-face transactions of second-hand goods has also sharply pushed up the number of users.
Over the last two months, the revenue from the ordinary parcel delivery service increased by 16% year-over-year, while the revenue from the half-price parcel delivery service surged by 380%.
GS25 convenience stores are trying to increase demand for parcel delivery services in a bid to boost the store sales. In many cases, delivery service customers visit convenience stores and purchase products like snacks, drinks, and alcoholic beverages while registering for shipment. About 90% of GS25 half-price delivery service users purchased convenience store products when visited.
“Delivery service is increasing sales per store as it acts like a loss leader for customers visiting convenience stores,” said an industry source, adding, “It also helps to reduce marketing costs.” (Reporting by Nu-ri Moon)
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