South Korea is a unique market. Tesco, a retail store, has been evolving itself adjust to the local market. It even change the name itself, from TESCO to HOMEPLUS. It was ranked at number 2 in Korea in the retail store market. In order to be at number 1 Home plus has to overcome one obstacle to overcome its rival number 1 company, E-MART.
At this moment, Home plus thought that could we became the number one store without increasing the number of stores? and they took this challenge. To complete this challenge they made an in-depth study of Koreans once again. Koreans are the second most hardworking nation in the world. For them, grocery shopping once a week is dreaded task so home plus decided to approach those busy and tired people.
They come up with an idea:
“Let the store come to people”
They created virtual stores with a hope to blending peoples everyday life. Their first try was subway stations. Although virtual but the displays were exactly the same as actual stores. From the display to merchandise only one thing is different that you use smart phone to shop. Customer just scan the QR code with their phones and the product automatically lands into their online shopping carts. When the online purchase is done it is delivered to the customer’s door right after they get back home. People can relax more after work and on weekends.
Results: People can shop at TESCO, home plus, where ever they go without having the visibly actual store moreover, they can change their waiting time to shopping time. After this campaign their online sales increased tremendously. The number of new user increased by 76% and online sales rose by 130%. and eventually Home plus has become number one in the online market.