Hyundai Department Store’s Pangyo Branch Achieves Major Sales Milestone
Hyundai Department Store’s Pangyo branch has reached a significant milestone, surpassing annual sales of 2 trillion Korean won just 10 years and 4 months after its opening. The store announced that as of the previous day, cumulative sales at the Pangyo branch exceeded this amount. This represents a roughly 16% increase compared to last year’s sales of 1.73 trillion Korean won. Notably, this is the first time a department store outside of Seoul and Busan has achieved such a high level of annual sales.
Key Drivers of Growth: Luxury Brand Competitiveness
One of the main factors behind the Pangyo branch’s success has been its strong focus on luxury brands. Since its opening in August 2015, the branch has introduced major luxury names such as Louis Vuitton, Cartier, Tiffany, Bulgari, and Piaget. It now houses 96 luxury brands, making it the location with the most luxury brands among all Hyundai Department Store branches.
Sales in ultra-high-end watches and jewelry have seen a sharp increase. This year, luxury watch and jewelry sales rose by 51.4% compared to the same period last year, far outpacing the average growth rate of 28.9% across all branches.
Expanding Customer Base Through Long-Distance Shopping
Another key factor contributing to the branch’s success is its ability to attract long-distance shoppers. While the local demand in the Pangyo area remains strong, the store has also drawn customers from broader regions over 10 km away, including Seoul and the metropolitan area. The proportion of sales from these wider areas has grown significantly, rising from 38.6% in 2015 to 55.6% this year. This is much higher than the average of 30% across all Hyundai Department Store branches.
Among VIPs who spend over 30 million Korean won annually, 78.2% were identified as long-distance visitors. Additionally, the VIP demographic has become younger, with those in their 20s and 30s accounting for 32.5% of this group this year. This marks a steady increase since the percentage first surpassed 30% in 2023.
Enhancing the Customer Experience
Hyundai Department Store has also focused on transforming the shopping experience, turning the Pangyo branch into more than just a place to buy goods. The store has allocated 2,736 square meters—equivalent to 40–50 clothing stores—to create the ‘Hyundai Children’s Book Museum (MOKA). This space features two exhibition halls for children and houses a collection of 6,500 picture books.
The food hall, spanning 13,860 square meters (twice the size of a soccer field), includes over 120 F&B outlets. This makes it a popular destination for culinary experiences, further enhancing the store’s appeal as a lifestyle hub.
Future Plans and Strategic Vision
Looking ahead, Hyundai Department Store plans to expand the Louis Vuitton store on the first floor in January next year. The store will also introduce a new VIP lounge for top-tier customers, aiming to further enhance service quality.
Jung Jee-young, president of Hyundai Department Store, stated, “The success of the Pangyo branch demonstrates how offline retail is evolving from ‘what to sell’ to ‘what experiences to provide.’ We will strengthen our position as Korea’s leading luxury retail hub by pioneering customer experience innovation and retail paradigms.”