South Korea E-Commerce Market: Insights & Forecast with Potential Impact of COVID-19 (2022-2026)
South Korea’s e-commerce market is predicted to reach US$389.89 billion in 2026, progressing at a CAGR of 19.92%, over the period 2022-2026. The factors such as mounting penetration of internet users, introduction of AI in retail, expanding urbanization, escalating trend of online advertising and growing usage of smartphones would drive the growth of the market. However, the market growth would be challenged by risk of e-commerce frauds and imprecise return policies. A few notable trends include rising influence of social networking platforms, accelerating growth of mobile payments and increasing adoption of advanced technologies.
South Korea’s e-commerce market can be bifurcated into fashion, food & beverages, home electric appliances, household goods-motor vehicle parts, cosmetics, computer & related appliances, sports & leisure, travel services and others, in terms of product category.
The fashion segment is the fastest growing market, owing to the growing adoption of online shopping for clothing items as it offers wide range of options which often are not present in physical stores, increased convenience to users by enabling easy access to e-commerce platforms anytime anywhere, surging disposable income along with expanding urbanization. In addition, sudden outbreak of the COVID-19 pandemic had escalated the adoption of e-commerce as a result of rapid shift from brick-and-mortar distribution channels towards online retail stores to mitigate the risk of coronavirus infection upon human interaction, thereby propelling the overall market growth.
Scope of the Report:
- The report provides a comprehensive analysis of South Korea e-commerce market segmented on the basis of product category.
- The market dynamics such as growth drivers, market trends and challenges are analyzed in-depth.
- The competitive landscape of the market, along with the company profiles of leading players (SK Telecom Co., Ltd., Lotte Shopping Co., Ltd., eBay Inc. (eBay South Korea Co., Ltd.), Naver Corporation, SSG.com Corp., and Coupang, Inc.) are also presented in detail.
- Online retailers
- Raw Material Suppliers
- Businesses and Customers
- Logistics Partners
- Investment Banks
- 1. Market Overview
- 1.1 Introduction
- 1.2 Main Categories of E-Commerce
- Table 1: Main Categories of E-Commerce
- 1.3 Technical Components of E-Commerce
- Table 2: Technical Components of E-Commerce
- 1.4 The E-Commerce Shopping Process
- Table 3: The E-Commerce Shopping Process
- 1.5 Attributes of E-Commerce
- Table 4: Attributes of E-Commerce
- 1.6 Advantages of E-Commerce
- Table 5: Advantages of E-Commerce
- 1.7 Disadvantages of E-Commerce
- Table 6: Disadvantages of E-Commerce
- 2. Impact of COVID-19
- 2.1 Escalating E-Commerce Penetration Rate
- Table 7: Domestic E-Commerce Penetration Rate in South Korea (2015-2025)
- 2.2 Growth of Online Sales
- Table 8: Year-on-year (YoY) growth of online sales of High-end Retailers at WeMakePrice in South Korea, by Category (February 2020)
- 2.3 Upswing in Internet Buyers
- Table 9: Percentage of Internet users (aged 16 to 64) who bought something online via any device (January 2020)
- 3. South Korea Market Analysis
- 3.1 South Korea E-Commerce Market by Value
- Table 10: South Korea E-Commerce Market by Value (2017-2021)
- 3.2 South Korea E-Commerce Market Forecast by Value
- Table 11: South Korea E-Commerce Market Forecast by Value (2022-2026)
- 3.3 South Korea E-Commerce Market by Product Category
- Table 12: South Korea E-Commerce Market by Product Category (2021)
- 3.3.1 South Korea Fashion E-Commerce Market by Value
- Table 13: South Korea Fashion E-Commerce Market by Value (2017-2021)
- 3.3.2 South Korea Fashion E-Commerce Market Forecast by Value
- Table 14: South Korea Fashion E-Commerce Market Forecast by Value (2022-2026)
- 3.3.3 South Korea Food & Beverages E-Commerce Market by Value
- Table 15: South Korea Food & Beverages E-Commerce Market by Value (2017-2021)
- 3.3.4 South Korea Food & Beverages E-Commerce Market Forecast by Value
- Table 16: South Korea Food & Beverages E-Commerce Market Forecast by Value (2022-2026)
- 3.3.5 South Korea Home Electric Appliances E-Commerce Market by Value
- Table 17: South Korea Home Electric Appliances E-Commerce Market by Value (2017-2021)
- 3.3.6 South Korea Home Electric Appliance E-Commerce Market Forecast by Value
- Table 18: South Korea Home Electric Appliance E-Commerce Market Forecast by Value (2022-2026)
- 3.3.7 South Korea Household Goods-Motor Vehicle Parts E-Commerce Market by Value
- Table 19: South Korea Household Goods-Motor Vehicle Parts E-Commerce Market by Value (2017-2021)
- 3.3.8 South Korea Household Goods-Motor Vehicle Parts E-Commerce Market Forecast by Value
- Table 20: South Korea Household Goods-Motor Vehicle Parts E-Commerce Market Forecast by Value (2022-2026)
- 3.3.9 South Korea Cosmetics E-Commerce Market by Value
- Table 21: South Korea Cosmetics E-Commerce Market by Value (2017-2021)
- 3.3.10 South Korea Cosmetics E-Commerce Market Forecast by Value
- Table 22: South Korea Cosmetics E-Commerce Market Forecast by Value (2022-2026)
- 3.3.11 South Korea Computer & Related Appliances E-Commerce Market by Value
- Table 23: South Korea Computer & Related Appliances E-Commerce Market by Value (2017-2021)
- 3.3.12 South Korea Computer & Related Appliances E-Commerce Market Forecast by Value
- Table 24: South Korea Computer & Related Appliances E-Commerce Market Forecast by Value (2022-2026)
- 3.3.13 South Korea Sports & Leisure E-Commerce Market by Value
- Table 25: South Korea Sports & Leisure E-Commerce Market by Value (2017-2021)
- 3.3.14 South Korea Sports & Leisure E-Commerce Market Forecast by Value
- Table 26: South Korea Sports & Leisure E-Commerce Market Forecast by Value (2022-2026)
- 3.3.15 South Korea Travel Services E-Commerce Market by Value
- Table 27: South Korea Travel Services E-Commerce Market by Value (2017-2021)
- 3.3.16 South Korea Travel Services E-Commerce Market Forecast by Value
- Table 28: South Korea Travel Services E-Commerce Market Forecast by Value (2022-2026)
- 4. Market Dynamics
- 4.1 Growth Drivers
- 4.1.1 Mounting Penetration of Internet Users
- Table 29: Number of Internet Users in South Korea (2016-2023)
- 4.1.2 Introduction of AI in retail
- Table 30: South Korea Artificial Intelligence (AI) Market Value (2016-2021)
- 4.1.3 Expanding Urbanization
- Table 31: South Korea Urban Population (2016-2021)
- 4.1.4 Escalating Trend of Online Advertising
- Table 32: South Korea Online Advertising Market (2016-2021)
- 4.1.5 Growing Usage of Smartphones
- Table 33: Smartphone Penetration Rate as Share of the Population in South Korea (2016-2022)
- 4.2 Key Trends & Developments
- 4.2.1 Rising Influence of Social Networking Platforms
- Table 34: Number of Facebook Users in South Korea (2017-2023)
- 4.2.2 Accelerating Growth of Mobile Payments
- Table 35: Penetration Rate of Mobile Pay in South Korea (2016-2021)
- 4.2.3 Increasing Adoption of Advanced Technologies
- 4.3 Challenges
- 4.3.1 Risk of E-Commerce Frauds
- 4.3.2 Imprecise Return Policies
- 5. Competitive Landscape
- 5.1 South Korea Market
- 5.1.1 South Korea E-Commerce Market Share by Key Players
- Table 36: South Korea E-Commerce Market Share by Key Players (2021)
- 6. Company Profiles
- 6.1 SK Telecom Co., Ltd. (11Street)
- 6.1.1 Business Overview
- 6.2 Lotte Shopping Co., Ltd.
- 6.2.1 Business Overview
- 6.3 eBay Inc. (eBay South Korea Co., Ltd.)
- 6.3.1 Business Overview
- 6.4 Naver Corporation
- 6.4.1 Business Overview
- 6.5 SSG.com Corp.
- 6.5.1 Business Overview
- 6.6 Coupang, Inc.
- 6.6.1 Business Overview
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