Inquivix Insights No.28 – March Issue 2022

Hello and welcome to the 28th issue of Inquivix Insights. In this issue, we’ll be taking a look at some of the latest trends in South Korean marketing, as well as advertising. We’ll also be bringing news on the new trends in business, and how you can use them to your advantage. So if you’re looking for some helpful advice on marketing, or want to know more about South Korean business trends, be sure to read on!

Coupang Raises Wow Membership from KRW 2900 to KRW 4990

The eCommerce giant Coupang will increase Wow membership costs for current members. From the payment first date after June 10, the cost will be increased from 2,900 won per month to 4,990 won. Through this, Coupang is anticipated to produce about KRW 216 billion in yearly profits.

LG U+ and Kiwoom PE Join Hands to Acquire ‘Revu’

Kiwoom Private Equity will take control of the management rights of Revu Corporation, a social media influencer marketing firm. LG U+,  a domestic telecommunication company, plans to join the venture as an investor. Revu is a platform that holds the leading market share on social networks such as blogs and Instagram in Korea.

Travel Ecommerce Is Booming after the Relaxation of COVID 19 Restrictions

Travel eCommerce platforms such as Timon and Interpark are booming as the sales of overseas travel products are growing. Due to the news that overseas entrants who are vaccinated will not be quarantined, there has been a significant increase in demand for travel. Timon’s overseas travel sales have increased 1153% compared to the previous year during the period between the 11th to the 21st of March. The growth rate of travel to Jeju, one of the most popular destinations, during the same period is 65%. In other words, overseas travel has increased almost 18 times than Jeju travel.

Google to Implement In-App Payment Policy

It has become a necessity to increase the price of Google Android app-based digital content, such as online video services, music sources, webtoons, and web novels. Google announced this week that it will implement a compulsory in-app payments policy, which will charge up to 30% of fees starting on the first of next month. Google has further stated that the apps that do not adhere to the policy will be deleted from its app market, Google Play.

Korean Cosmetics Lose Shine as Amore’s Hera Leaves the Chinese Market

Following the closure of its physical stores, Amore Pacific’s high-end cosmetics line “Hera” has recently discontinued selling goods on the Chinese social media platform We Chat. Chinese consumers, according to China’s Global Times, have become increasingly interested in Chinese, American, and European cosmetic brands. In addition, the Global Times claims that Korean cosmetics have been unable to keep up with changes in Chinese consumers’ purchasing patterns.

YouTube to Stream Free TV Programs with Ads in the US

With advertising, 4,000 television programs will be available for free on YouTube in the United States. The goal of this initiative is to improve the company’s competitive position in the free, ad-supported streaming market. According to research, YouTube has entered the market for free video services that may attract more viewers and boost advertising income.

Hand Studio and Gmarket Smile Pay to Enter into an NFT Marketing Partnership

FSN and its subsidiary Hand Studio have entered into a business agreement with GMarket Smile Pay on NFT and marketing partnerships. As a result, NFT projects will be marketed alongside eCommerce and simple payment ventures. The goal of this agreement is to provide new values and better experiences to customers.

Conclusion

As we’ve seen, businesses are continuing to enter the NFT marketing space as they look for new and innovative ways to reach consumers. Travel eCommerce is booming in the post-Covid 19 markets as people look for ways to escape the stress of the pandemic. Coupang has increased their Wow membership fees, signaling that they believe this is a good time to invest in their business. Amore’s Hera has stopped sales in the Chinese market, indicating that there may be some trouble ahead for them. We’ll have to wait and see what happens in the coming months. Follow us as we will definitely bring you the updates as soon as we get them!