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"Oh, sales will drop," I worried... Convenience store quick commerce boosted by heatwaves

"Oh, sales will drop," I worried... Convenience store quick commerce boosted by heatwaves

GS25 provides 24-hour delivery services in partnership with Coupang Eats./Photo provided by GS Retail
GS25 provides 24-hour delivery services in partnership with Coupang Eats./Photo provided by GS Retail

As consecutive heatwaves have led consumers to reduce outings and rely more on home deliveries, convenience store quick commerce sales have surged significantly. The convenience store industry is accelerating efforts to strengthen competitiveness, cultivating quick commerce as a new growth driver to mitigate revenue volatility caused by weather conditions.

According to the retail industry on the 7th, recent quick commerce sales at GS25, CU, E-Mart24, and 7-Eleven have increased substantially. From last month's 27th to this month's 3rd, GS25's quick commerce sales rose by 63.7% compared to the same period last year. During the same period, CU saw a sharp jump of 258.1%, while E-Mart24 and 7-Eleven recorded increases of 140% and 110%, respectively.

The four convenience store chains offer quick commerce services through delivery platforms such as Baemin and Coupang Eats. GS25, CU, and E-Mart24 also saw growth in revenue from their own app-based delivery services. For instance, CU's dedicated app, Pocket CU, reported an 86.7% increase in delivery sales compared to the same period last year. Other companies also recorded double-digit growth rates.

The second quarter is typically a peak season for the convenience store industry, but there were concerns that record-breaking heatwaves would reduce foot traffic at physical stores. However, analysis suggests that quick commerce, built on a dense nationwide network of stores, has offset these worries. In fact, sales of items like chicken snacks and ready-to-eat meals have increased via quick commerce, along with rising demand for summer favorites such as iced cups, ice cream, and cola delivered through the service. Delivery usage hours are also expanding beyond just the hottest afternoon hours to include evenings and late-night periods.

The convenience store industry is developing strategies to cultivate quick commerce as a core growth business. Considering its sensitivity to weather conditions like heatwaves, rainy seasons, and cold snaps, the goal is to reduce revenue volatility caused by adverse weather through quick commerce. Additionally, there are plans to attract small-quantity purchase demand driven by high prices and an increasing number of single-person households to convenience stores.

Companies are launching promotions such as discount coupons tied to weather conditions, free delivery, and first-purchase discounts to expand their user base for both proprietary apps and quick commerce services. GS25 randomly distributes a 5,000 won shopping cart coupon for orders over 20,000 won placed via its "Our Neighborhood GS" app on rainy days, and offers a 2,000 won coupon to customers ordering over 20,000 won during heatwaves. CU provides a 3,000 won discount for purchases exceeding 15,000 won through Pocket CU, Baemin Store, and Yogiyo, along with a 4,000 won discount for orders over 20,000 won on first-time purchases via Coupang Eats. E-Mart24 is also running weather-linked promotions, while 7-Eleven operates discount coupon campaigns in collaboration with delivery platforms.

An industry representative stated, "The number of consumers using quick commerce has increased significantly due to heatwaves," adding, "Quick commerce allows for stable revenue generation even during adverse weather, establishing itself as a core competitive advantage for the convenience store industry."

"This article was translated using AI and may differ slightly from the original."