SEOUL — Lotte Shopping is kicking its e-commerce efforts into high gear, launching a rush grocery delivery service in South Korea and improving product recommendations to win back customers increasingly buying online.
With the moves, the operator of brick-and-mortar stores seeks to double e-commerce sales from 2019 levels to 20 trillion won ($16.3 billion) in 2023.
Seven online operations — ranging from department stores and electronics stores to supermarkets, convenience stores and drugstores — relaunches on a single platform Tuesday. Sales data for 20 million products will be brought together under the one-stop service, enhancing product recommendations, the company said.
The ultrafast delivery service will begin in such cities as Seoul and expand elsewhere later. Groceries from Lotte Mart stores will be delivered 60 to 90 minutes after ordering. Other shipping options are being added, such as delivering late-night orders the next morning and shipping to locations like convenience stores for pickup.
Lotte is fighting back against such online-only players as SoftBank Group-backed Coupang, whose sales jumped 64% to 7.15 trillion won in 2019. The company seeks to strengthen its position with the new service that taps its physical locations and customer base.