Sales at South Korea's discount outlets and department stores continued to shrink from a year earlier in December but at a slower pace, a government report said Tuesday.

According to the report by the Ministry of Trade, Industry and Energy, discount chain sales dropped 3.8 percent on-year last month while numbers for department stores were down 0.9 percent.

The contraction marks the fourth month in a row that sales declined from comparable months in 2013.

Sales at discount outlets and department stores have been contracting since September, and fell 4.7 percent and 6.5 percent each in November.

"A decrease in the number of store opening days and sluggish demand for dairy and outdoor products hurt discount chains, while department stores suffered from a drop in demand for winter clothing," the ministry said in its monthly report.

It said sales at super supermarkets (SSMs), which are commonly run by large retailers, contracted 1.8 percent on-year.

On the other hand, convenience store sales surged 22.3 percent as people stocked up on cigarettes before prices went up in the new year.

The latest report showed that while on-year sales mostly fell in December, numbers did go up vis-a-vis November.

Sales of both discount outlets and department stores moved up 5.8 percent last month from November, with corresponding figures going up for SSMs and convenience stores.

By product, miscellaneous goods and household electronics buoyed discount store sales that were dragged down by weak demand in clothing, grocery and sports-related items.

For department stores, children's products and certain sports items did well along with foodstuffs, although such growth was offset by sluggish sales in clothing and imported luxury brands, the ministry's report said. (Yonhap)