The logo of French luxury group Louis Vuitton (Yonhap)
Lotte Members, the membership service for Lotte Group companies, said Tuesday it has seen a 23 percent surge in transactions for luxury goods since the onset of the coronavirus pandemic.
According to a study based on transaction data of its L.Pay mobile payment system and L.Point membership points, sales of luxury goods in 2020 and 2021 increased 23 percent compared to the same figures from 2018 ad 2019.
Among age groups, consumers in their 20s showed the highest 70.1 percent increase in luxury sales, followed by those in their 50s (62.8 percent) and 30s (54.8 percent).
In a separate survey conducted by Lotte Members in Nov. 22 to Dec. 3, almost half the 600 respondents, or 42.6 percent, picked department stores as their favorite place for luxury shopping. Following were premium outlets (18.3 percent), brand shops (13.3 percent), e-commerce platforms (12.2 percent), and duty-free shops (11.1 percent).
The firm stressed the growth in online shopping, saying online platforms were not even included in the 2019 questionnaire. On the other hand, duty-free shops lost their share by 5.7 percentage points due to a decline in international travel amid the protracted pandemic.
Regarding which qualities to look for in a luxury item, a majority of the respondents, or 59.2 percent, cited design as the key factor, but the figure was down 12.5 percent from the 2019 survey. On the other hand, brand popularity, possession worth and resell price each increased by 4.8 percent points, 4.7 percent points, and 3.3 percent points, as consumers seem to be increasingly viewing luxury goods as a means of investment.
By Ahn Ju-hee (email@example.com