Luxury brand sales site with declining growth focuses on services and secures customers rather than excessive competition - South Korea

On the 18th, BALAAN, an e-commerce site that handles luxury brands, analyzed customer data and found that the repurchase rate for luxury brand products in the first half of this year was 7.
0%, an increase of nearly 40% compared to the same period last year. Companion company Trenbe also recorded a repurchase rate of 72% in June.
According to the Korean Financial Supervisory Service, Baran and its peer Must It each had operating losses of 3.7 billion yen each last year.
The deficit increased from the previous year to 400 million won (approximately 4,155.77 million yen) and 16.8 billion won (approximately 1,866.76 million yen). Trembi's operating loss was 20.7 billion won (approximately 2.3 billion yen) last year.
However, sales decreased by 8.4%. In response to the contraction in consumption, the three companies are concentrating on improving profitability, which has deteriorated. “Trembi” will reduce marketing expenses from the previous year in the first half of this year.
It was reduced by about 80% compared to the previous year. Focus on service improvement rather than excessive competition. As a result, return on advertising spend (ROAS) increased by 160%, and customer acquisition costs were reduced by 70%.
Since May this year, Baran has been offering a ``Shipping Compensation Responsibility Service,'' which compensates for a portion of the purchase price if the arrival date of the purchased item is delayed.
In addition, ``Must It'' has started selling through TV mail order operator CJ On Style. "Must It Hall" also opened on the CJ On Style website
The company is focusing on securing customers.