[Exclusive] E-MART Co., Ltd.’s Wow Shop Steps Up to ‘Take on Daiso’… First Large-Scale Store Shuts Down After Just Two Months
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[Edaily Reporter Han Jeon-jin ] E-MART Co., Ltd.(139480)E-MART Co., Ltd. has suspended operations at its Eunpyeong branch of “Wow Shop,” the first standalone large-scale store for its own fixed-price household goods brand. This comes just two months after expanding the existing corner store—which was around 20 pyeong—into a standalone store of over 100 pyeong. While E-MART Co., Ltd. states it plans to reopen soon after facility maintenance, some in the industry speculate that the expansion process may have revealed unexpected limitations, such as location and customer traffic.
On the 4th, the entrance to the Wow Shop on the 6th floor of the E-MART Co., Ltd. Eunpyeong branch in Eunpyeong-gu, Seoul, was cordoned off due to the suspension of operations. (Photo: ReporterHan Jeon-jin )According to industry sourceson the 4th, E-MART Co., Ltd. suspendedoperations at theWowShopon the6thfloor of the Eunpyeongbranchstarting on the 1st and began renovation work. The company plans to reopen the store sometime next month after replacing key facilities and fixtures, making interior improvements, and adjusting customer traffic flow. An E-MART Co., Ltd. official stated, “We determined that improvements were needed in customer convenience and the shopping environment during store operations, so we are currently conducting additional renovation work,” adding, “We identified areas for improvement, such as customer traffic flow, while testing the layout of large-scale stores on a pilot basis last July.”
Wow Shop is an ultra-low-price curated zone for household goods that E-MART Co., Ltd. launched last December, starting with the Wangsimni branch. All products are sold at a uniform price of 1,000 to 5,000 won, and prices have been kept low through 100% direct sourcing from overseas. Since the start of this year, the company has expanded the number of stores to 13 and rolled out its flagship products to stores nationwide, demonstrating its commitment to the concept.
The Eunpyeong branch served as the first testing ground for scaling up Wow Shop. Last July, E-MART Co., Ltd. relocated and expanded the Eunpyeong branch’s Wow Shop—which had previously been a 62.8-square-meter (19 pyeong) corner section on the third floor—to a 337-square-meter (102 pyeong) space on the sixth floor. This marked the first time it was introduced as an independent store featuring its own checkout counters and signage. The number of items carried also increased significantly, from about 1,300 to about 1,980. As the largest of the 13 Wow Shops nationwide, it was cited as the first case to gauge the potential for future expansion.
On the 4th, the Wow Shop on the 6th floor of the E-MART Co., Ltd. Eunpyeong branch in Eunpyeong-gu, Seoul, stood empty with operations suspended. E-MART Co., Ltd. has been conducting renovation work since the 1st, including replacing facilities and fixtures and adjusting customer traffic flow. (Photo: ReporterHan Jeon-jin )At the time, E-MART Co., Ltd. cited customer response as the primary reason for the expansion. The company explained that immediately following the expansion, average sales on weekdays and weekends increased by 52.1% and 78.4%, respectively. However, it remains unclear whether this trend continued afterward. Given that the store has embarked on renovations again—removing all merchandise and a significant portion of the display fixtures—just two months later, some analysts suggest that operating a large-scale store may not have gone as smoothly as expected.
Industry observers point out that the location itself was problematic from the start. While the third floor is part of the shopping flow connected to the grocery section, the sixth floor houses dining options such as family restaurants—a space customers must go out of their way to reach. Wow Shop does not yet enjoy the same brand recognition as Daiso. Analysts suggest that moving a corner where grocery shoppers used to stop by on their way to other sections to an upper floor makes it difficult to expect the same level of foot traffic as before.
The already intense competition in the ultra-low-price household goods market is also a burden. Daiso has established itself as the leading channel, backed by a network of approximately 1,600 stores nationwide and a wide range of products. On top of that, Chinese e-commerce platforms like HanExpress and Temu are mounting an offensive with low-priced goods. Since major product categories—such as storage, kitchen, bathroom, and stationery—overlap significantly with existing channels, some observers note that Wow Shop still lacks sufficient differentiating factors to attract consumers.
A retail industry official stated, “Wow Shop started as a place where customers naturally stopped by while grocery shopping, but once it moves to a standalone store, it will have to attract customers on its own.” The official continued, “Since brand awareness is still low, location and foot traffic will inevitably become even more critical during the expansion process.” The official added, “With so many ultra-low-price channels already in the market, such as Daiso, AliExpress, and Temu, it won’t be easy to differentiate solely based on price.” A view of the entrance to “Wow Shop,” which relocated and expanded to the 6th floor of the E-MART Co., Ltd. Eunpyeong branch last July. It has been set up as a standalone store featuring a yellow dedicated sign and separate checkout counters. (Photo by ReporterHan Jeon-jin )
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