Sunday, April 16, 2017

Social commerce born three major performance, Kupang, Timon deficit snowball ... Only Wemakeprice 'profitable growth'



[Korea gimeunji financial newspaper reporter] three born of social commerce, such as Kupang and Wemakeprice, Timon Saga sikimyeo growth last year, but sales significantly expand successful appearance has still not reduce the deficit.

Increased sales of Kupang and Timon, but the operating loss has increased compared to last year, only two succeeded in uniquely Wemakeprice profitable growth of the three companies.

The total operating loss of 3's record 787.3 billion won deficit reduction in accordance with the Wemakeprice and showed a slight decrease compared to last year. March 2015's total deficit was 813.1 billion won.

Last year, sales of Wemakeprice is a 70.5% increase was recorded 369.1 billion won more in 2015 (216.5 billion won), operating losses were reduced by 55.3 percent to 63.6 billion won (141.4 billion won) last year.

Kupang showed a 67.59% increase compared to last year sales of 1.9 trillion won in 2015 (1.1337 trillion won). While the operating loss was recorded at 3.3% (547 billion), up 565.3 billion compared to last year.

For Timon showed a 286 billion won of sales increased 46% more than in 2015 (195.9 billion won), and operating loss was 11.7% (141.9 billion) increased by 158.5 billion last year.

Kupang and Timon deficit increase is explained is an investment for future growth affected the loss of close-up.

Kupang has continued to develop the logistics infrastructure and technology investments. We built the logistics infrastructure of size 102 football fields (730,000 m²) until last year, and has expanded its flagship Rocket Ship region to 100% across the country. Also it opened a large distribution center in Incheon, door and deokpyeong States.

For Timon explained that operating losses of about 60 billion loss caused by significant investments in new businesses for future growth, such as Mart and tours.

Timon has conducted a large-scale investment in cold chain and logistics, shipping service for them was expanded refrigerated and frozen perishable foods group to strengthen the competitiveness of the super-Mart last year. This was equipped with a flight ticket reservation services worldwide hotel reservation system holds most of the country and a product such activities.

Wemakeprice free shipping expansion, the cheapest offer shopping experience, fresh food jikbaesong service launches, product assortment expansion, such as intensive customer convenience in part for the increase in investment, and utilizing the specific days of the end of last year, a 'OO Day' way of sale the effect of the event is growing also be re gumaeyul and new buyers of existing customers.

Wemakeprice side said, "has a lift height and turnover sonin improvements are more visible, and special events by date, policies to increase prices increase again gumaeyul of existing customers and new buyers can tow a strong performance."

With last year's sales performance, some companies are basing japyeong that the deficit grows with high-speed profitability does not significantly expanded over the previous strengthened.

Wemakeprice despite failed to achieve a turnaround for this performance, "have built a cost control possible business models," he said Hei was Timon's "actual losses when excluding the cost of new investment 60 billion won is about 90 billion won a "and" I'll switch my profits two years, "etc. naenwatda optimism.

Industry insiders, "three companies all looks keojyeotji just above showed the state does not reduce the deficit in addition mepeu there is a growing concern about the markets," he said "Online deficit compared to the sales growth of the shopping even as the future all companies live far leaving it pointed out that "difficult.

Daily Economic News Finance FNTIMES - commercial reprint, copy, distribute prohibited purposes under the Copyright Act
Copyright ⓒ Korea's Financial News & FNTIMES.com