This year, a cold wave accompanied by heavy snowfall in January and February has led to a late surge in overcoat sales, bringing unexpected profits to the distribution and fashion industries. Given the sluggish clothing consumption due to high prices and abnormal weather, this situation is particularly welcome.
According to the distribution industry on the 9th, luxury padding sales at Lotte Department Store increased by 80% compared to the same period last year from last month until the 4th. Functional padding products sold well, with sales in the sports and outdoor institutional sectors rising by 15% and 25%, respectively.
Shinsegae Department Store also saw a 65.7% surge in premium outerwear sales during this period. Outdoor sales increased by 24.9%. At Hyundai Department Store, outdoor sales grew by 22%.
This year, along with heavy snowfall in January and February, not only outerwear but also winter shoes are selling well. At W Concept, outer category sales increased by 30% from last month until the 5th. In detail, fur sales increased by 187%, and sales of padding (51%), coats (56%), and jumpers (47%) also saw significant increases. With heavy snowfall, sales of winter shoes such as padded boots and UGGs surged by 1155%.
According to Musinsa, from the 30th of last month until the 5th of this month, the transaction volume of padding and heavy outerwear increased by 81% compared to the same period last year. During the same period, the transaction volume in the padding and fur shoes category rose by about 83%.
Sales of outerwear from individual brands are also increasing. LF's sports brand Reebok reported that its jumper and outerwear sales more than doubled compared to the same month last year. Outdoor brand Teton Bros also reported a 50% increase in heavy outerwear sales compared to the same period last year.
The women's clothing brand Bob, operated by Shinsegae Tom Boy, saw its coat sales increase by 78% compared to the same period last year from last month until the 5th.
In the women's clothing brand Le Beige under Samsung C&T, padding sales increased by more than 50% from last month until the 4th, while Kuho Plus's winter outerwear sales rose by more than 30%.
The clothing industry welcomes the long-awaited cold wave. During the previous winter season (December 2023 to February 2024), the average temperature was 2.4 degrees, the second highest on record, resulting in poor winter clothing sales.
In this winter season as well, abnormal temperatures persisted, such as soaring to 20 degrees in November last year, leading to minimal winter clothing consumption. Coupled with high prices, clothing companies experienced poor performance.
In the previous year, Samsung C&T's sales in the fashion institutional sector reached 2.4 trillion won, down 2.3%, and operating profit was 170 billion won, a 12.4% decrease. In the same period, Shinsegae International's sales and operating profit were 1.0386 trillion won and 26.8 billion won, respectively, down by 3.4% and 45% compared to the previous year.
Last year, Handsome's sales reached 1.4853 trillion won, decreasing by 2.8%, and operating profit dropped by 36.8% to 63.5 billion won.
The distribution industry is actively working to clear winter clothing inventory that has not been sold. Lotte Outlet is running a spring event called 'Spring Preparation Begins' until the 16th. The event features winter outerwear from over 40 brands being sold at special prices.
Typically, off-season winter products would start being sold at outlet prices in August, but this year, that timing has been advanced by about six months.
Hyundai Department Store will hold the 'Overseas Fashion Fair' as the last outerwear discount event of this winter season at seven stores nationwide, including the Apgujeong flagship store, Trade Center store, and Pangyo store, until the 23rd.