CJ ENM's commerce institutional sector, CJ OnStyle, reported on the 7th that its second-quarter performance recorded sales of 385.8 billion won and an operating profit of 21.4 billion won. Compared to the same period last year, sales increased by 3.7%, while operating profit decreased by 22%.
CJ OnStyle noted that "the expansion of marketing investments to secure content and loyal customers for market dominance in mobile live commerce, along with one-time expenses, led to a decrease in operating profit."
The transaction volume for mobile live commerce in the first half of the year increased by 47.1%. This was attributed to increased inflow to mobile apps due to the spread of short-form content on external channels like YouTube and TikTok.
CJ OnStyle explained that new intellectual properties (IPs) such as "Park Se-ri's Big Sister BIG Se-ri" and "Chef's Tool Market with Austin Kang", along with improvements in wellness-centered product structure in response to the value-for-money trend and abnormal climate, led to strong sales across various categories such as food, beauty, and travel.
CJ OnStyle plans to focus on strengthening video shopping content IP in the second half of this year, aiming to expand new customer inflow and enhance platform competitiveness through synergies with external channels like Tving and social media.
In terms of content, the launch of a new mobile live commerce IP in collaboration with a major celebrity will provide an immersive shopping experience. As for logistics, it will enhance delivery infrastructure by significantly expanding same-day delivery services.
CJ OnStyle further stated that it plans to significantly expand its new and premium brand lineup aimed at the fall and winter seasons to enhance product differentiation and strengthen its competitive advantage.