Amid the fallout from the Homeplus Co. situation, second-quarter sales at big-box discount stores fell by the most since related statistics began. Department store and convenience store sales, by contrast, increased.

According to the Ministry of Data and Statistics (MODS) Korean Statistical Information Service (KOSIS) on the 9th, the retail sales index for big-box discount stores (constant index; 2020=100) was 77.8 in the second quarter, down 9.4% from a year earlier.

This is the steepest decline since statistics began in 2010. The assessment is that Homeplus Co.'s large-scale temporary closures and permanent shutdowns affected the decrease in big-box discount store sales.

A Homeplus Co. store in Seoul is open for business on the 9th. According to the industry, Homeplus Co. is accelerating inventory procurement alongside a cash injection, and from the 13th it plans to run normal store operations while holding marketing events to draw customers. /Courtesy of Yonhap News

In May, Homeplus Co. temporarily halted operations at 37 of its 104 big-box discount stores, then decided in June to close those locations. The remaining 67 stores also went on temporary closure last month. After securing emergency operating funds, it resumed business on the 7th.

Unlike big-box discount stores, department store and convenience store sales increased. The department store retail sales index in the second quarter rose 14.8% from a year earlier. It was the highest growth rate in 18 quarters since the fourth quarter of 2021.

Convenience store sales also rose 3.6% year over year, the largest increase in 16 quarters. The boost was attributed to a surge in foreign tourists, expanded spending on famous overseas brands, and a recovery in consumer sentiment.

Overall retail sales also continued to grow. The overall retail sales index in the second quarter was 104.4, up 2.4% from a year earlier. After falling for 13 straight quarters starting in the second quarter of 2022, retail sales rebounded and have increased for four consecutive quarters.

Accommodation and food service rose 1.6% in the second quarter, the largest increase in 13 quarters since the first quarter of 2023. The result reflected a rise in foreign tourists and payments of support funds for damage from high oil prices. Coffee and nonalcoholic beverage shops also grew 5.3%, marking the largest increase in 11 quarters since the third quarter of 2023.

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