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Coupang expands Rocket Jikgu to Japan amid rising Chinese platforms
Collected
2024.03.12
Distributed
2024.03.13
Source
Go Direct
[Graphics by Song Ji-yoon and Minu Kim]이미지 확대

[Graphics by Song Ji-yoon and Minu Kim]

South Korean e-commerce giant Coupang Inc. announced Monday that it is expanding its Rocket Jikgu service to Japan in response to the fast-growing trend of Chinese peers such as AliExpress and Temu.

Unlike its competitors, Coupang aims to stand out by offering verified Japanese products known for their brand power. Rocket Jikgu is distinguished by its free shipping feature and currently offers services for the United States, China, and Hong Kong.

To commemorate the launch of Rocket Jikgu services for Japanese products, Coupang is introducing a range of promotions.

Until March 14, customers purchasing Japanese, U.S., or Chinese items worth over 45,000 won ($34.3) on the direct purchase channel will receive a 3,000 won discount coupon.

Rocket Jikgu will showcase a variety of products from renowned Japanese brands such as Nissin, Meiji, LeTao, AGF, as well as popular lifestyle and beauty brands in Korea, including Senka, Biore, Pino, Tsubaki, and Japanese P&G.

According to data, Korean consumers’ direct purchases from Japanese online platforms saw an 11 percent growth compared to the previous year.

Among the key categories, food showed a 45 percent surge, reflecting a rising demand for Japanese direct purchase items among Korean consumers.

However, the variety of Japanese direct purchase services available in Korea has been limited.

Coupang’s expansion of its direct purchase service to Japan is considered to be related to the rise of Chinese direct purchase apps such as AliExpress, which have been aggressively targeting the Korean market with substantial promotional investments.

Major domestic e-commerce platforms like Coupang and Naver have shown signs of concern.

For instance, AliExpress offers CJ CheilJedang’s Bibigo products at prices up to 43 percent lower than CJ’s own online platform.

AliExpress has been actively supporting Korean corporations, including large and small enterprises, by promoting their products on its K-Venue platform.

CJ CheilJedang recently joined this trend, and AliExpress is gearing up for special advertising promotions targeting sellers participating in its upcoming shopping festival.

Being included in this promotion will give Korean sellers special perks, such as being featured at the top of the screen. To qualify for the promotion, sellers must maintain the lowest price on Naver product searches.

By Park Chang-young and Minu Kim

[ⓒ Pulse by Maeil Business News Korea & mk.co.kr, All rights reserved]