GMM CJ O Shopping aims to cash in on e-commerce for five-year business initiative
GMM CJ O Shopping is focusing more on e-commerce for its five-year business strategy to cash in on the rise of mobile users.
“We are focusing on e-commerce business through Oshoppingtv.com and have launched mobile applications for both the Android and iOS platforms. The company started e-commerce in the middle of last year, and it has grown substantially in the past 12 months,” chief executive officer Sung Nak-Je said yesterday.
E-commerce accounted for 8 per cent of the company’s revenue last year. Therefore, O Shopping is continuing to develop and expand this service. It is preparing up to 1,000 products in every category as if the customer could experience it in a department store, along with a high-security payment system.
Sung said that his company expected revenue from e-commerce would reach 20 per cent of total sales this year, and up to half of the total within five years.
With an expansion of new platforms to reach wider audiences, the leading home-shopping operator targets Bt1.7 billion in revenue this year. The company plans to source more quality products from famous brands and increase the number products in such categories as fashion, information technology and seasonal items.
The company is also aggressively integrating marketing communication to expand its viewer base, boosting brand awareness by creating ‘Show host’ career definition through ‘The Showhost beyond the Presenter’ audition program aired on GMM 25 Digital TV run by GMM Grammy, during 2nd quarter of 2015. The company has also promoted the brand on advertisements in both in-home and out-of-home media to acquire more customers nationwide.
Also, O Shopping channel now is broadcast through various platforms including satellite-based TV operators GMM Z and PSI, and local cable-TV operators.
Despite facing an economic downturn this year, the company believes the overall value of the TV home-shopping industry will reach Bt8 billion this year.
GMM CJ O Shopping is a joint venture held 51 per cent by music and entertainment giant GMM Grammy and 49 per cent by CJ O Shopping, the number one home-shopping firm in South Korea.
