Modern House Leads Living Brand Industry with 20 Years of F/W Keyword Signature Collaboration

- Developing 'Signature Products' to Strengthen Competitiveness through Collaboration with Renowned Designers and Brands
- "The Home Economy Era Arrives Due to COVID-19... Demand Surges as Interest in Living Products Grows"

Modern House, South Korea's leading living brand, is expected to further solidify its leading position in the market as the number one brand in the living industry with its strategy to strengthen product competitiveness for the 2020 F/W season.

Since last year, Modern House has established its brand identity as "All Thoughts About Home - Modern House" and has been focusing on product development linked to this identity. The brand plans to maximize its value by developing its core product groups, which have been popular among consumers such as kitchenware, bedding, and Christmas decorations, into "signature products." In particular, in the second half of 2020, the strategy is to upgrade products by promoting collaborations with prominent external designers and brands.

The reason Modern House is actively working to strengthen its brand position is based on the judgment that the COVID-19 pandemic has increased the time consumers spend at home, marking the full arrival of the home economy era. As consumer interest and demand for living products, fabrics, kitchenware, home interior, and furniture have increased, the market has rapidly grown.

According to Statistics Korea, the domestic home furnishing market, which was about 10 trillion KRW in 2010, grew to 13 trillion KRW in 2015 and is expected to reach 18 trillion KRW in 2023. Interest in home decoration products has translated into spending, with retail sales related to home furnishing increasing by 23.9% in April this year compared to the same month last year. Online furniture transaction volume also expanded by 42.7% year-over-year.

Modern House has also shown steady growth, especially since the COVID-19 outbreak intensified. Its sales in the second quarter grew by 12% compared to the same period last year. The growth rate of online sales is even more remarkable, with online sales growth expected to rise from 2% in 2019 to 22% in 2020. Through aggressive channel expansion with external partner malls, sales from partner malls recorded a 250% growth year-over-year during the first half of 2020.

Oh Sang-heun, CEO of Modern House, said, "We will expand the number of offline stores to 123 this year and 140 next year, growing into the largest living and lifestyle brand in South Korea. In response to the untact era, we plan to further expand our primary contact points with consumers by providing optimized products to our newly launched independent online mall."

Modern House is opening new stores in distribution malls such as Lotte, Hyundai, and Starfield, as well as in suburban commercial areas, with a total of 12 new stores planned to open this year alone. Continuous love calls for entry from various channels have led to successful store expansion, and as a result, the proportion of E-Land and Homeplus stores has decreased, effectively diversifying offline stores. For online, an independent brand mall capable of personalized services such as curation will be launched in the fourth quarter of this year to accelerate growth.

This content was produced with the assistance of AI translation services.