Partnerships between Cafe24 stores and companies on the rise

Business collaborations on Cafe24’s platform increase 27% on average every year
Large companies like HiteJinro and Genie Music join in on collaborations
Companies benefit from targeted marketing while online stores can amuse customers

DTC stores are increasingly being recognized as effective channels for targeted promotions and marketing, leading to business partnerships between Cafe24’s DTCs and larger companies in various industries including HiteJinro and Genie Music.

Since 2016, business partnerships between DTC stores and larger companies have increased at a CAGR of 27%. More than 1,200 promotions are expected to be carried out via Cafe24 DTCs this year.

Cafe24 DTCs each portray a distinctive style and concept, which attracts certain customer types with spending power that can be categorized into age group, gender, interests, etc. By joining hands with these stores, companies can send out unique marketing messages to specific target audiences which leads to an increase in marketing effectiveness. In turn, online stores can offer their customers a memorable shopping experience.

Promotions are rolled out in the form of branded delivery packaging, makeup sample giveaways, merchandise branded with both the company and store’s logos, to name a few.

For instance, HiteJinro is rolling out delivery package promotions with SSOMUCH, an online fashion apparel DTC targeting women in their 20s to 30s. The promotion takes hints from the Newtro (New+Retro) style that is taking trend among youth in Korea. HiteJinro is aiming to expand its customer reach through 15,000 packaging that features its iconic toad logo from the 1970s.

Likewise, the digital music platform Genie Music is borrowing a hand from DTCs to promote musical artists. Genie Music rolled out signed-CDs and giveaway promotions for Eric Nam, Kisum, and Sun Jae Kim’s new album releases through women’s fashion store Leejiral, men’s style stores HUNS and BOOM STYLE.

Meanwhile, companies in various industries including food, games, airlines, spirits, and media are all proactively searching for opportunities to accelerate promotions through DTCs.

Jaesuk Lee, CEO of Cafe24, said, “The collaboration of DTCs and companies through Cafe24 allows brands to join business know-how and creative contents for positive synergy.” He said, “Further corporate partnerships between 1.6 million Cafe24 DTCs and influencer brands will result in more enjoyable shopping experiences for consumers around the world.”

About Cafe24

Cafe24 is a global success platform that provides a one-stop business environment for e-commerce merchants so that they can achieve continued growth by focusing on their creativity. Cafe24 has established an e-commerce ecosystem with 1.7 million Direct-to-Consumer (DTC) merchants and various global partners in areas like payment, shipping, and marketing. Cafe24 is poised for growth as more DTC brands and e-commerce participants continue to join the burgeoning industry.