Premium Goes Mainstream in Korea's Everyday Household Products

Consumer spending on household goods, once driven by price and practicality, is shifting toward valuing design, brand and the user experience. Across retail channels including home shopping and department stores, a "premiumization of daily life" is spreading, as consumers choose high-priced products that express their taste and boost everyday satisfaction, even when cheaper alternatives exist.

On the 16th, GS Shop said it sold a nine-piece set of "kaya" dishcloths from the Japanese premium brand Wafuka through its TV home shopping broadcast this month, generating 160 million won in orders. That was 41% above its initial target. In its first broadcast in April, it also posted 150 million won in orders, exceeding the target by 38%. The product is a set of nine kaya dishcloths, which retail for more than 10,000 won each, priced at 59,900 won. Although that is more than six times the price of ordinary dishcloths at around 1,000 won each, it recorded sales that beat targets in consecutive broadcasts.

Perceptions of the shopping cart, once regarded as a simple basket, are also changing. GS Shop's "Jim Sanderson Roll & Go Rolling Cart," introduced last month, featured glossy colors and a refined design differentiated from conventional baskets. Despite a price of 120,000 won for the two types, about 6,000 units sold in a short period, generating about 600 million won in orders.

In the lighting market, where products typically priced at 10,000 to 20,000 won dominate, high-priced items are also drawing a strong response. The "Villeroy & Boch Seoul" lighting, priced at more than 300,000 won, posted more than 200 million won in orders, reaching 111% of its target. Bathroom products were no exception to the premium consumption trend. Italian premium soap brand "S.A.F," priced at up to 10,000 won each, recorded 230 million won in orders, achieving 188.8% of its sales target.

Premium consumption of household goods is also prominent at 29CM, a leading taste-focused select shop. According to 29CM, "Franklin," a lifestyle brand offering products such as laundry detergent and hand wash, surpassed 6 billion won in cumulative transaction value through June this year. Its flagship foam hand wash is priced at 40,000 won under a one-plus-one promotion, far higher than mass-market products costing a few thousand won. But it has drawn steady demand through word of mouth, backed by a product formula containing only essential active ingredients and a stylish design.

Domestic furniture brand iloom also introduced its new "Cusino" family bed on a 29CM live broadcast in February, recording 300 million won in transaction value in a single day. Despite being a high-priced product at a discounted price of 1.875 million won, it succeeded in a short period, reflecting a consumption trend that prizes taste and experience.

In the kitchen interior market, more consumers are seeking to change the mood of a space by partially installing premium products instead of undertaking major renovations. According to CJ ONSTYLE, sales of ceiling fan installation products from Australian brands such as Lucci Air and Airratron rose more than threefold in January through May this year compared with a year earlier. Sales of sink bowls from the square sink bowl brand Artisan also grew fivefold over the same period. Sales of both categories are expanding around high-priced products ranging from 500,000 to 1 million won.

Department stores are also targeting demand for adding a premium touch to everyday goods. Lotte Department Store operated a pop-up store for cleaning products brand "Scrub Daddy" at Lotte World Mall in Jamsil last month. Although the basic three-pack of scrubbers cost about 20,000 won, more expensive than ordinary products, it drew about 70,000 visitors over two weeks, powered by technology that changes texture depending on water temperature, superior cleaning power and a unique smiley-face design.

In the living market, premium products' sales growth is far outpacing that of ordinary goods. Hyundai Department Store's overall living sales in June rose 29% from a year earlier, but sales of premium living products increased 47%. Sales stood out for luxury bed brands such as Hastens, Duxiana and Vispring, which cost close to 30 million won and are dubbed the "Hermes-Chanel-Louis Vuitton of beds."

Demand for high-priced kitchenware is also continuing. Shinsegae Department Store's sales of premium kitchen and cookware and cooking tools in the second quarter of this year rose 25% from a year earlier. Some pot products cost up to 1 million won each, yet sales are steadily growing.

"Centered on women in their 50s and 60s with purchasing power, consumption is spreading in which people spare no expense even on frequently used household goods to enhance their taste and everyday satisfaction," an industry official said. "While retail channels such as home shopping and department stores once focused on selling cheap household goods in bulk, they have recently trended toward actively presenting premium household goods with differentiated design and functions."