Wednesday, 16 May 2012

Tesco’s Virtual Stores in South Korea, a new Invention of the Retail Industry

If people don’t come to the store, let the store come to the people”

Tesco Homeplus in South Korea has opened the world’s first virtual store today in the Seoul subway to help time-pressed commuters shop on the go using their smart phones.

The walls of the Seonreung subway station in down town Seoul came to life today with virtual displays of over 500 of the most popular products by pasting posters of stocked shelves onto platform walls with QR coads and turned the place into a 'virtual supermarket' through which customers can scan the barcode and shop by using the Homeplus app on their smartphones and The contents of the shoppers' ­'virtual baskets' were later ­delivered to their homes.

The main importance of the idea is that busy commuters can scan their groceries on their way to work in the morning and, as long as their order is placed before 13.00, their items will be delivered home that same evening, creating even greater speed and convenience in the whole shopping experience.

Tesco Virtual Store , A short Video

The displays, which include a range of different daily items from milk and apples to pet food and stationery, will be placed on the pillars and the screen doors at the subway station. Commuters turned shoppers can then scan the QR code beneath the desired item via the Homeplus app on their smartphone and the item will then be delivered direct to the customer’s home at a time of their choosing.

In the words of Executive Vice President of Corporate Affairs at Tesco Homeplus, D W Seol ,

“I am extremely proud of the great work the Tesco Homeplus team have done to launch this idea in the Seoul subway. We are always looking to make the shopping experience easier and more convenient for our customers and the introduction of the virtual store is a great achievement. This is a real triumph for the Korean retailing industry as it continues to be at the forefront of technological innovation.”

The trial was a great success story, Tesco Homeplus is now expanding its virtual stores, to 20 bus stops in Seoul. with a view to rolling the format out across South Korea within two years. "The concept made sense," said Irene Lam, a spokeswoman for Cheil Worldwide, the global marketing agency that helped develop the store. The trial boosted the retailer's online sales 130% and online members 76%, claimed Cheil.

The smartphone app is the most popular shopping app in Korea, with more than 900,000 downloads since it launched in April last year.

The concept can next be applied in UK, according to experts. "The time is right for this," said Simon Goodall, director of strategy at Saatchi & Saatchi X. "This is about bringing the store to the people."

To be successful in the UK, two vital pieces of infrastructure would be required: mobile connectivity on all forms of public transport, including the tube networks in London and other cities, and a fleet of delivery vans set up for fast reactions.

Most of the big supermarkets in the UK have mobile-optimised websites for online shopping and Ocado’s iPhone app has won several awards, but Home Plus’s subway poster shops pushed the idea of mobile shopping into the minds of people who could use it right where they are.

This concept of the virtual store has created a kind of wave in retail industry. Some other retailers are on their way to grab their share of the success, like Yihaodian , China's leading online grocery store, introduced “virtual supermarkets" to Shanghai's metro stations earlier this week. Large LED screens advertising everything, from diapers to raw meat, have been posted at nine metro lines across the city.

So let’s revise what are the key benefits here :
  • It’s time saving
  • It’s more approachable
  • The concept can save lots of money of the retailer, which they would had been spending on opening a real store
  • It also solve the retailers problem of the search for a suitable location for the store
  • This concept will help Tesco in competing with the number one store E-Mart.
  • Saving money on store staff
  • Helpful on gathering market data
  • It also serves as an advertisement for the retailers

But, for in the opinion of some people it’s not all the bed of rose. Some difficulties can also be seen here :-
  • Its virtual shopping mode might elevate the case of returning the product.
  • This concept could create the war among the retail giants for the prime space to put up their virtual store.
  • It might make the metro station more crowed.
  • All the other dangers which are applicable for an online shopping are applicable here as well.
  • Good mobile connectivity is required.

Whether we see these virtual stores as a display advertising campaign or a new way of building supermarkets in spaces that already exist, that are a remarkable achievement.

Important links


  1. Its a great evolution in technology's history. From consumer care point of view, it is more than just a virtual shopping store.
    Deals and Discounts Store

  2. Good job. This is very nice post. I like your post. Its fantastic. Thanks a lot for share and that's my request please share me more post in future. http://www.rubber flooring-uk

  3. The advantages of online shopping is that you can easily browse through dozens of different websites to find the best price.
    Myntra Coupons|Myntra Promo Deals

  4. Wow, this article is pleasant, my younger sister is analyzing these kinds of things, so I am going to tell her.
    Detalles de boda

  5. I think this article will fully complement you article. PLease continue publishing helpful topics like this. Regards, from Always Open Commerce.

  6. Great info! I always shop online and got benefits of Online Shopping . Share more post in future.

  7. An intriguing discussion might be priced at comment. I think that you simply write much more about this topic, it might certainly be a taboo subject but typically folks are there are not enough to communicate in on such topics. An additional. Cheers Full Report

  8. Good work!
    i appreciate the effort made by author. I also love to make online shopping with free home delivery

  9. Such a nice information about my search i am working these type of work Great post, thanks a lot for sharing

  10. HI,
    Happen to saw your article and waiting for updates Thank you

    buy soft drinks online south-b

  11. I read your blog frequently and I just thought I’d say keep up the amazing work!

  12. With havin so much written content do you ever run into any issues of plagorism or copyright violation? My blog has a lot of completely unique content I've either written myself or outsourced but it looks like a lot of it is popping it up all over the web without my authorization. Do you know any techniques to help protect against content from being ripped off? I'd certainly appreciate it. criação loja virtual

  13. Whether you’re looking for a relaxing massage at an upscale salon or you’re looking for the convenience of free doorstep delivery, you’ll be sure to find a coupon for your needs. daily deals

  14. Thanks for posting the useful information to my vision. This is excellent information,.
    buy soft drinks online south-b


  15. Useful Information, your blog is sharing unique information....
    Thanks for sharing!!!
    online drink store Nairobi
    buy soft drinks online south-b

  16. Thanks for sharing this information. Fully Help Me... Embroidery Kurtis

  17. I always replied to this blog post and its been a long time since I came into knowledge of this blog. One of my friend’s suggestion worked for me and I am still regular to read every post of this blog.ผลิตเสื้อโปโล

  18. Remarkable experience earned after reading all the points of this website. I tried hard to get clue about how I could prove content of its blogs not much effective but I surrendered all my weapons just after reading it.โปร Tops

  19. It become an attractive part of a blog when author uses indirect speech while writing a blog. It shows your creative mind as well as make your written essay different from others.
    Eyebrow tweezers

  20. I came to this blog and it helped me to add few new points to my knowledge. Actually, I am trying to learn new thing wherever I find. Impressive written blog and valuable information shared here.

  21. Thank you for your post. This is excellent information. It is amazing and wonderful to visit your site.
    online supermarket in south-b
    online supermarket in Eastleigh

  22. This is really nice to read content of this blog. A is very extensive and vast knowledgeable platform has been given by this blog. I really appreciate this blog to has such kind of educational knowledge.

  23. I gained new knowledge from well written content of this blog. It is showing some different kind of strategy to keep work better and improve with every new assignment. Gracefully written blog

  24. Enthusiastic words written in this blog helped me to enhance my skills as well as helped me to know how I can help myself on my own. I am really glad to come at this platform.

  25. Your blog is very informative. Eating mindfully has been very hard for people these days. It's all because of their busy schedules, work or lack of focus on themselves. As a student I must admit that I have not been eating mindfully but because of this I will start now. It could help me enjoy my food and time alone. Eating mindfully may help me be aware of healthy food and appreciating food.
    ซื้อขาย รถ มือ สอง

  26. I am regular to check every post of this blog as well as its other supportive and knowledgeable informative blog post. I appreciate efforts of owner to deliver such valuable information to people.
    Forex Factory

  27. Thank you for your post. This is excellent information. It is amazing and wonderful to visit your site.
    online grocery store in Nairobi
    grocery store in Nairobi

  28. Sometime few educational blogs become very helpful while getting relevant and new information related to your targeted area. As I found this blog and appreciate the information delivered to my database.
    นาฬิกาเกรด มิลเลอร์

  29. I am glad that I saw this post. It is informative blog for us and we need this type of blog thanks for share this blog, Keep posting such instructional blogs and I am looking forward for your future posts.

  30. This is really nice to read content of this blog. A is very extensive and vast knowledgeable platform has been given by this blog. I really appreciate this blog to has such kind of educational knowledge.

  31. Really inspirational to hear someone pursuing their dreams and becoming successful instead of following the traditional path. I have read your article about This topic. I think it's good and impressed to know your service. Thanks for share this Information.
    เทรด forex คือ

  32. Enthusiastic beginning is very common in every sector when anyone enters into a new world. But it is very hard to keep such enthusiasm for a long time after huddles come out from invited sources. Read this blog and know more about this topic.
    Candlestick Chart คือ

  33. Sometime few educational blogs become very helpful while getting relevant and new information related to your targeted area. As I found this blog and appreciate the information delivered to my database.

  34. Mesmerized article written on this blog with other relevant information. It is straight to the point that how we can improve our skills as well as how we can be represented to a new stream of professionalism.
    แม่เหล็ก ถาวร

  35. A blog must be connected to the person in need. It is really important to understand the actual feel of such necessity and the essence of objective behind it. Author must give proper time to understand every topic before writing it.

  36. After reading this blog, I would like to demand more articles again and again. I am feeling myself as satisfy by got to know these all such information which never came to my knowledge. Please writer more.
    วิเคราะห์ปัจจัยทางเทคนิค คืออะไร

  37. The blog was absolutely fantastic! Lot of great information which can be helpful in some or the other way. Keep updating the blog, looking forward for more contents...Great job, keep it up. The day2day shop of mhow is fulfill the requirement of citizens by the online supermarket which provides online grocery and medicine.

  38. Your post is providing some really good information. I liked its essence and enjoyed reading it. Keep sharing such important posts about this blog and its much more helpful for us .
    Importateurs des produits marocains au Canada

  39. Thanks for the blog loaded with so many information. Stopping by your blog helped me to get what I was looking for.

  40. I have read so many articles on the topic of the blogger lovers however this post is actually a fastidious
    Meilleurs produits alimentaires marocains Canada

  41. this is really nice to read..informative post is very good to read..thanks a lot!
    product reviews site

  42. You are so awesome! I do not suppose I've truly read something like that before. So wonderful to discover someone with a few genuine thoughts on this subject matter. Seriously.. thanks for starting this up. This website is one thing that's needed on the internet, someone with some originality!
    ghế gỗ giá rẻ

  43. It has fully emerged to crown Singapore's southern shores and undoubtedly placed her on the global map of residential landmarks. I still scored the more points than I ever have in a season for GS. I think you would be hard pressed to find somebody with the same consistency I have had over the years so I am happy with that. mystery shopping spain

  44. Awesome post. This post is very helpful for me. It has Lots of information in Tesco’s Virtual Stores in South Korea, a new Invention of the Retail Industry. Thanks for sharing. Best Fitness Online