'1-Hour Delivery War Intensifies' SSG.com Enters Quick Commerce Market... Utilizing Emart Logistics

[Financial News] Shinsegae Group's e-commerce subsidiary SSG.com will launch the quick commerce service 'Quick Delivery' based on Emart stores starting next month, entering the ultra-fast delivery competition.
SSG.com announced on the 28th that it will start the 'Quick Delivery' service, which delivers Emart products ordered via the app to the destination within 1 hour, from the 1st of next month. The initial service bases are 19 major Emart stores nationwide, including Seoul's Wangsimni, Mapo, Eunpyeong, Wolgye, Hawolgok, Jayang, Mokdong, Sinwol, Guro, Yeoksam, Cheonho, Garden 5, Gyeonggi's Dongtan, Suwon, Seosuwon, Chungcheong's Cheonan, Cheonan Terminal, Daegu's Suseong, and Busan's Munhyeon. The plan is to expand nationwide in the future.
Quick Delivery uses Emart stores as logistics bases to deliver to consumers within a 3km radius using delivery motorcycles. The minimum order amount is 20,000 won, and the delivery fee is 3,000 won. Refrigerated and frozen products maintain freshness with cooling agents and dedicated pouches. Products packed in stores are delivered in paid bags (100 won). Order progress can be checked in real-time via the SSG.com app and push notifications. Orders can be placed from 10 AM to 10 PM (until 9 PM at some stores), and products can be selected from the 'Quick Delivery Specialty Store' on the app's main screen. Products available for Quick Delivery are marked with a special icon.
The product lineup consists of about 6,000 types, including fresh and processed foods, as well as Emart's private brand (PB) products such as Peacock and 5K PRICE (OK Price). Instant cooked items like kimbap, sushi, and fried chicken, as well as kitchen, bathroom, stationery, beauty, fashion, small appliances, and pet supplies can also be ordered. SSG.com plans to continuously expand the assortment to strengthen competitiveness.
With this launch, SSG.com now offers immediate delivery in addition to same-day delivery 'SSG Delivery (morning, daytime, Traders)' and next-day delivery 'Star Delivery'. The strategy is to secure both speed and product selection to enhance customer loyalty. In particular, it is expected to secure a differentiated logistics network compared to competitors by utilizing the Emart store network distributed nationwide.
Recently, quick commerce has emerged as a key competitive area in the distribution industry. According to the global market research firm Statista, the domestic market is expected to grow from 4.4 trillion won this year to 5.9 trillion won by 2030. The convenience store industry has already established close-range delivery centered on CU and GS25, and large marts are expanding fresh food quick commerce by partnering with online platforms. Although the demand for 'immediacy' surged after COVID-19, fast delivery in domestic e-commerce was limited to specific products and regions. To address these limitations, SSG.com has proposed a strategy to secure both speed and product power by using about 100 Emart stores as logistics bases. SSG.com's entry this time is seen as a late entry but also a differentiated strategy utilizing the strength of the Emart store network.
Han Geon-su, SSG.com's SCM manager, said, "By utilizing Emart stores nationwide, consumers can quickly receive their preferred products," and "We will gradually expand fast delivery services reflecting regional demand." 

clean@fnnews.com Lee Jeong-hwa Reporter