e-Commerce Market Analytics

The eCommerce market in South Korea

South Korea is the sixth largest market for eCommerce with a revenue of US$92 billion in 2021, placing it ahead of France and behind Germany.

With an increase of 14%, the South Korean eCommerce market contributed to the worldwide growth rate of 15% in 2021. Just like in South Korea, global eCommerce sales are expected to increase over the next years. As new markets are emerging, global growth will continue over the next years. This development will be propelled by East and Southeast Asia with their growing middle class and their lagging offline infrastructure.

With a yearly growth rate of 5% between 2021 and 2025, South Korea is expected to grow at a slower rate than the global average of 6%.

The eCommerce market in South Korea

Top online stores

The biggest player in the South Korean eCommerce market is coupang.com. The store had a revenue of US$16.4 billion in 2021. coupang.com is followed by ssg.com and yes24.com as the second- and third largest stores with US$1.5 billion and US$526 million, respectively. Altogether, the top three stores account for 20% of online revenue in South Korea.

Store rankings include every store that generates revenue in South Korea. These stores can either have a national focus and only sell in their main country or operate on a global scale. For this evaluation, only revenue created in South Korea was considered.

One of the fastest-growing stores in the South Korean market is allbirds.co.kr. The store achieved online net sales of about US$2.8 million in 2021. Its revenue growth amounted to 277% in the previous year.

More information on the top 100 online stores in South Korea can be found in our ecommerceDB Country Report.

Growth champions:
Editorial tips:

Top online eCommerce stores in South Korea by eCommerce net sales 2021 in million US$

# Store
1. coupang.com
US$16,405.5m
2. ssg.com
US$1,247.9m
3. hmall.com
US$1,054.2m
4. nike.com
US$651.1m
5. yes24.com
US$509.8m

The eCommerce market in South Korea

Market size and growth rate

Revenue in 2021
US$119,486.1m
REVENUE
CAGR 2021-2025
3.6%
CAGR
Digital Market Outlook by Statista

The Digital Market Outlook presents up-to-date figures on markets of the digital economy. The comparable key figures are based on extensive analyses of relevant indicators from the areas of society, economy, and technology.

Visit Statista.com

The eCommerce market in South Korea is expected to increase over the next few years, as indicated by the Statista Digital Market Outlook. It has been predicted that the compound annual growth rate for the next four years (CAGR 21-25) will be 5%. Compared to the year-over-year growth of 14% between 2020 and 2021, this decrease in yearly growth suggests a moderately flooded market. An other indicator of market saturation is the online penetration of 68% in South Korea; in other words, 68% of the South Korean population have bought at least one product online in 2021.

Five categories are considered by ecommerceDB. Fashion is the largest segment in South Korea and accounts for 27% of the eCommerce revenue in South Korea. It is followed by Food & Personal Care with 23%, Electronics & Media with 19%, Toys, Hobby & DIY with 18%, and Furniture & Appliances with the remaining 14%.


The eCommerce market in South Korea

Top shipping service providers

In South Korea, CJ Logistics is the most frequently offered delivery service provider among online stores. Of those stores indicating which service they use to transport their goods, 64% cited CJ Logistics as one of their providers. Moreover, Lotte and UPS are among the top three shipping service companies offered by online retailers in South Korea, at rates of 9% and 5%.

Shipping information is based on orders from the store's main country, which is defined as the one where the store generates most of its online revenue. As a result, only stores that generate more net sales in South Korea than in any other country are taken into account. Furthermore, only stores that provide information about their shipping providers can be considered.

Competitor analysis of shipping service providers in South Korea

# Shipping service provider
1. CJ Logistics
64.0%
2. Lotte
9.0%
3. UPS
5.0%