Social Commerce in Korea :: 2010/10/19 16:01
The growth rate of social commerce in Korea is very fast. Around sixty companies provide social commerce services and the market size is expected to become $30 mil in the late this year. Three companies among those companies are attracting public attentions, so I introduce the companies briefly.
Ticket Monster (http://www.ticketmonster.co.kr)
Ticket Monster has the biggest market share of 20% in the Korean social commerce market. Even though it was established in May 2010, it has already generated $7 mil for five months. Its business model is very similar to Groupon's. When a user visits the web-site, the user could choose one area among twelve areas. And the Ticket Monster sell only one product of the area per a day with around 50% discount price.
Daily Pick maintains the second position in the market. They focus on a small restaurant located in hot places of Seoul. Even though their revenue size is a little small because of the characteristics of their target product, they record enormous page views everyday. When they post a new product, the product is usually sold out at noon or early afternoon. For instance, they posted a discount coupon for a Korean traditional chicken place and 2,000 customers bought the coupon until one PM.
We Make Price (http://www.wemakeprice.com)
As its name, 'We Make Price' provide customers with very cheap products which many people could be enthusiastic on. Even though it was launched on 8th October, it already became a major social commerce provider. For instance, when they launch the service on 8th October, they sold the Everland ticket (a Korea's famous theme park) with 60% discount price, attracting 100,000 customers. They marked a day revenue of $1.5 mil. It is very awesome record compared with the average day revenue of around $0.1 mil usual social commerce providers make.
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