South Korea Retail Sector Market Size

South Korea Retail Sector Market Analysis

The South Korea Retail Market size is estimated at USD 553.92 billion in 2024, and is expected to reach USD 730.49 billion by 2029, growing at a CAGR of 5.68% during the forecast period (2024-2029).

The retail sector in South Korea is growing significantly due to its consistent economic growth and growing middle-class population, which has been essential in driving consumer expenditure. The growth in the middle-income population improves the spending power of consumers for a wide range of products and services. Healthy eating habits have gained popularity among educated consumers and are regularly featured in print and broadcast media. Fresh foods, fruit juices, fruit concentrated-based beverages, organic foods, sugar-free confectionery, packaged food with higher fiber content, dairy products, and vitamin and calcium-fortified packaged food and beverages are also preferred by middle to upper-income consumers.

Further, the increasing urban population has also concentrated potential customers in large cities, resulting in the development and expansion of retail stores. In contrast, the retail landscape has been revolutionized by the rapid adoption of digital advancements and the cumulative popularity of e-commerce platforms in the country, making it easier for businesses to influence consumers to gain access to a wide range of products and services. Revenue for offline and online retailers has increased. The popularity of online shopping has increased across the globe. Food and groceries were the most frequently purchased online. The aging population and rising number of single-person households in South Korea drive convenience and small-portion F&B product innovation.