Department Stores in Kansai Shift to Korean Brands to Attract Young Shoppers

Apr 28, 2025 | News On Japan

OSAKA - At Daimaru Umeda, a new event has started featuring popular South Korean cosmetics brands on a weekly rotation, leading to an uptick in visits from younger shoppers and those interested in Korean fashion. Hankyu Umeda is also preparing to launch a new section aimed at customers aged 25 and under, offering a fresh shopping experience that incorporates lifestyle goods and Korean brands.

While inbound tourism had been expected to drive strong sales for department stores, preliminary figures for March show a year-on-year decline at seven of nine major Kansai outlets. Retailers are responding by investing in new sales floor concepts during this transitional period.

At Daimaru Umeda, a new initiative began in April to showcase leading brands from Hyundai Seoul, one of South Korea's top department stores. Partnering with Parco and other locations, Daimaru Umeda has launched a three-month project to bring Korean fashion brands to Osaka. Cosmetics from various Korean brands are also on display, attracting crowds looking for trendy products not yet widely available in Japan.

The event, based on a similar successful collaboration held in Tokyo, allows visitors to experience a rotating lineup of pop-up shops featuring different brands each week. Customers have likened the experience to shopping in Korea itself. Some brands are making their Japan debut at this event, offering a hands-on experience with new cosmetics.

The event has already shown signs of changing customer demographics. According to Daimaru Umeda, some visitors specifically seek out T-shirts worn by K-pop idols in dance videos, illustrating the appeal of Korean pop culture among the younger generation. The price range for the cosmetics on offer is roughly between 2,000 yen and 3,000 yen—higher than drugstore brands but more affordable than luxury department store offerings—hitting a sweet spot for shoppers in their twenties.

The initiative is not limited to Daimaru Umeda. Hankyu Umeda is also preparing to open a new sales floor on its fifth level, aimed squarely at shoppers aged 25 and under. Though still under construction, a preview revealed a wide, open layout with distinctive architectural features and a central lifestyle zone modeled after a convenience store.

Named 'Beyond World,' the new area will not only feature apparel but also lifestyle goods, with a particular emphasis on Korean brands. Department store officials say Korean brands excel at creating immersive shopping experiences, allowing customers to feel as if they are entering another world while shopping.

The Beyond World section is set to open this Saturday.

Department stores have traditionally been associated with high-end European and American brands. However, with shifting consumer behavior, there is a clear move toward capturing younger audiences through the popularity of Korean trends. This strategy is seen as a vital effort to secure future customers rather than relying solely on inbound tourism for growth.

By leveraging the Korean boom as a point of contact with younger shoppers, Kansai's department stores are working to transform the traditional image of department store retail and ensure their survival in a rapidly changing market environment.

Source: Television OSAKA NEWS

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