Head to East Asia and you’ll see one brand that seems to be taking the world by storm. LOTTE is a South Korean conglomerate corporation, which works in a variety of diverse industries from fast food to entertainment.
Vietnam is no stranger to LOTTE, with 15 hypermarkets and a whopping 270 fast food restaurants in the city. It also has residential apartments in Hanoi and Ho Chi Minh City, but this new store is the first downtown duty-free complex.
Let’s take a look at it and what it means for Vietnam!
What is the new LOTTE duty free?
The new Lotte duty-free is a vast complex sitting at 22,000 square feet, making it the largest duty-free shop in Vietnam.
Marketed at tourists, this is somewhere where alcoholic beverages, tobacco and other items can be bought without having to pay taxes, which usually makes them cheaper.
Where is the new Lotte?
The new Lotte store is located in Da Nang, in the VVMall which is right in the centre of one of Da Nang’s beach strips. It’s one of the most popular destinations for South Koreans to holiday, particularly in the winter when Seoul and other cities can be freezing cold.
What are the plans for the new Lotte?
It’s hoped that tourists in South Korea will visit the reliable Lotte chain – a brand that they know well – and enjoy cheaper prices when buying drinks and other products to take back to their country.
Lotte’s main target audience is South Koreans, as they know the brand very well and often shop there when abroad, so this Lotte Duty-Free was planned very strategically to hopefully maximise income for the company.
In fact, once Vietnam’s tourist industry gets somewhat back to normal (the country was shut for over 18 months during the Covid-19 pandemic), Lotte is hoping that they will earn more than 38 million dollars from this store alone.
Lotte already has some experience of duty-free products in Vietnam, as they operate at Da Nang International Airport which flies to destinations like Seoul. In fact, the Da Nang-Seoul route is one of the world’s most travelled, with both Korean Air and Vietjet running between the cities regularly.
At the airports, Lotte can target tourists as they leave the country. Lotte also operates at Can Ranh and Noi Bai Airports.
However, this new store will attract tourists when they are in “holiday mode”, perhaps wanting to purchase some goods to enjoy while they’re still in the country or have a lot of time to shop and carefully think about souvenirs or presents for people back home.
What will the Lotte store include?
The new store is targeted at South Koreans, with more than 200 brands, many of them local to Korea. Some items that are commonly found in the store include:
- Cosmetics including Korean skincare
- Clothes from famous Korean brands and other companies like YSL, Gucci and Christian Dior
It’s essentially a huge department store, offering well-known Korean brands at tax-free prices. For any other travelers, locals or expats, it’s an interesting snapshot of Korea in Vietnam!
What does LOTTE do?
LOTTE is a huge company, dating back to 1967, that has its headquarters in Seoul.
The company is a giant, operating a range of different industries, including the following:
- Candy manufacturing
- Fast food
- Financial services
However, most customers see Lotte’s retail and hospitality side, with shopping malls and hotels commonplace.
Lotte in Vietnam
Lotte is no stranger to Vietnam, and while the brand does target South Koreans, increasing numbers of Vietnamese people are using the company.
There are a few hypermarkets, mainly in Hanoi and Ho Chi Minh city, and the Lotteria fast food restaurants, which serve burgers and fries (similar to McDonalds), are a common site throughout the cities.
There are even Lotte Hotels in Hanoi and Ho Chi Minh City, which provide luxurious rooms, bars and restaurants. It goes without saying that these hotels are popular with South Korean visitors to the city.
However, even though these buildings are a slice of South Korea in Vietnam, there are some notable differences when it comes to local legislation.
Unlike the Lotte Hotels in South Korea, these do not have casinos, due to all forms of gambling, including online casino games, being illegal in Vietnam.
Where else will I find Lotte stores?
Aside from South Korea, Lotte has stores, hotels and fast-food restaurants in Asia Pacific countries, including China, Japan, India and elsewhere in Southeast Asia. There are also branches in Russia and the U.S.
And, thanks to the company’s overwhelming success, they are showing no signs of slowing down, and could one day break into Europe or anywhere else in the world!
If you’re in Da Nang and want to purchase some tax-reduced products or experience a slice of South Korea in Vietnam, it’s definitely worth checking out their new Lotte store. Or, if you’re looking for a nice hotel or a huge hypermarket-style shop, take a look at their branches in other cities across the country!