South Korea's retail industry experienced a robust 7.0 per cent Y-o-Y in May 2025, according to the Ministry of Trade, Industry and Energy (MOTIE). This overall expansion was primarily fueled by a significant rise in online sales, which increased by 13.0 per cent, while offline sales saw a modest gain of 0.9 per cent.

MOTIE's monthly retail sales data is compiled from surveys of 23 major retailers. This includes 13 brick-and-mortar retailers—comprising three department store chains, three hypermarket chains, three convenience store chains, and four super supermarket (SSM) operators—along with 10 prominent online retailers.

Offline retail channels showed varied performance. Hypermarkets and department stores recorded growth for the first time since the Seollal holiday season in January. This positive shift was attributed to increased sales of high-priced items and higher revenue per customer visit. Meanwhile, convenience stores saw a slight dip of 0.2 per cent, but SSM operators continued their upward trend for the third consecutive month, growing by 1.0 per cent due to a steady increase in visitors.

By category, offline sales expanded in essential areas like luxury goods which increased by up 8.1 per cent. However, several categories such as fashion experienced continued slowdowns

Online sales maintained strong momentum. The services category increased by an impressive 37.3 per cent, driven by demand for food deliveries, e-coupons, travel packages, and cultural goods.. However, similar to offline trends, online fashion/clothing declined by 4.6 per cent This data highlights a clear consumer preference for convenience and high-value purchases in the online space, while certain discretionary categories face headwinds across both channels.