Duty-free stores offer huge discounts on luxury goods

Duty-free stores are planning to offer huge discounts, including on luxury items, next week to clear out their inventory, following lackluster sales due to the COVID-19 pandemic.

Shilla Duty Free said Friday it will start selling duty-free products next week on its platform Shilla Trip, which was launched last year.

While duty-free products are usually banned from domestic sales, Korea Customs Service has temporarily allowed sales of the goods that have been in stock for more than six months, as part of its efforts to support the industry that has seen diminished sales in the wake of the COVID-19 pandemic.

Cosmetics products, perfumes, liquor brands and health-related goods are excluded from domestic sales.

Shilla’s clearance sales event will offer some 40 brands, including luxury designer brands -- such as Prada and Moncler -- and contemporary brands like Tumi, Tory Burch, Maison Margiela, the company said.

The prices are estimated to be 30 to 50 percent lower than the original prices sold in department stores here, the duty-free store operator said. The customs clearance tax and the costs for transportation and preparation will be included in the price of the products.

It has yet to reveal the exact date for opening the sales, but it is likely to be later next week. The company said it will take time to fully check its online shopping system to minimize possible inconvenience to customers.

Those who want to make purchases will need to click the Shilla Trip menu on the Shilla Duty Free mobile app.

Lotte Duty Free Store also said it will sell duty-free goods through its retail channels starting from June 26, in eight department stores and outlets across the country.

Shinsegae Duty Free was the first to open a sales event of duty-free goods on June 3. Shinsegae International, which is the fashion arm of Shinsegae Group, plans to run a second round of the clearance sales for seven days, starting from Monday on its online mall, SI Village.

By Jo He-rim (herim@heraldcorp.com)