Page 80 - CRC_One Report 2021_EN

Business Overview and Performance Corporate Governance Financial Statements Enclosure

Omnichannel sales performance according to The 1 loyalty program data, omnichannel customers’ average
spending was 4-5 times higher than the single channel customers and they purchase more variety of products,
too. Omnichannel sales grew in all Central Retail’s business segment and it is summarized as follows:

Omnichannel Sales 2019 2020 2021
Growth YoY (%)

Hardline segment 31 73 142
Food segment 51 202 171

Fashion segment 91 263 82
Total 57 177 109

%Omnichannel sales to total sales 3 10 20

1.2.2 Business Structure of Central Retail

1.2.2.1 Merchandising and Sales

Central Retail strives to provide customers with a large selection of fashionable and quality merchandise at
a variety of price points, housed in an attractive and modern store environment with a focus on delivering premium
customer service. Central Retail continually diversifies its merchandise selection in order to appeal to the diverse
and evolving tastes and preferences of its customers. Fashion segment is comprised primarily of retail banners
operating under department store or retail plaza formats, and its merchandise mix primarily includes categories
such as apparel, shoes, accessories, cosmetics and sports equipment, as well as other categories such as household
items, kitchenware and consumer electronics, etc. Hardline segment is comprised primarily of retail banners
operating under specialty store format, and its merchandise mix primarily includes categories such as consumer
electronics, construction materials, DIY products, and household items, stationery, books, IT equipment and office
furniture, etc. Food segment is comprised primarily of retail banners operating under supermarket, hypermarket,
convenience store or retail plaza formats, and its merchandise mix includes groceries and related items, as well
as home appliances, clothes and sports equipment.

During 2020 - 2021, the COVID-19 pandemic, a global health crisis, caused domestic and international lockdowns
and impacted Central Retail’s operating results both directly and indirectly. However, Central Retail adjusted itself
to the situation by increasing sales through omnichannel and implementing cost efficiency measures, for example,
the management of staff productivity, the advertising through social media or digital marketing to reduce advertising
and public relations costs, and the control of utility costs.

80 Annual Report 2021 (Form 56-1 One-Report)