Shinsegae Department Store opens first overseas Factory Store in Laos

Shinsegae Department Store is taking its off-price retail concept overseas.

Shinsegae announced Wednesday that it opened the first overseas location of its Shinsegae Factory Store at the Patuxai branch of Kok Kok Mega Mall, a major shopping complex in Vientiane, the capital of Laos, on Saturday. The store is the retailer's first overseas outlet, launched through a franchise agreement with Grand View Property, an affiliate of Laos-based retail conglomerate Kolao Group. About 10,000 people visited on opening day alone.

Laos has seen growing interest in Korean fashion, beauty and culture. The country draws about 5 million foreign tourists annually and is considered a high-potential market for Southeast Asian expansion. Vientiane in particular has a strong preference for Korean brands, especially among young female customers.

The Laos store spans 1,320 square meters and is designed as a "department store-style off-price outlet." K-fashion brands popular with younger shoppers — including Kirsh and Brown Breath — anchor the lineup, alongside casual and golf apparel. A cosmetics zone features well-known K-beauty brands such as Joseon Beauty and Nature Republic. Given the country's year-round warm climate, 80 percent of the merchandise consists of summer products.

Shinsegae said the move goes beyond simple store expansion, aiming to introduce quality Korean brands to overseas consumers and demonstrate the competitiveness of the Korean off-price retail model globally. The company plans to use the Laos store as a springboard to extend its franchise operations to other major Southeast Asian markets, including Thailand and Vietnam.

"We will provide local customers with a differentiated brand selection and a value-driven shopping experience, while helping strong Korean brands enter overseas markets," said Park Sang-eon, executive director of new retail at Shinsegae Department Store. "Starting with Southeast Asia, we will continue to expand the reach of the Korean off-price retail model."