Daiso gets a makeover: bigger stores, sharper categories

Daiso is reinventing itself. The discount variety chain has been opening larger stores with more finely divided product categories, evolving into a neighborhood-tailored retailer while holding on to its identity as an ultra-low-price lifestyle shop.

Large new Daiso locations that have recently opened in Gangnam-gu and other parts of Seoul have overhauled the way products are displayed, according to industry sources Monday. Where items were once grouped broadly under beauty, fashion and health supplements, new fixtures organize them by brand and function. Display units have also been redesigned in silver and white tones, giving the stores a brighter, more polished feel.

The Sinsa Garosugil store, which opened in Sinsa-dong, Gangnam-gu, in late July, is the clearest example. Spanning 724 square meters across the basement level and four above-ground floors, the store bills itself as a "beauty and fashion specialty store." The entire basement is devoted to beauty and fashion products. The beauty section is divided into skincare, men's care, body care and hair care, with color cosmetics gathered at a dedicated makeup counter. Bright-lit mirrors, cotton pads and makeup remover are provided so shoppers can try products before purchasing.

"There seem to be more product types here than at other stores, and it feels brighter and more organized," said a shopper in her 40s who gave only her surname, Baek. "It's like CJ Olive Young moved into a Daiso."

The fashion section has also expanded its classifications to include underwear and homewear, with separate eyewear and accessories counters. The health care corner on the ground floor organizes products by pharmaceutical company — including Chong Kun Dang, Dongkook Pharmaceutical and Dongwha Pharm — while high-demand items such as vitamins and omega-3 supplements are sorted by function, covering areas such as circulatory health, blood sugar management, and rest and sleep.

"We vary the interior visuals and the way products are presented with every new store opening," a Daiso spokesperson said. The Cheongdam Dosan Park store, which opened in August at 1,194 square meters, added "slow aging" and "expert care" sections to its beauty corner.

Daiso plans to apply the same strategy to upcoming stores in key Greater Seoul commercial districts. The move aligns with trends at its rivals in the so-called "Ol-Da-Mu" trio — CJ Olive Young, Daiso and Musinsa — which have become must-visit stops for foreign tourists. CJ Olive Young has been opening flagship stores in prime locations such as Myeong-dong, while Musinsa recently launched a 1,262-square-meter beauty store in Hongdae.

Some observers see Daiso making a serious push into the health-and-beauty platform market dominated by CJ Olive Young, pointing to the Konkuk University-area store that opened in August and dedicated about 80 percent of its roughly 66-square-meter floor space to beauty products. Daiso, however, pushed back on that reading. "It was a 'pick-and-focus' strategy to run a small store efficiently," a spokesperson said. "As a lifestyle goods specialty retailer, we have no plans to open additional stores concentrated solely on beauty products."