In an attempt to get closer to end users, South Korean steel producer POSCO has decided to sell its stainless steel products in stock directly to end users and designated steel service centers, in addition to the existing method of e-sales by auction.
POSCO is thus expected to solve the problems that have arisen over the past 10 years
at auctions in the sales of its stainless steel products, if it introduces such a new sales system. The number of the registered companies that can participate at
its auctions is 692 at present, but just 39 of these have purchased about 80 percent of the
products put up for auction, whereas end-users have been successful in buying a mere two percent. Thus, POSCO plans to sell its stainless steel products in stock directly to end-users so that they will be able to purchase them more easily.
"We will make the utmost efforts to secure the transparency of sales more than anything else and will get closer to end-users, as we initially intended in our sales by auction. We plan to enhance the product quality and technical services to the levels of our ordinary products," said a POSCO official in charge of marketing of stainless steel products.