[THE INVESTOR] The market for high-end children’s fashion items such as school bags and lunch bags, some costing close to US$1,000, is growing fueled by the “eight pockets” phenomena.



The term eight pockets refers to the phenomena where maternal and paternal grandparents, unmarried aunts and uncles as well as the parents pay for goods used by children. The phenomena is thought to have been created by low birthrate.







The popular "randoseru" leather backpacks from Japan





According to local retailers, the market for children’s fashion is growing rapidly despite the fall in birthrate aided in part by the popularity of luxury goods.



This year’s school bags market is estimated to be worth about 400 billion won (US$347.50 million), about double that of 2010. In comparison, the number of elementary school children has dropped by 600,000 over the same period.



School bags are not alone in growing despite the economic slowdown.



According to Lotte Department Store, the growth of children’s department sales outpaced that of fashion department by about 15 percentage points last year. Other major department stores have reported significant growth in children’s goods sales this year.



The increase has been partially attribute to the popularity of high-end goods from luxury brands. According to retailers, children’s good from major international fashion brands that range from several hundred dollars to over US$1,000 are often quickly sold out.



By Choi He-suk (cheesuk@heraldcorp.com)