KB Card Launches 'Avocado' to Support Small and Medium Merchants' Marketing Using Big Data

Utilizing Big Data and Marketing Infrastructure
Sending Advertising Messages with Discount Offers to Target Customers

[Asia Economy Reporter Ki Ha-young] KB Kookmin Card announced on the 9th that it has launched 'Avocado,' a big data-based marketing support service for small and medium-sized merchants.

This service uses big data and marketing infrastructure to send advertising messages containing discount offers to customers desired by the merchants.

It is an optimized service for small merchants who find it difficult to conduct data analysis and marketing/advertising activities on their own. Online merchants using payment gateway (PG) services can also use it without opening a separate merchant account.

Based on big data analysis algorithms, this service discovers potential customers and uses machine learning, one of the artificial intelligence (AI) technologies, to detect the behavior of target customers for marketing. For the set prospective or target customers, it sends personalized advertising messages containing offers such as billing discounts at the optimal time using the card company's marketing infrastructure to induce purchases.

For example, if a customer in their 30s who enjoys overseas direct purchases is analyzed to shop frequently on the way home from work, the service sends messages containing discount information related to overseas direct purchase shopping malls during the commuting hours, considering the customer's purchasing patterns and market trends.

Small and medium-sized merchants wishing to use the service can set target customers for marketing based on demographic characteristics and card usage behavior analysis of their customers in consultation with the card company. If there is no customer data due to new startups or insufficient analyzable data, data from merchants with similar characteristics in the same industry or commercial district are used.

Customers who receive the messages can enjoy the announced discount benefits when using the merchant, and the card company regularly provides merchants with reports on marketing activity results and performance insights such as ▲response rates by customer characteristics ▲advertisement page click rates ▲purchase conversion rates.

A KB Kookmin Card official said, "As a result of conducting over 120 pilot tests during the preparation period of about a year, a startup related to pet supplies saw its sales increase about fourfold compared to usual," adding, "We plan to accelerate our full-scale monetization strategy by expanding service provision mainly to small business owners who need professional marketing support and startups with high growth potential."

This content was produced with the assistance of AI translation services.