Naver's Han Seong-sook: "Introducing Subscriptions and Next-Day Delivery... Maintaining No.1 Position in Domestic E-commerce"

Hansung-sook, CEO of Naver

[Asia Economy Reporter Buaeri] Naver announced on the 1st its plan to expand new markets in the online shopping sector, including product subscription services, luxury goods, and live commerce.

Han Seong-suk, CEO of Naver, revealed this commerce strategy in a letter sent to shareholders the previous day.

CEO Han stated, "Naver solidified its position as the number one e-commerce platform in Korea last year by achieving a transaction volume of 28 trillion KRW, and we will continue to maintain this status. To continuously lead the commerce business, we will advance in five key directions."

The five directions for Naver Commerce disclosed by CEO Han are ▲strengthening seller solutions ▲supporting diverse purchasing methods ▲expanding the partnership ecosystem through membership ▲building data-driven on-demand fulfillment ▲and global expansion.

The number of Smart Stores opened on Naver has surpassed 420,000, with transaction amounts exceeding 17 trillion KRW. CEO Han said, "This year, we aim to accelerate growth further, targeting a transaction volume of 25 trillion KRW, a 50% increase from last year, and in five years, we want 1 million businesses to be selling through Smart Store."

Naver also announced plans to expand the market focusing on daily necessities, grocery shopping, subscription services, rentals, and luxury categories.

CEO Han emphasized, "In China, where live commerce has already taken root, it accounts for more than 15% of total e-commerce transaction volume. Naver Shopping Live is growing rapidly, and we will nurture it as a new growth engine for shopping without missing global trends."

The partnership ecosystem will also be expanded centered on Naver Plus Membership. In February, Naver signed a memorandum of understanding (MOU) with Korean Air and is currently discussing mileage benefit linkages. Discussions will also be held regarding benefits such as Naver Pay accumulation and free shipping at nationwide Emart and Shinsegae stores.

CEO Han explained, "The number of Plus Membership subscribers surpassed 2.5 million at the end of last year, and we expect the cumulative number to reach 6 million by the end of this year."

Naver is reviewing plans to introduce same-day and next-day delivery in Naver Grocery Shopping using 7,300 offline locations of Shinsegae and Emart, as well as free shipping benefits through membership and delivery of fresh products from Smart Store.

CEO Han added, "Not only Shinsegae and Emart but also CJ Logistics, which joined the Naver fulfillment ecosystem, is a partner with top-tier logistics capabilities. We will consider systems that can maximize synergy."

Naver will also actively pursue overseas expansion this year. CEO Han said, "Naver aims to continue challenges and successes in Japan through cooperation with Line and Yahoo under Z Holdings. We plan to launch the Smart Store platform in Japan within the first half of the year."

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