Lotte Healthcare Launches Health Management Platform 'Cazzle'... Aiming for 1 Million Subscribers Next Year
Lotte Healthcare Cazle Launch Briefing
Targeting 1 Million Subscribers by End of Next Year
Pursuing 'Healthcare Open Platform'
Offering Genetic Testing and Mental Health Counseling
On the morning of the 14th, Lee Hoon-gi, CEO of Lotte Healthcare, is giving a presentation at the Lotte Healthcare Cazle Grand Open Media Day held at Lotte World Tower in Jamsil.
[Photo by Lotte Healthcare]
Lotte Healthcare is making a full-scale entry into the digital healthcare market by launching a personalized health management platform called 'CAZZLE'.
On the morning of the 14th, Lotte Healthcare held the 'CAZZLE Grand Open Media Day' at Lotte World Tower in Jamsil, Songpa-gu, Seoul, where it introduced CAZZLE's business plans, platform features, and security policies. Lotte Healthcare was established last April with a capital investment of 70 billion KRW from Lotte Holdings to secure new growth engines for the Lotte Group.
According to the company, CAZZLE is a platform aimed at "easy and enjoyable health management always together in daily life." The core of the service is to provide personalized health information and shopping convenience by integrating and analyzing health checkup data through artificial intelligence (AI) algorithms. CAZZLE will officially launch its service on the 18th.
'Building a Healthcare Ecosystem... Aiming to Attract 1 Million Subscribers'
Lotte Healthcare's healthcare platform 'Cazzle'. [Image provided by Lotte Healthcare]
View original imageLotte Healthcare explained that CAZZLE pursues an open platform. The plan is to differentiate itself from other health management platforms by linking services from Lotte Group affiliates as well as partner companies. Through this, they aim to attract 1 million subscribers by the end of next year.
First, in November, CAZZLE will collaborate with Atomos, a digital mental care startup operating 'Mind Cafe,' to start mental health counseling services within the platform. In March next year, they plan to offer a personalized weight management program that goes beyond simple diet management to include genetic traits, medical data, and microbiome-based gut health management. To this end, they have partnered with Theragen Bio, a genome analysis specialist, to jointly develop microbiome business. Following that, in June, they will introduce scalp and skin care services with Beacon, and in November, brain health management services with iMedicine.
The CAZZLE service, officially launching on the 18th, will initially be offered free of charge. There will be no separate fees for services analyzing users' medical information and health data. However, Lotte Healthcare explained that the upcoming genetic and microbiome DTC (Direct To Consumer) tests will cost about 50,000 KRW.
Health Status at a Glance... Product Recommendation Features
When using CAZZLE, if users agree to provide and utilize health checkup information, they can retrieve health checkup data from the past 10 years from the National Health Insurance Service and use a service that compares and analyzes it through AI algorithms. By adding health surveys, medical information input, and genetic testing, users can receive more personalized customized services.
The CAZZLE application consists of three menus: 'Home,' 'Health,' and 'Shopping.' In the Health tab, users can view their health data, including health age and comprehensive health checkup records, which inform them of the risk of major diseases in the future. If users have undergone genetic testing, they can also check the results in the Health tab. Lotte Healthcare, through Theragen Health established with Theragen Bio, offers the genetic testing service 'Fromgene.' Fromgene will provide 69 types of genetic DTC test results, including nutrients, skin, hair, dietary habits, and exercise characteristics.
On the main screen, CAZZLE Home shows daily health indicators such as exercise and medication management, along with the health activities of family and friends. To motivate users, rewards are given for completing set missions. For example, successfully reaching a certain number of steps within a period grants Pearl Points, which can be used like cash.
There is also a feature to add family and friends to share and manage health status together. The medication management function informs users of ingredients that should not be taken with current medications or supplements and allows setting alarms for medication times. Additionally, services such as 'CAZZLE Magazine,' which provides medical content, and 'Green Report,' which guides eco-friendly activities, are available on CAZZLE Home. The Shopping tab suggests products needed by users based on health analysis data.
Since CAZZLE uses sensitive personal health data, the company emphasized its focus on security and stable operation. CAZZLE encrypts all users' personal information using the 'AES 256' method, approved by the U.S. National Security Agency for use with top-secret information. No Lotte Healthcare employee can access users' health-related information, and all access logs are recorded. Furthermore, by utilizing Amazon Web Services (AWS) servers that can be freely scaled, users can access the service stably even during sudden traffic fluctuations.
"We Will Create a Healthcare Ecosystem with an Open Platform"
On the morning of the 14th, at the Lotte Healthcare Cazle Grand Open Media Day held at Lotte World Tower in Jamsil, Songpa-gu, Seoul, CEO Lee Hoon-ki (third from the right) and Head Woo Woong-jo (third from the left), along with other presenters, are engaging in a Q&A session. [Photo by Lotte Healthcare]
View original imageThey plan to continuously develop personalized services using AI and algorithms. CAZZLE uses algorithms to analyze users' health status and predict future health risks in collaboration with Ontact Health. In the future, they will introduce a 'ranking model' recommendation algorithm that comprehensively considers purchase preferences, frequency, and price to recommend products.
Generative AI, such as ChatGPT, will also be integrated into the service. By the first half of next year, a chatbot service using generative AI will be introduced in the CAZZLE app. Through this, customers will be able to record their current status by conversing with the chatbot on CAZZLE. The chatbot will analyze the information received from users along with health data to suggest personalized diets, supplements, necessary exercises, and products. However, they plan to use external AI engines rather than developing their own.
Lee Hoon-ki, CEO of Lotte Healthcare, said, "We focused on creating a 'healthcare playground' that has never existed in Korea by leveraging Lotte Group's successful know-how and infrastructure in B2C (business-to-consumer) business." He added, "We expect CAZZLE to contribute to improving the health of Korean citizens and to the development of the digital healthcare market."
Lotte Healthcare, which aims to reach 1 million subscribers by the end of 2024, expects to generate significant profits around 2025. Woo Woong-jo, head of Lotte Healthcare's business division, stated, "We will specialize services in the DTC field, such as genetic and microbiome testing," and added, "Health functional foods sold within the app will mainly be our own private brand (PB)."
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Meanwhile, CEO Lee also addressed the technology dispute related to dispensers with Algocare, which caused controversy earlier this year. He said, "We have decided not to launch devices in areas where disputes exist on a grand scale, so the issue is now resolved," but emphasized, "We will prove that we are conducting business fairly by having the Patent Office or the Fair Trade Commission determine whether technology theft occurred within this year."
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