South Korea

South Korea is an attractive base for digital marketing thanks to its strong economy and advanced digital landscape. With a population of over 50 million, the country’s online retail sales rank proportionately among the top three in the world contributing to nearly 25% of retail sales in 2020.

The country also has one of the world’s biggest active social media user bases and online videos are an extremely popular media type. Last but not least, South Korean companies have a very high online ad spend.

To implement a successful digital marketing strategy, you will need to understand the different channels used and how you can best leverage them as they are often different to those in Europe or North America. Please read on for more information.

If you have questions or would like to know more, our team in the Luxembourg Trade & Investment Office in Seoul is there to help. Please get in touch https://www.investinluxembourg.kr/about-us/

Search engine Advertising in Korea

In order to enter the market or scale your campaigns in South Korea, you must first understand the Korean market. In other words, since Koreans generally are brand sensitive, you should raise your brand awareness among Korean target consumers to increase the value of your brand. Once consumers understand your brand value, there will naturally be a need to use your products or services. Therefore, you must develop content and build name recognition among the prospective customers in the Korean market.

To that aim, search engine advertising is one of the most essential platforms for online marketers.

What is SEA (Search Engine Advertising)?

Search engine advertising, or pay per click (PPC), is a marketing technique that shows your products and services to target customers on search engines with keywords. In other words, it is a method that induces customers to click on advertisements at the top of the search results. Once the target customers enter a certain keyword, they find the product they want to purchase or information they want to explore on your website or blog.

The following search engines are the most popular in Korea measured by their market share in Korea.

Korea’s Search Engines and Their Market Share

Courtesy: Internet trend

Naver, Google, and Daum are the most prominent search engines in Korea as of December 24, 2021.

According to a search engine market share analysis:

  • Naver ranks top with an average market share of 47.59 percent when compared to the others.
  • Google has a 42.08 percent average market share in South Korea, placing it second in the search engine market share.
  • Daum had a 6.56 percent market share, and Bing retains a 0.85 percent market share.

In South Korea, Naver and Google are the most popular search engines, accounting for 89.67 percent of all search engine sites.

Two Search Engines With the Highest Market Share in Korea

Naver
Ad type Keyword, Brand Search, Blog, Video, Display
Search type Exact match
Criteria for ad title Up to 15 characters per ad
Conversion tracking Google Tag Manager unavailable
Ad description Up to 45 characters
Location Can select Korea and other countries as a whole
Target Website, online retailer, blog
Ad expansion Available
UTM tag Available
Application API
Retargeting Exemptive only with banner ads
Responsive ad Unavailable

 

In South Korea, Naver is the most used search engine. People market their businesses there and get exposure to a large number of people through Naver’s many services like Blog, Cafe, and Q&A, creating opportunities to meet more Korean consumers.

For example, if a dehumidifier firm wants to promote their products in the search results of a Korean search engine, they can buy the keyword “dehumidifier”. When the consumer types this keyword on Naver, they can see the company’s site address and description.

Naver ad types are: Powerlink, Biz site sections, Blogs, knowledge-iN, and Cafes that have partnered with Naver. Furthermore, marketers can easily pick and modify whether or not they want to be shown on the search or display network.

Google

The most notable characteristic of the Google search engine is that different search results are displayed based on personalisation, such as country, language, and user profile. In other words, even though consumers search for the same keyword, the search results are specific to each person. This is due to the fact that each person has a unique set of languages, countries, and search history.

The general structure of Google’s search engine advertising is composed of the following types:

  1. Keyword
  2. Knowledge Panel
  3. Website
  4. Video
Ad type Keyword, video, GMB, display
Search type Exact, Phrase, Broad
Criteria for ad title 3 titles of up to 30 characters each
Conversion tracking Google Tag Manager
Ad content 2 descriptions of up to 90 characters each
Location Can select Korea and other countries individually
Target Website, app, video
Ad expansion Available
UTM tag Available
Application Google Editor
Retargeting Available
Responsive ad Available

 

To publish internet adverts on Naver, several company details must be shown on the website, although Google does not require it. Naver and KakaoTalk require an e-commerce registration when you have a payment gateway on your site. However, Google does not require it.

For branding strategies, search engines allow you to more successfully showcase your products to target consumers abroad. By providing good content with search keywords, global target consumers may sustain relationships with their brands through qualities such as trust, loyalty, and comfort, and make consumers aware of the brand’s worth. Furthermore, they address the needs of offshore target consumers by allowing them to gather information and, eventually, purchase products with confidence in the brand.

Bing

Bing is not commonly used as an advertising platform because it has fewer users and advertising efficiency is lower than on other platforms.

If you have questions or would like to know more, our team in the Luxembourg Trade & Investment Office in Seoul is there to help. Please get in touch https://www.investinluxembourg.kr/about-us/

Naver SEO

About Naver

Naver, the number 1 search engine in the Korean market, which Koreans refer to as a “green search box,” was initially introduced in 1999 and has since established itself as the representative search engine of the country. While Google has conquered many countries across the world, Naver’s influence on the Korean market is enormous and should not be underestimated.

Naver is not strictly a search engine, but more a portal like Yahoo. Popular Naver services that are very prominent in the SERP (search engine results page) popular include:

  • Naver Blog (similar to Medium)
  • Naver Café (similar to Facebook Groups or Reddit)
  • Naver Q&A (similar to Quora), Naver Shopping (similar to Amazon)
  • Naver Video (similar to YouTube)
  • Naver Encyclopedia (similar to Wikipedia)

Naver’s algorithm

Naver, like Google, is constantly updating its algorithm to optimize search functionality and provide consumers with high-quality information by trying to understand the content of webpages as much as possible. Let’s look at the algorithms and strategies of Naver SEO, Korea’s largest search engine.

The Naver SEO algorithm has three primary aspects.

Since 2012 Libra – Simple content exposure

With Libra Logic, with its emphasis on how often you write, it was relatively easy to gain exposure if you consistently wrote every day during 45 days regardless of content expertise.

Since 2016 C-Rank – Focus on specialised content

We cannot discuss Naver SEO without mentioning C-Rank or D.I.A.

C-rank is a logic that 1) prioritizes bloggers who have professionally written blog posts over a longer duration rather than a short period of time. Also, 2) only expertise in a field is now ranked the highest on Naver by prioritizing: context, content, user engagement and frequency while 3) excluding blatant advertising posts.

Since 2018 D.I.A – Measuring user preference

Deep Intent Analysis (D.I.A.), which has been actively used with C-rank, was developed to supplement C-rank, which applies the reliability of the source in search results and ranking.

D.I.A. is a logic that represents users’ favorite content scores in the ranking based on Naver’s data, and has begun to actively reflect user preferences.

C-rank and D.I.A. play complementary roles in the rankings, thus they are effective in exposing reliable content to the top, and most C-rank content has generally high D.I.A. scores.

Naver – User-generated content (UGC)

Furthermore, Naver shows UGC content directly contributed by creators in search results. UGC is an abbreviation for user-generated content, which is defined as: individuals generating, participating in, and sharing content about a specific company or brand with no commercial aim.

UGC, also known as a digital marketing trend, is designed to allow existing searches to focus more on connecting creators and users, as well as discovering the best documents matched to the user’s search intentions and context based on real-life patterns and experiences of fast-consuming users.

Naver – Technical, On-page, Off-page Marketing Strategy

The first strategy for Naver search engine optimization is technical SEO. Depending on the size of the website, 30+ to 50+ HTML SEO elements are created and tested by the tool “Naver Search Advisor” with non-HTML elements to optimize speed/mobile/server.

Since November 2019, Naver has revamped Search Advisor (or previously called webmaster tool) to enable practical search engine optimization. Naver Search Advisor provides essential advice for site quality improvement based on an understanding of the search system from data collection to exposure, as well as knowledge of site quality diagnosis and improvement methodologies and structured data. Then there’s on-page and off-page SEO.

On-page SEO – Optimization of search engines inside the website

Uses important keywords and website structures, such as title tags, meta descriptions, heading tags, and alt text, to have a good effect on the Naver search engine. On-page SEO, is critical to show distinct keywords and select a unique title that is relevant to the topic.

Off-page SEO – Optimization of search engines from outside the website

Off-page optimization then connects your channels and websites from other high-quality websites, as opposed to on-page optimization, which optimizes search engines from within the website, and often includes backlinks, social media, sharing, and following.

If you have questions or would like to know more, our team in the Luxembourg Trade & Investment Office in Seoul is there to help. Please get in touch https://www.investinluxembourg.kr/about-us/

Social Media (Organic and Paid)

KakaoTalk

Free Instant Messaging app Available in Korean

KakaoTalk, like WeChat and WhatsApp, is the most downloaded and regularly used app in Korea by people of all ages. It is not an exaggeration to state that KakaoTalk is on every Korean smartphone.

KakaoTalk primarily serves as a messenger. It has features such as 1:1 chat, group chat, video call, group video call, and open chat. KakaoTalk also includes a plethora of features and services in addition to simple communications.

More Than Just a Messenger  

Kakao provides a variety of services related to daily life, including payment, billing, and remittance services, notifications and announcements from government agencies/companies/hospitals, and brand channel services.

Kakao also lets you book a hair salon appointment and send gifts to friends. In addition, it provides Kakao Maps, Kakao Navigation, Kakao Taxi, Kakao TV, Kakao Games, and Kakao Banking. Furthermore, the QR verification service, which was established shortly after the COVID-19 outbreak, is commonly used for restaurant and public area identification, alerting users of vaccine availability, and verifying vaccination.

Kakao Ecosystem Based on KakaoTalk Users

It is scarcely hyperbole to assert that KakaoTalk is ingrained in the daily life of every Korean. Advertisers may carefully target users and approach potential customers through the Kakao ecosystem that these numerous businesses have developed. Kakao’s paid advertising services include brand search ads, display ads, and KakaoTalk channel ads.

Kakao Paid Advertisement
*Brand search advertisement:

Brand search advertising occurs when users search for specific keywords in KakaoTalk’s search box (e.g Friends, Chat, Hashtag, More tabs). Advertisers like it because it provides them with the information they require when users search for the product they want. Promotions connected to specific companies or brands transition effectively to brand advertisements. Luxury brands, fashion brands, and electronics corporations almost universally choose this option.

*Display advertisement:

Advertisements on Kakao Display may display banners on Kakao Talk. You can choose to be exposed, not only on the internal Kakao app screen but also on a variety of Kakao partner sites, such as Daum, a Korean portal/search site akin to Google. It is presented in the form of images and videos, and there is a lot of advertising for OTT services like Netflix and international luxury brands.

*KakaoTalk channel ads:

Kakao Talk’s business platform can be utilized for branding, communication, target marketing, and public relations. In addition, you can create content such as company news, brand news, and promotions. It distinguishes itself by allowing users to advertise by sending messages only to “friends” who have subscribed to the Kakao Talk channel.

It can be set up with purchase buttons, live chat, and inquiry chat buttons, as well as posts like images, videos, and card views.

Naver Blog, Cafe, and Knowledge-iN

Naver is a Korean portal/search engine that functions similarly to Yahoo. It is the most popular search engine in Korea and provides a range of services such as Naver Blog, Naver Cafe, and Naver Knowledge-iN.

Naver Blog:

It is one of the most popular social networks in Korea and is useful for increasing brand exposure. To be shown at the top, Naver blogs must give content under a single theme that contains valid information (not too commercial) and distinctive long-tail content.

Naver Cafe:

Naver Cafe is Naver’s community service, with the biggest market share among Korean Internet cafe services. It allows Naver users to create their own Internet communities, such as clubs and gatherings.

Naver Knowledge-iN:

Knowledge-iN is a Naver service that allows users to share their knowledge. They willingly react to other users’ inquiries, curiosities, and worries in order to share answers. The total number of responses had reached 325,225,759 as of June 2019. By bringing in competent counsel such as lawyers and doctors, Naver is increasing its trustworthiness.

Naver Advertisements:

Paid advertisements from Naver, such as search ads, place ads, and display ads, are delivered to content or related pages via blogs/cafes or knowledge-iN.

*Search advertisements:

On Naver cafes and Naver Knowledge-iN posts, it is regularly exposed as “power link ads.” Because there is no keyword competition, you can select any keyword related to the company name. Various image types can be used to gain exposure on both the PC and mobile devices. They can all be linked to different URLs, and some of the text can be linked as well. The cost of advertising is determined by the number of exposures (CPM).

*Place advertisements:

Place ads are a type of native search advertisement that can actively inform Naver users who are looking for your location. Advertisements display in the place area of Naver’s integrated search as well as at the top of the map search results when users search for “regions + industries/companies” or specific locations. They are also primarily exposed to Naver cafés and the bottom of the Naver Knowledge-iN domain.

*Display advertisements:

Naver offers a powerful banner, video, and sponsorship advertisement in achievement and guarantee types.

*Content advertisements:

Naver blog entries may contain advertising material through content ads. The blog posts you want to promote can be advertised when certain searches are entered.

YouTube

According to the results of research done by Igiaworks, YouTube was the 2nd most used app on Android/iOS phones in 2021. Many Korean/global companies are now working with YouTubers and influencers on YouTube to increase their brand awareness and introduce new products/services to the Korean market. Popular YouTubers normally ask for collaboration fees from $4000 to $40,000 USD, based on their numbers of followers on the channel. You may contact YouTubers’ entertainment companies to ask for a collaboration.

Facebook / Instagram

Facebook is widely used by governmental organizations, companies, and other types of public/private organizations. Politicians, public servants, and big companies announce new updates via their official pages or representatives’ profiles. Facebook ads are also used to target certain types of audiences. Facebook groups are also used as online communities and for sharing closed information.

According to Wiseapp research that was released in Nov. 2021, Instagrammers use the platform more than they use Facebook now. 14.24M members used Instagram while only 10.16M users used Facebook in the same month. Companies and organizations are using Instagram to increase a channel’s followers and spread their new products/services via a goodies event.

Goodies events are normally used as a method to increase followers and the number of comments on postings. Events mostly ask people to answer simple quizzes, tag many friends on comments, or put tags on people’s own postings/stories/reels via resharing. Instagram ads are also widely used by companies, especially for e-commerce selling.

If you have questions or would like to know more, our team in the Luxembourg Trade & Investment Office in Seoul is there to help. Please get in touch https://www.investinluxembourg.kr/about-us/

Digital PR

Naver News

Traditional media companies started new media platforms like online news websites, TV channels, and even Youtube channels to maintain their influence on the public. However, these changes couldn’t prevent a decrease in their influence. Instead, Naver News became the platform where Korean people check the daily news.

Most Korean people read articles on Naver News and interact with other people by leaving comments on articles. Therefore, media companies should send news articles to Naver News by paying Naver. Most media companies have contracts with Naver News section so the companies can put their news items on Naver as searchable news articles.

As Naver News plays a critical role in providing news to the public, you will need to work with a Korean PR agency that can put your press release on Naver News. This will provide relevant keyword search results.

Syndication

Yonhap News is a government-owned news agency similar to Reuters and AP in Korea. You can provide your press release to the Yonhap News agency to spread your PR to other media as well. Korean media uses news articles by Yonhap News Agency, and they pay back to the Yonhap agency.

South Korean media websites also accept press releases via their websites, but you will need to translate your press release into Korean before your distribution.

If you have questions or would like to know more, our team in the Luxembourg Trade & Investment Office in Seoul is there to help. Please get in touch https://www.investinluxembourg.kr/about-us/

Influence Marketing

How to Find the Best Influencers

In order to find the right influencer for your brand, you need to consider these 5 factors.

  1. Reach

Simply put, “reach” refers to the number of individuals an influencer can reach out to on the platform. Typically, an influencer’s reach is calculated by the number of subscribers and visitors to their blogs or websites. In order to gain a large number of prospects, influencers with ample reach must be selected; the more influence they have, the higher the cost.

  • Nano-influencer: 1,000 to 10,000 followers
  • Micro-influencer: 10,000 to 100,000 followers
  • Macro-influencer: 100,000 to 1,000,000 followers
  • Mega-influencer: Over 1,000,000 followers

Emerging nano- and micro-influencers currently have more participation and loyalty than other influencers due to several factors. They have more authentic content and targeted communication in niche markets, receive immediate and favorable feedback and replies, and have increasing brand reliability.

  1. Conversion Rate

Influencer marketing, just as with reach, aims to increase site traffic. The most important and ultimate goal is how much it influences the business’s growth, i.e. generating leads to “sales”. A popular conversion technique is using “event/promotion codes,” which allow multiple influencers and campaigns to identify cases linked to actual purchases through their influencers, or the setting of UTM parameters and landing pages to accurately compare and analyze sales fluctuations before and after campaigns.

  1. Traffic

Tracking influencer marketing entails identifying how many individuals visited and flowed into the site as a result of the influencer campaign. To assess the partner’s influence, you should examine the traffic inflow stream, which is often divided into the four inflow paths shown below:

– Search: Inflow through search

– Referral: One page referring you to another

– Social: Inflow through social media

– Direct: Flowing directly through the domain

Similar to conversion rate measurements, traffic analysis methods can be used with the same tools as event/promotion codes. UTM parameters and Google Algorithms also give these indicators, allowing for various analyses such as campaign success or landing page optimization.

 4. Engagement

Engagement in influencer marketing is an indicator that demonstrates how frequently followers or subscribers communicate and interact with influencers. It is also a significant metric of brand or product awareness, prospect relationships, relevance, and customer loyalty. The metrics that can be used to determine engagement are presented below:

  • Likes
  • Reactions
  • Shares
  • Comments
  • Clicks
  • Video views
  • Brand mentions
 5. Sales

Measuring indirect/direct sales to produce revenue and sales from marketing is the most important part of influencer marketing. Another important aspect of tracking influencer marketing operations is the use of traceable links, unique codes, and UTM parameters to determine the actual sales impact of that influencer on the business and to follow prospective consumers’ future purchases.

Precautions for Influencer marketing – To Avoid a Violation of the Labeling and Advertising Act, the Economic Interests Must be Displayed!

Meanwhile, the recent scandal concerning backdoor advertisements by popular YouTubers and power bloggers has harmed consumer trust. Backdoor advertising is the practice of falsely posting content as if the highlighted product was purchased and experienced despite receiving advertising costs or sponsorship. It should be noted that when signing influencer marketing agreements, specific guidelines for indicating economic interests should be provided to reduce the risk of violating the Act on Labeling and Advertising.

1) Precautions Concerning the Act on Labeling and Advertising

For example, according to the Act on Labeling and Advertising, “no business entity, etc. shall place any of the following labeling or advertising that is likely to undermine fair trade order by deceiving or misleading consumers or compel other business entities to do so”. In the case of paid commercial advertisements, consumers must be informed as it is an important factor in determining the reliability of the article. Omitting or concealing it is recognized as advection, so appropriate ad phrases should be displayed as follows:

  • Ad phrases are displayed at a position close to the advertising content.
  • Ad phrases are the right size, font, and color, and the voice should be easily recognized with the proper speed and pronunciation.
  • Confusing phrases like “Experience Group” and “Thanks to”, as well as abbreviations like “AD” are not permitted.
  • Ad phrases must be displayed in the same language as the contents of recommendation, guarantee, etc.

 

General rule Descriptions
1 Accessibility Place economic interests markers beside suggestions and assurances so that customers may readily locate them.
2 Recognizability Express it in a way that consumers would recognize by choosing appropriate character sizes, colors, and so on.
3 Clarity Indicate clearly the substance of commercial interests such as financial assistance, discounts, and sponsorships so that consumers can easily grasp them.
4 Language identity Put it in the same language as the suggestion and assurance.

 

Courtesy: Law Times

2) Economic Interests

When using influencer marketing to intentionally expose and reference a specific product, the economic interests linked with the product must be declared. When using videos for recommendations or guarantees, economic interests must be included in the title or video of the post. In live broadcasts, economic interests must be displayed in the same way as the video media type, but depending on the situation, it can be verbally communicated. It also must be displayed at the beginning and the end.

  • Blog & cafe: To separate it from the body, place a mark at the beginning or end of the post.
  • Instagram & Facebook: Make a note of the initial part of the text or the first hashtag.
  • YouTube: Insert the title at the beginning and finish of the video, and display it frequently in the middle.
  • Live broadcast: It is to be done in the same manner as on YouTube, but if you are unable to add subtitles, you must mention that it is an advertisement every 5 minutes.
 Case Studies

influencer marketing campaigns that raised brand awareness

30 teams of power influencers were chosen on the recommendation of the Korea Marketing Association’s board of directors and specialists.

 

2021 The Most Powerful Influencers in South Korea
Gyeran Kim Grand Library Dancer Sonar Dotti Sungshil Moon
Grandma Magnye Park View-star Reina Sanaela Sampro TV Shoocar
Seungwoo’s Dad Shinsaimdang Sin Nim Irene Yaongyi
Woongee Yunaseol Isabae Imda Short-mouthed Sun
Itsup Tzuyang Chimchakman Pengsu Pony
Hael’s Papa Hamzy Hurpop Hey Jini Black tea

 

Courtesy: 2021 The most powerful influencers in Korea – Korea Marketing Association

The cosmetics and grocery industries’ influencer marketing was very effective in terms of increasing sales in the end.

Beauty brands have been popular as a result of collaborations between well-known beauty bloggers and YouTubers and domestic cosmetics brands such as Missha and A’pieu, as well as the “sponsorship” style of influencer marketing that is still in use. The goods have sold over 60,000 sets since their release, leading in the publication of its second edition with better-than-expected performance. It is still considered a success story in the field of influencer marketing, most especially in the beauty business.

11st successfully debuted “Strawberry-holic” of CJ Foodville VIPS via the entertainment broadcast Live 11, a live commerce channel, in collaboration with the trending comedian Haejoon Kim. Kim appeared as his alternate character June Choi and brilliantly played the concept of an Ethiopian cafe owner. June Choi hosted the Mukbang show in his own language and brought a high level of interaction to the broadcast through pleasant and amusing one-on-one conversations, that included chef interviews and surprise giveaway events.

As the adoption of digital lifestyles in Korea grows during the new contactless era ushered in by COVID-19, live commerce (or purchasing and communicating in real-time) is rapidly rising in the offline distribution industry. Furthermore, influencer marketing is expected to develop in the future. It engages with customers in a friendly manner and adds the value of sincerity, improves consumers’ purchasing experiences, and provides diverse content.

To successfully reach the South Korean market, which is considered internationally as a high-speed Internet powerhouse and responsible for a big proportion of social media use, an adequate plan is required. It will need to be based on a comprehensive grasp of local influencer marketing features.

If you have questions or would like to know more, our team in the Luxembourg Trade & Investment Office in Seoul is there to help. Please get in touch https://www.investinluxembourg.kr/about-us/

 

Online retailer

 

 

 

  1. Platforms

Courtesy: Korea Corporate Reputation Research Institute

You might want to know which widely used platforms can help build your shopping mall marketing strategies. According to statistics given by the Korea Corporate Reputation Research Institute, Coupang ranked top, 11th ranked second, and Interpark ranked third in the domestic “online shopping mall brand reputation” ratings.

Coupang – With the Motto “rocket delivery” (Next Day Delivery)

Coupang, the owner of Korea’s second-largest e-commerce market share, made its debut in 2010.

Six years later, Coupang’s development of the nation’s largest distribution center and continuous improvement of the delivery system expanded its consumer base while boosting performance. Sales also increased last year as a result of the COVID-19 pandemic.

Although Coupang, along with Timon and WeMakePrice, began as one of the three primary social commerce platforms, it swiftly climbed to prominence in celebrity marketing by moving its focus to open market e-commerce.

Coupang’s First Attribute: Rocket Delivery & Rocketman

Consumers have hailed the benefits of guaranteed next-day delivery and free delivery since the words Rocket Delivery and Rocket Man were first announced. The branding of popularity and trendiness has also been able to defeat competitors who have maintained their old image.

Coupang’s Second Attribute: Loyalty #1

Coupang’s most significant advantage is that it has committed consumers. Coupang’s concept of establishing distribution centers and taking responsibility for direct delivery immediately captivated users who had become accustomed to membership or reward systems.

11st – Bringing Quality Content and Commerce Together to Provide Entertainment and Inspiration

Using technology owned by SK Telecom, (one of Korea’s leading mobility companies) 11st provided product information with communication functions and information search based on wired and wireless devices. It has advocated for a new open market concept with a convenience and stability that other shopping malls did not provide.

11st’s First Attribute: Turning a Crisis into an Opportunity!

When 11st was launched in 2007, the open market sector was in shambles.

11st, whose main purpose is to re-establish lost trust, has been focusing on becoming a “convenient, safe, and reliable shopping mall” with honesty and integrity, even if it is going to take time.

11st’s Second Attribute: Differentiated Services and Upgraded System

11st sought to deliver more advanced and differentiated services to consumers by greatly enhancing systems that other competitors had not even explored, such as the certified seller system, 100% compensation for counterfeits, and quality assurance.

If you have questions or would like to know more, our team in the Luxembourg Trade & Investment Office in Seoul is there to help. Please get in touch https://www.investinluxembourg.kr/about-us/

InterparkKorean Internet Shopping Mall’s Living History

Interpark, the first Internet shopping mall, launched like a comet in 1996 with the tagline “affordable and dependable.”

It is still referred to as the “living history of Korean Internet shopping malls”. It has developed into the country’s first e-commerce shopping mall with years of expertise, strong brand recognition, and proprietary technology.

Interpark’s First Attribute: The Birth of an Indigenous E-commerce Enterprise

Interpark launched around the same time as well-known US e-commerce companies Amazon and eBay and provided more convenient and enriching services. It has been able to live up to its slogan of “native e-commerce company” despite a lack of infrastructures such as communication and delivery, and it continues to do so after more than two decades.

Interpark’s Second Attribute: Developing into a Corporation with a Living Culture

Interpark is also Korea’s largest online travel agency. It offers travel services across all categories, including packages/personal travel and domestic/international hotels. Interpark operates a representative online bookstore in Korea, selling a variety of books and music. It’s also responsible for the domestic entertainment market, which includes performances, movies, sports, and exhibitions.

Becoming a Global Seller on Coupang

Without an e-commerce registration, you can sign up easily as a global vendor.

Courtesy: Coupang

Coupang is pursuing global expansion in a number of markets.

One example is the company’s active recruitment of Chinese sellers. It created its “global fulfillment service” in September, which actively assists Chinese sellers in increasing their competitiveness and expanding into third countries such as Singapore and other Southeast Asian nations. Indeed, Coupang is one of the marketplaces where you can apply for global entry relatively easily without e-commerce registration. To be a global seller, you will need to provide the following information to Coupang:

  • foreign business registration number
  • bank account number
  • the account holder’s name
  • bank address
  • government-issued documents containing the company name, address, and legal representative’s name
  • representative’s passport copy
  • phone bill
Gmarket Global Shop

Even without a business registration, you can enter domestic retail malls via open markets.

Courtesy: eBay Korea

Gmarket’s global shop is the industry’s first counter-overseas purchase platform for international clients and expatriates in Korea. It is currently available in English and Chinese. Gmarket is the first platform in the history of e-commerce to have successfully translated domestic open marketplaces into international languages.

Along with the sales of Korean products geared toward international customers who adore Korea, such as K-beauty, K-food, and K-culture, the platform allowed foreigners in and out of Korea to buy and sell products directly in 2006. They could use payment methods such as PayPal and Alipay, which enabled them to use online shopping malls without inconvenience.

If you have questions or would like to know more, our team in the Luxembourg Trade & Investment Office in Seoul is there to help. Please get in touch https://www.investinluxembourg.kr/about-us/

Web development

Most Used Platforms

Korean people used to use Internet Explorer more than other browsers. However, nowadays Google Chrome is the most used web browser for both Mobile and PC. Following Chrome, the second most used browser is Safari while the Samsung web browser (Mobile) is the third. For PC, the Windows OS system is widely used more than Apple iOS, while the Android system is more used than iOS.

The Korean government announced Web Content Accessibility Guidelines in 2019. Now private companies are also following the guidelines. The guidelines are mostly about using web standard technologies, HTML5, and web accessibility. Functions for disabled people are now increasing through the use of AI technologies.

Naver and Daum provide different kinds of API services for web developers who want to bring data from the two most used online service companies. For example, Naver login with Naver pay integration and Kakao login with Kakao pay integration are mostly used for many websites now. E-commerce websites also often integrate with their online payment system, so customers can join the website and pay easily by clicking through a few steps. Other API services, such as Naver Map, Naver AI translation (Papago), Kakao Map, and Kakao Chat are often used on website and app services.

Mobile Friendly

Building a mobilefriendly website is a must, not an option, now. More than half of the Korean population uses Android phones more than iPhones, so features for mobile-based web browsers such as mobile Google Chrome and Samsung web browser could be a plus. Mobile browsers can attract more potential customers to your website.

Site Speed

South Korea is one country where high-speed broadband is widely used. According to the Ministry of ICT and Science, the average downloading speed for 1Gbps internet in Korea went up to 972.38Mbps. Therefore, Korean people are used to high-speed websites. High responding speed for the main page could be a key to building your website. It is recommended you relocate your server or use cloud server service when you open your website to potential Korean customers.

If you have questions or would like to know more, our team in the Luxembourg Trade & Investment Office in Seoul is there to help. Please get in touch https://www.investinluxembourg.kr/about-us/

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