Synergy Effect of Market and IT
Active Marketing Support by Ministry of SMEs
Naver 'Dongnae Market Shopping'
Order Volume Steadily Increasing
10 Locations Including Amsa General Market Participating
20 Markets Targeted for Participation in First Half of This Year
[Asia Economy Reporter Kim Daeseop] On the 16th, at Amsa General Market located in Gangdong-gu, Seoul, Kim Sangdon, CEO of Freshmento, was demonstrating online purchasing through the 'Naver Neighborhood Market Shopping' platform. A touchscreen was specially installed to clearly show the ordering process via mobile.
The Neighborhood Market Shopping platform provides detailed information including photos, prices, quantities, and store names for various products such as rice cakes, fruits, and vegetables. Information on purchased products, after checking quantities and adding them to the shopping cart and completing the online payment process, is delivered to the respective store merchants.
CEO Kim explained, "Merchants just need to confirm the orders and bring the products to the joint delivery center," adding, "All other tasks such as content creation, order management, and delivery are handled through the platform and partner companies." His goal is to increase the number of participating markets to 20 by the first half of this year.
At the demonstration event, Park Youngsun, Minister of the Ministry of SMEs and Startups, Cho Bonghwan, President of the Small Enterprise and Market Service, along with representatives from the merchants' association and Naver, visited stores where online transactions took place and received purchased products. They also visited other stores to encourage the merchants.
The event was organized as part of a campaign to promote the use of traditional markets ahead of the Lunar New Year holiday. Voices from merchants on livelihood issues were also heard. Minister Park emphasized, while purchasing Lunar New Year ritual items online, that "traditional markets also need swift and appropriate responses to changes in consumption and distribution environments."
Park Young-sun, Minister of SMEs and Startups (center), is taking a commemorative photo with the merchant association and related organization officials during a visit to Amsa General Market in Gangdong-gu, Seoul on the 16th.
Amsa General Market was the first to enter Naver's Neighborhood Market Shopping, one of the traditional market online platforms. For Amsa General Market, products ordered online are delivered on the same day to the metropolitan area. In the Gangdong-gu area, delivery service is available within two hours after ordering. Among the 108 operating stores in this market, 17 stores are participating.
The Neighborhood Market Shopping platform has been in pilot operation since December 2018 and has been expanding its service in earnest since June last year. Currently, 10 markets are participating. Naver built the online platform, and Freshmento, the operator of Neighborhood Market Shopping, provides the service. Products are delivered to consumers through delivery agencies.
According to Freshmento, the number of orders through the Neighborhood Market Shopping platform increased significantly from 921 in the first half of last year to 2,200 in the second half.
The Ministry of SMEs and Startups plans to expand support for marketing expenses through the newly launched 'Market Management Voucher Support Project' since last year to activate the online entry of traditional markets this year. The 'Value Sapsida Platform' has also been established. It is a public platform where consumers can view promotional content of small business products online and make purchases.
Minister Park stated, "We will spare no effort to support everything from product planning using dedicated sellers to sales through the Value Sapsida platform so that good products from markets can be widely distributed through online markets."
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