Cafe24 is showing strong performance. The news that Cafe24's 'YouTube Shopping Integration Service,' launched at the end of last year, is rapidly growing appears to be influencing its stock price. As the boundary between online shopping malls and influencers blurs, Cafe24 is benefiting. Cafe24 is enhancing its platform to create an e-commerce ecosystem based on the 'hyperconnectivity' of the 4th Industrial Revolution era. By the first half of this year, more than 10,000 developers had joined the Cafe24 platform, and the cumulative number of app downloads from the Cafe24 Store has exceeded 620,000.
As of 10:14 AM on the 30th, Cafe24 was trading at 12,460 KRW, up 1,170 KRW (10.36%) compared to the previous trading day.
According to Cafe24, the number of shopping malls using the 'YouTube Shopping Integration Service' in the third quarter of this year increased by 59.2% compared to the previous quarter. Compared to the first quarter, it increased by 215.8%. Previously, in December last year, Cafe24 exclusively launched an integration service that connects D2C shopping malls to YouTube channels.
Services provided by Cafe24 such as 'Facebook & Instagram Shops' and 'TikTok Channel Service' are also gaining popularity. The trend of 'shoppertainment,' which combines products and entertainment, is expected to continue. According to Boston Consulting Group and TikTok, the Asia-Pacific (APAC) shoppertainment market is projected to grow from $500 billion last year at an annual rate of 26%, surpassing $1.1 trillion by 2025. This accounts for 30% of the entire APAC e-commerce market. In particular, the top three regions including Korea and Japan are expected to see the shoppertainment market grow at an annual rate of about 63%.
Cafe24 is also conducting research and development to build an AI recommendation shopping system integrated with global social platforms. They are developing AI recommendation algorithms for YouTube shopping integration, analyzing user behavior data, and planning to establish systems for managing user profiles and shopping histories to provide personalized product recommendations.
Cafe24 has signed a Memorandum of Understanding (MOU) with 'Bigk,' an intellectual property (IP) business platform company, to foster the growth of an IP monetization ecosystem based on YouTube commerce.
The MOU aims to support creators in growing by selling IP products such as goods, clothing, and albums in the e-commerce market. Specifically, both parties agreed to closely cooperate on ▲ YouTube shopping integration for creator IP product sales ▲ expanding product distribution channels to the global e-commerce market ▲ diversifying IP products based on Hallyu content targeting fandoms.
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