"Who Still Uses Texts These Days?" KakaoTalk Challenges the 1.5 Trillion Won Monopoly Market

KakaoTalk is preparing to make a full-scale entry into the corporate messaging market. Attention is focused on whether KakaoTalk can play a disruptive role in a market that has been monopolized by mobile carriers and SMS relay service providers.

According to the IT industry on May 8, KakaoTalk recently launched the beta service of its channel-based advertising service, "Brand Message." Brand Message is a service that allows companies to send messages to users who have agreed in advance to receive advertising messages. The sender of the advertisement is clearly indicated, and users can refuse to receive ads with a simple click.

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If Kakao fully launches its Brand Message service, competition in the domestic corporate messaging market is expected to intensify. Corporate messaging services allow companies and public institutions to send notifications to users via text messages and other means. The corporate messaging market, estimated to be worth 1.5 trillion won annually, has effectively been monopolized by the three major mobile carriers, SMS relay service providers, and SMS resellers.

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Previously, Kakao has provided "AlimTalk," a service that delivers only non-advertising information. Recipients of AlimTalk can receive notifications based on their phone number without having to add the KakaoTalk channel as a friend. The sender's official account status can be verified through the KakaoTalk profile, increasing trustworthiness. All AlimTalk messages use pre-registered templates and display the sender's real name, making it clear at a glance that the message is official.

Thanks to these features, the financial sector, among others, uses AlimTalk to send important notifications such as abnormal transaction detection. Card companies also inform users of their card usage details through AlimTalk. Since the second half of last year, Shinhan Card has switched to using AlimTalk for card usage notifications and regular payment reminders. In the public sector, more than 1,800 public institutions nationwide use AlimTalk to send notifications about resident registration card pickup, health checkup schedules, and vaccination guidance.

While AlimTalk is optimized for information-centered communication, Kakao explains that Brand Message can be seen as a channel for marketing and sales purposes. Currently, Kakao is operating Brand Message as a closed beta (CBT). According to Kakao, both AlimTalk and Brand Message are optimized for users, and the addition of control systems has further improved efficiency.

A Kakao representative stated, "Going beyond simple information delivery or advertising, the safer and more user-friendly AlimTalk and Brand Message will bring new changes to the corporate messaging market, which has been dominated by text messages and emails."