[AI Revolution](151) Pitch AI Delivers Personalized Storefront Ads with AI

Analyzing Customer Gaze and Behavior to Deliver Personalized Ads
Autonomous Driving-Based "Gaze Recognition" Enables Performance Measurement
Expanding Overseas Collaboration in Japan and Beyond... Full-Scale Global Expansion

What if the billboards you encounter while walking down the street displayed different advertisements depending on who was looking at them? Pitch AI has developed a technology that uses artificial intelligence (AI) to analyze, in real time, the gaze direction, dwell time, gender, and age of people passing by a store, and selectively displays advertisements that are predicted to be the most effective. For example, if a large number of women in their twenties and thirties pass by, advertisements for women's clothing will appear. Based on this technology, targeted advertising can now be executed even in offline retail stores.

On May 9, Lee Dongyeol, CEO of Pitch AI, told Asia Economy, "We are developing an offline retail media solution that can precisely analyze advertising effectiveness and enable targeting, and we are collaborating with major retailers." He added, "We are helping to shift away from the traditional, intuition-based approach to offline advertising, and move toward a 'performance-driven media' model based on data."

Lee Dongyeol, CEO of Pitch AI, is explaining 'Pooh (POOH)', the nation's first outdoor advertising service using AI technology. Photo by Yoon Dongju

Pitch AI installs cameras and edge AI boxes in retail stores to collect data on customers' viewing probability, behavioral patterns, and responses to each advertisement. This data is analyzed in real time on a web-based dashboard, allowing media owners and advertisers to optimize their strategies accordingly. The core technology is the precise analysis of gaze direction and viewing duration to measure actual advertising effectiveness.

The company's strength lies in its "gaze recognition" algorithm, which is based on autonomous driving technology. CEO Lee, the founder, is an expert in autonomous driving technology, having built nearly a decade of technical experience at Hyundai Mobis and Kakao Bank.

The technology is structured as a "Hardware as a Service (HaaS) + Software as a Service (SaaS)" model. Devices installed in front of displays detect in real time whether a person is present, how long they stay, and where their gaze is directed. Various data points such as reach rate by advertisement, conversion probability, and viewing time by age group are generated, enabling quantitative promotional strategies. The system can also recognize specific conditions, such as employee uniforms, to filter out irrelevant data caused by staff exposure. Lee stated, "There have been cases where sales increased by more than 400% compared to advertising costs after implementing our advertising solution."

Lee Dongyeol, CEO of Pitch AI, is being interviewed by Asia Economy. Photo by Yoon Dongju

Pitch AI aims to go beyond simple measurement of advertising effectiveness and pursue the digital transformation of retail spaces based on spatial computing. The approach moves from merely recognizing people to reading the flow of the space and prompting reactions to content. Lee explained, "We plan to implement interactive content that responds to customers, such as characters that react to a person's gaze or give a high-five."

Leveraging its technological edge, Pitch AI is accelerating its global expansion, focusing on Asian markets such as Japan as well as Korea. The company is also preparing to collaborate with retail stores under the Shizuoka regional railway authority in Japan. Lee said, "Japan is a market where advertisers are highly sensitive to content and data performance, and respond quickly to visual elements. This year, our goal is to generate more than 50% of our total revenue from overseas markets."

So far, Pitch AI has raised about 3.6 billion won in investment from Bluepoint Partners and others, and this year's projected revenue is 3 billion won. Lee stated, "Our mid- to long-term goal is to distribute our 'in-store retail media' solution to the global market," adding, "Offline spaces will become markets where measurement, targeting, and optimization are possible, just like online."