We’re in Korea!
A short flight from Beijing took me to Seoul, Capital of South Korea. An Early memory of South Korea was during my school days when we were told that it is the Land of Morning Calm. But other words/brands which most of us know of Korea are Samsung, LG, Hyundai, Daewoo, Kia Motors, Line, BB Creams, and Gangnam Style!
The South Korean Market
South Korea is one of the Asia’s largest economies, and its technology is world class. One can experience superfast internet connection and smartphones are a major source of connectivity. It has a worldwide high 82.7% Internet penetration and 78.5% of the population is on smartphones! Among 18 to 24-year-olds, smartphone penetration is 97.7%. Soon, the South Korean government plans to start a 5G network, which would be 1000 times faster than 4G.
The search engine market is led by two local players – Naver and Daum. Google and Yahoo have found it tough to grow in the South Korean market. South Koreans are increasingly buying things online. South Korea is third largest e-commerce market in APAC after China and Japan. The online spending has increased year-on-year by 10-15%, and future looks even more bullish. In the world’s most wired country, South Koreans often use the internet extensively to seek out bargains and over $30.2 billion worth of goods were sold online last year.
Advertising Industry in South Korea
The South Korean advertising industry is a multi-billion dollar industry with internet advertising forming 12.2% of the gross revenue.
With top-class infrastructure and heavy internet usage, mobile ad exposure is increasing rapidly as advertisers move towards the bigger crowd. Users have two ways to access data on mobile – App and the web. Data clearly shows that users search and gather information through the mobile web, and use Apps for games, communication, and entertainment. Mobile ads are expected to reach 25-30% of total online ad spending, and this number will only grow in coming years. Strong mobile ad growth will come at the expense of other weakening offline media platforms.
Market + People equals Opportunity
With such a next-gen technology setup, mobile usage, and online market, Korea is a perfect market for Vizury to enter and expand. Vizury has offices in 8 countries and clients in almost all the APAC countries. Finally, in January 2014, we opened our 9th office in Seoul, South Korea! We’re in the Gangnam District, which is personified by PSY in his song “Gangnam Style”. It is one of the major business districts of Seoul. It is home to famous companies like IBM, Google, POSCO, and now, Vizury.
Vizury has world class products which cater to different forms of behavioural advertising. Our WebConvert and MobiConvert help our clients retarget users on PC and mobile browsers respectively. Our MobiApp takes it a step ahead and retargets users on Apps. Vizury is amongst the first exclusive partners of Facebook and Twitter retargeting, and so we can go an extra mile and help our clients with social retargeting.
Here we come!
A Korean proverb says – 시작이 반이다 (Shijaki banida), whose English equivalent is “Well Begun is Half Done”. This means that starting properly ensures the speedy completion of a process. A beginning is often blocked by one or more obstacles (potential barriers). The removal of which may ensure the smooth course of the process. Vizury Korea has begun and clients are welcoming us with a smile and saying – 한국에 오신 것을 환영합니다, it means ‘Welcome to Korea’. Vizury is under the process of localizing the current products to suit the Korean market. Moreover, we will further develop local products to suit the client expectations and user behaviour, because localization is the key to succeed!
Keep watching this space for more Vizury-action in the South Korean market. We’re there to stay!
4. Macquarie Research Report – Korea Internet – April 2013