Shilla Duty Free has formalized a strategic partnership with Naver, South Korea’s prominent internet portal, to propel its digital transformation. The collaboration, marked by a business agreement ceremony at Naver’s 1784 facility in Bundang-gu, Seongnam-si, Gyeonggi-do, aims to advance the hotel and duty-free sectors by integrating AI and cloud technology.
It additionally seeks to enhance customer benefits across online and offline platforms through membership cooperation, elevating convenience for both hotel and duty-free service users.
Hotel Shilla will incorporate Naver Pay into its point system to enhance customer benefits across online and offline platforms. Furthermore, the hotel chain plans to integrate Naver’s hyperscale AI and cloud technologies into its online services.
Naver, a dominant player in Korea’s internet landscape, holds the nation’s premier portal service position while extending its reach into various sectors, including e-commerce, advertising, and digital payments. Additionally, Naver is expanding its offerings to include a diverse IT infrastructure, encompassing AI and cloud services, further underscoring its influence.
Moreover, the collaboration includes the integration of ARC eye, Naver’s innovative digital twin solution, to further enhance operational efficiencies and elevate the overall customer experience for Hotel Shilla.
On August 24, Naver unveiled its transformative generative AI, ‘Hyper CLOVA X,’ alongside its conversational AI service ‘CLOVA X’ and the revolutionary AI search tool ‘CUE.’ Shilla Duty Free’s strategic utilization of Naver’s generative AI and cloud technology aims to optimize customer convenience and deliver personalized services by leveraging customer data efficiently.
Kim Tae-ho, Head of Hotel Shilla’s TR Division, said, “We will continue to expand the scope of our business partnerships by utilizing NAVER’s AI technology, and we will continue our digital transformation for customer convenience and benefits.”
“Through our strategic alliance with Hotel Shilla, we expect to maximize the membership experience of our users and improve service convenience through differentiated benefits such as membership, travel, payment, and shopping,” said Jae-young Han, Head of NAVER Business Development Center.
Starting September 18, Hotel Shilla is set to consolidate the benefits of Naver Plus and Shilla Internet Duty Free Shop memberships, offering a unified rewards system. Members who make purchases exceeding 200,000 won (approximately $150) at Shilla’s online duty-free store will qualify for up to 8% in Naver Pay points, a strategic initiative to bolster customer loyalty and incentivize online shopping.
In addition to these measures, Naver Pay’s versatile payment infrastructure will extend its reach to encompass Hotel Shilla’s expansive portfolio of businesses, spanning both online and offline duty-free outlets. The strategic collaboration also entails plans for introducing Naver Pay QR codes, facilitating seamless on-site payments at various Hotel Shilla and Shilla Stay establishments.
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