NAVER : Unveils ‘Arrival Guarantee’ Service to Enable Sellers Secure their Sales and Logistics Data

NAVER Starts 'Arrival Guarantee' Service to Enable Sellers Secure their Sales and Logistics Data from December

- NAVER to help brands utilize the company's technology solutions to execute their D2C strategies.
- High level of autonomy guaranteed for brands, including deciding whether to use the solution, supply volume, product composition, and sales period
- Stronger collaboration between NAVER and NFA fulfillment companies enabling 50% of FMCG to be covered by "Arrival Guarantee" by 2025

November 3, 2022

NAVER Corporation (KRX: 035420) will launch a new D2C (Direct to consumer) technology solution "NAVER Arrival Guarantee," which guarantees accurate product arrival date for users and enables brands to gather their sales and logistics data.
NAVER hosted its Brand Partners Day event at InterContinental Seoul COEX on Thursday, November 3, during which the "NAVER Arrival Guarantee" solution was unveiled to some 70 brands.

[Photo] Lee Yoon-sook, Head of NAVER Shopping, presenting about the direction of NAVER's commerce business during NAVER Brand Partners Day

"Apart from a small number of brands that have their own distribution network, the majority of brands find it difficult to secure user data throughout the distribution process, which makes it hard for them to establish strategic product plans as well as distribution and marketing strategies," stated Lee Yoon-sook, Head of NAVER Shopping in the keynote speech. "This is mainly the reason why brands wish to open their own online malls and secure "their own data" for "their own customers."" Lee has also remarked that NAVER's goal is "to help brands use NAVER's technology solutions to establish their own D2C strategy, even without having to hire their own AI engineers and data analysts or to build their own CRM tools."
Furthermore, Lee has also announced that "NAVER Arrival Guarantee will become a key solution among NAVER's various technology solutions since brands will be able to secure sales and logistics data they could not get their hands on easily until now." She also added that NAVER will now be able to "provide new user experience in guaranteed delivery and fast shipping, centered around FMCG (Fast-Moving Consumer Goods) categories."
Large-scale alliance model enabled by NAVER's technological competencies and proactive collaboration with logistics companies

Jang Jin-yong, an executive director at NAVER, gave a presentation about the new solution and the logistics alliance model enabled by technology.

Jang kicked off the presentation by stating that "NAVER has been working in partnership with CJ Logistics and 4PL startups to advance the fulfillment data platform NFA (NAVER Fulfillment Alliance) and the logistics data platform." Jang also said, "As a result of such advancement, we are proud to present the "NAVER Arrival Guarantee" solution that guarantees accurate estimation of their arrival date of products in a stable way to our many users."

[Photo] Jang Jin-yong, executive director at NAVER, presenting about the "NAVER Arrival Guarantee" solution during NAVER Brand Partners Day

"NAVER Arrival Guarantee" is a solution that leverages NAVER's technologies to analyze a wide range of data including orders that have been placed, inventory at the logistics company, and shipping information from the delivery company in order to guarantee an estimated arrival date with high accuracy.
High level of autonomy guaranteed for brands, including deciding whether to use the solution, product composition, and sales period

The solution is different from other logistics systems in that brands can decide whether to use the solution, the product composition, and the sales period all at their own discretion. Furthermore, brands can use the solution in combination with NAVER's other various solutions in other domains, including advertising (Brand Package), data analytics (Brand Analytics Plus), live commerce (Shopping LIVE), and marketing and sales (vertical mall) in order to establish marketing strategies from multiple dimensions.
"In Korea, the alliance-based asset-light logistics model has not become a staple yet, whereas the model has already proven itself in the global market," said Jang. "The new logistics solution presented by NAVER and logistics companies will pave the way not only for diversifying the logistics models in Korea, but also for brands to establish different logistics and marketing strategies."
CJ Logistics building 9 fulfillment centers with NAVER and advancing its fast shipping tests over the past 2 years

In the meantime, CJ Logistics and Fassto were also present at the event. Ahn Jae-ho, the senior vice president of e-commerce at CJ Logistics, presented on the collaboration and endeavors made by NAVER and CJ Logistics over the past 2 years.

"CJ Logistics is a key partner that makes Arrival Guarantee more accurate and stable for customers by fully utilizing our "converged e-fulfillment" that combines competencies in fulfillment and shipping, which makes fast shipping possible nationwide," said Ahn. Ahn also said, "In particular, we have been focusing on increasing the fulfillment infrastructure and partnering with NAVER over the past 2 years to build an alliance-type logistics model, and we tested fast shipping services such as the next-day delivery in order to make our shipping service more competitive." CJ Logistics plans to operate and open 9 fulfillment centers dedicated to NAVER, including the centers in Gonjiam, Yongin, and Gunpo.
"Fassto provides fulfillment services mostly for SMEs, with at least 80% of our 3,000 customers in total being SMEs. This will add to the diversity of the NAVER's new solution," said Hong Jong-wook, the CEO of Fassto. "We will be engaging in active collaboration with NAVER in order for SMEs to increase their competitiveness in fulfillment by using Arrival Guarantee despite their low freight volume or unit price."

NAVER plans to strengthen its partnership with fulfillment partners including CJ Logistics, enabling 50% of its FMCG categories to be digested as Naver Arrival Guarantee by 2025.