The recent Korean e-commerce scene has been quite lively, with the veteran giant Naver suddenly playing an “AI card” by launching an intelligent shopping app called “Naver Plus Store.” On the surface, it just looks like another shopping app, but in reality, this is Naver signaling a full-scale attack on the e-commerce leader Coupang.

Image source: Google

AI Shopping Guide Goes Live, Even Choosing a Laptop Can Be “Personalized”

The core selling point of this new app can be summed up in two words: understands you.

For example, if you want to buy a laptop, it doesn’t just list specs and prices like traditional platforms. Instead, it tags products directly, such as “designer edition” or “lightweight for business travelers,” and can even recommend matching accessories based on your previous purchases. The technology behind this is Naver’s self-developed AI “Hyperclova X,” which has been in the works for three years and claims to understand Korean shopping habits better than ChatGPT.

Image source: Google

To help users get started quickly, Naver also launched a discount event, holding an “Open Week” promotion from March 17th to 30th, with discounts ranging from 10% to 90%, and limited-time half-price deals. As a result, 6,000 merchants joined the platform right after launch, and 400,000 users tried it out. Some Korean netizens joked: “The AI knows me better than I know myself.”

Naver’s new app holds discount event Image source: Google

Monthly Active Users Surpass Coupang, But Logistics Remain a Weakness

Naver dares to challenge Coupang because of its user base.

According to the latest data from January, Naver has 44.17 million monthly active users, significantly more than Coupang. Its paid membership, Naver Plus, exceeds 10 million, which is a bit less than Coupang’s 14 million, but Naver, which started with search, has a hidden advantage: Koreans are used to comparing prices on Naver before shopping online, which means it comes with its own traffic entry point.

Monthly active users of Naver and Coupang in January Image source: nate

However, when it comes to hard strength, Coupang’s “Rocket Delivery” is still on a crushing level. 90% of its orders can be delivered the same day, while Naver previously didn’t even have its own logistics. This time, Naver Plus Store has learned its lesson, and the new delivery service includes same-day delivery, Sunday delivery, and even scheduled delivery times. But it’s clear to everyone that this service currently only covers some products on the platform. If Naver really wants to compete with Coupang on speed, it will probably have to invest a lot more.

Naver’s diversified delivery services Image source: Naver

A 2% Gap Hides a 240 Trillion Won Battle

Last year, the size of the Korean e-commerce market surged to 242 trillion won, with Coupang and Naver taking 22.7% and 20.7% of the market share, respectively. Don’t be fooled by the mere 2 percentage point difference—on a trillion-won scale, that’s nearly a 5 trillion won gap.

Naver’s bet on AI this time is actually an attempt to overtake on a different track. Their logic is clear: Coupang dominates with logistics, so Naver will use technology to improve conversion rates. For example, the new “Discovery” section directly brings in TikTok-style short video shopping, allowing users to place orders for the same products while watching beauty tutorials. If this works, it would shift the shopping decision-making scene from the search box to the content feed, potentially rewriting the rules of the Korean e-commerce game.

Market share of Korean e-commerce market Image source: daum

Final Thoughts

What Naver is doing is essentially redefining the “people-goods-place” model of e-commerce, using AI to reshape the logic of “people searching for goods,” and using content to create scenarios where “goods find people.” If this really works, it could trigger a wave of “tech-driven” e-commerce trends.

But for ordinary consumers, it’s always a good thing when the giants fight. At least now, you can buy AI-recommended new products of the season while watching short videos, and if you place an order at midnight, it might be delivered by morning.

As for whether Naver will make a comeback or Coupang will successfully defend its position in the end?

Don’t forget, Koreans can even bet on presidential elections. The e-commerce battle has only just begun.