A super-individual customer analysis technology based on artificial intelligence (AI) developed by .

An artificial intelligence (AI)-based hyper-individual customer analysis technology developed by Shinsegae Department Store in collaboration with Seoul National University has been accepted as a paper by the International Conference on Machine Learning (ICML), the world’s most prestigious AI academic conference.

According to Shinsegae Department Store on the 23rd, the customer analysis technology that utilizes AI, which the company conducted joint research with Seoul National University Graduate School of Data Science for about a year, was accepted as a paper at the International Conference on Machine Learning (ICML) held this month. This is the first time that the results of industry-academia collaborative research conducted by the domestic department store industry have been adopted by ICML.

ICML is considered an international conference where researchers from global big tech such as Google, Meta, OpenAI, and major universities around the world present the latest AI technologies. The adoption of this paper means that Shinsegae Department Store will not only receive international recognition for its AI technology, but also secure technological competitiveness that can be applied to logistics sites.

This research is the result of an industry-academia collaboration project promoted by Shinsegae Department Store and Seoul National University Graduate School of Data Science (MOU) in January last year.

Both parties have built sophisticated “AI Ready Data” that allows AI to understand and learn from approximately 200 million purchase data accumulated online and offline. It is a data system designed to allow AI to analyze various data such as customer purchase history, store visit patterns, and popular brands.

The company explains that this has made it possible to go beyond traditional gender, age, and VIP rating recommendations and create hyper-personalized services that reflect the preferences and lifestyle of individual customers. It is also possible to expand the scope of recommendations to include not only products but also travel and cultural content.

Shinsegae Department Store plans to introduce an “AI sales agent” that applies this technology early next year. This is a business AI analysis tool that analyzes sales floor data in real time and supports customer characteristics, purchasing patterns, product operations, promotion strategies, etc.

A simulation conducted by the company based on research results revealed that applying personalization recommendation technology that utilizes AI can increase the average spend per customer by up to 46%.

Lee Sung-hwan, managing director of sales strategy at Shinsegae Department Store, said, “This paper is significant in the sense that it goes beyond research results and shows that AI technology has been recognized globally.We will continue to evolve customer experience using AI and decision-making systems based on data to create a new distribution paradigm.”