NAVER Supports KRW 106 Billion in Funding over Six Years to Help Early-Stage Businesses
NAVER Supports KRW 106 Billion in Funding over Six Years to Help Early-Stage Businesses
NAVER Supports KRW 106 Billion in Funding over Six Years to Help Early-Stage Businesses Reduce Commission and Marketing Costs
- NAVER supports early-stage online sellers with affordable commissions and provides financial support programs to help them achieve self-sustainability
- NAVER's quick settlement for Smart Store sellers has successfully settled KRW 21.5 trillion thus far, with 86% of the businesses being SMEs
May 19, 2023
NAVER Corporation (CEO Choi Soo-yeon) announced that the company has provided a total of KRW 106 billion in funding over six years to help small and medium enterprises (SMEs) successfully undergo digital transformation and achieve business growth. Through the “Start all-in-one program,” NAVER supported Smart Stores’ sellers with commission and marketing costs.
NAVER’s “Start all-in-one program” is a support initiative for start-ups in their early stages. This program is part of “Project Flower” launched in 2016. It encompasses essential components such as "Start Zero Fee," which aids in commission fee support, and "Growth Support Points," which can be utilized for search ads and marketing expenses. According to Smart Stores’ growth data, the rate at which the Smart Stores discontinue operations decreases by sixfold after the initial six months. Based on this data, NAVER extends financial support and creates an environment conducive to fostering self-sustainability for early-stage SMEs.
Since 2019, NAVER has used “Start Zero Fee” to provide support with commissions for order management corresponding to an annual net payment amount of KRW 5 million and transaction-based commissions for six months. Transaction-based commissions occur when Smart Store products are linked to NAVER Shopping and sales are generated through incoming traffic from NAVER Shopping. “Start Zero Fee” helps alleviate SMEs’ cost concerns and serves as a catalyst for business growth.
Furthermore, “Growth Support Points,” which support SMEs of less than one year of business with search ads and marketing costs based on their growth stage, has been helping SMEs’ business growth since 2017. NAVER has provided approximately KRW 106 billion in funding to SMEs through these two features as of Q1 of 2023.
As NAVER continues to develop a collaborative growth model for small and medium enterprises (SMEs) through “Project Flower,” the company is also expanding support in various ways. Its quick settlement service for Smart Stores, launched in December 2020, ensures 100% payout on the day after the package has been collected for shipping. By March of this year, the service facilitated pre-settlement transactions amounting to KRW 21.5 trillion, all at no additional cost. Notably, 85% of the business owners benefiting from this quick settlement service are SMEs.
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