Korean Retailers Use AI Shoppers to Refine Products, Cut Costs
Major South Korean retailers and consumer goods firms are deploying artificial intelligence-generated consumers to test products and marketing, aiming to predict buying behaviour and reduce development expenses.
Synthetic Consumers Mimic Buying Habits
South Korean retailers are increasingly using artificial intelligence (AI) to simulate consumer behaviour before launching new products or marketing campaigns. These “synthetic consumers” are built using large language models and extensive consumer data, allowing companies to predict purchasing decisions, optimise pricing, and identify potential issues in shopping experiences.
This approach bypasses the time and expense associated with traditional consumer surveys and physical testing, offering a faster route to market insights for a dynamic retail sector.
Lotte Members, E-commerce Platforms Adopt AI
Lotte Members, a loyalty programme operator, began developing an “AI Twin Consumer” in July 2026 with local AI firms Vibe Co. and Zero to One Partners. This initiative combines purchasing data from 45 million L.Point users with social media information to analyse not just what customers buy, but also the underlying reasons.
E-commerce platforms such as Coupang and Naver are also experimenting with synthetic consumers for market research and user-experience testing. They simulate customer navigation through online stores and responses to product information, identifying friction points in the digital shopping journey.
Physical Stores and Consumer Goods Join Trend
BGF Retail, which operates CU convenience stores, is extending this technology to physical retail environments. The company uses virtual store simulations to test product displays, customer traffic flows, and merchandise assortments before implementing changes in actual stores. The technology is also spreading among consumer goods producers.
Food companies including CJ Group, Daesang, Maeil Dairies, Pulmuone, and Sangmidang Holdings have participated in proof-of-concept projects with Intellicia, a synthetic-consumer technology provider. Intellicia reports completing 120 such projects with 50 companies, claiming a 91.2 per cent correlation with real consumer surveys in its benchmark tests.
The adoption of AI-generated shoppers by Korean firms shows a clear path for Asian retailers to accelerate product development and reduce market entry risks. By refining products and marketing strategies virtually, companies can cut costs associated with production, advertising, and physical store modifications.
This method allows for quicker adaptation to rapidly changing consumer trends, providing a competitive edge. Other Asian markets with sophisticated retail sectors, such as Singapore and Japan, may observe similar shifts towards AI-driven consumer insights to streamline their own innovation cycles and enhance operational efficiency.
This article is journalism, not investment advice; consult a licensed professional before making financial decisions. Market data is indicative, may be delayed, and should be verified with your broker or exchange before use.
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