The nation’s top mobile messenger operator Kakao Corp. expects a profit from its navigation app Kakao Navi later this year, through marketing collaboration with local companies.

Kakao Navi was launched in February after the company bought popular navigation service Kimgisa last year in a major merger deal. 


“We are in talks with several companies to better promote the app (and are) aiming to unveil it in the second half,” Kakao’s official told The Korea Herald.

The new Landmark Service will enable both Kakao and partner companies to gain profits by inducing drivers to visit the partner firms -- such as restaurants or clothing shops -- via the map. Users who visit the businesses will then be provided discounts and coupons.

Kakao said the business model proved to be successful after a two-week pilot program in partnership with E-mart, one of the country’s major discount retail chains, early this month. The users, who visited the places via Kakao Navi, were provided with 5,000 won ($4.30) coupons. During the period, the number of visits to the discount chains via Kakao Navi doubled from the previous month, the company said.

By Shin Ji-hye (shinjh@heraldcorp.com)