Shinsegae Department Store said Thursday that its AI-powered hyperpersonalization technology, developed jointly with Seoul National University, has been accepted for presentation at the International Conference on Machine Learning, one of the world's most prestigious artificial intelligence conferences.
The achievement stems from a yearlong industry-academia collaboration launched after Shinsegae and Seoul National University's Graduate School of Data Science signed a memorandum of understanding in January 2025.
According to the company, it marks the first time that research by a Korean department store has been accepted at ICML, highlighting Shinsegae's AI capabilities on the global stage.
The research produced AI Ready Data, an AI model that converts about 200 million online and offline shopping transactions into data optimized for machine learning. The model analyzes customers' shopping behavior and brand preferences, enabling more precise personalization and product recommendations.
Shinsegae plans to expand the technology into an AI-powered retail platform offering personalized services across travel, culture and lifestyle.
The retailer also plans to introduce an AI Sales Agent early next year to analyze store data in real time and support merchandising and promotional decisions.
In simulation tests based on the research, the AI-driven recommendation model increased average order value by as much as 46 percent, suggesting that a deeper understanding of customer preferences can improve both the shopping experience and operational efficiency.
"Shinsegae Department Store will continue enhancing the customer experience through AI while strengthening data-driven decision-making to create a new retail paradigm," a company official said.
stlee0329@heraldcorp.com