The hot-selling navigation app Kimgisa is going global with its Japanese launch planned for May. Industry watchers are paying keen attention to what will be the first export of Korea-made navigation software.
Korea is an advanced market for mobile-based navigation apps. Locally developed software is more favored, while global services like Google Maps struggle to gain a footing.
But even for Korean developers, going global is another issue considering localization is the key to success.
“Most companies use the same GPS data. Our strength is the unrivaled analysis technology,” said Park Jong-hwan, CEO of Loc & All, the developer of the Kimgisa app.
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| Loc & All CEO Park Jong-hwan poses with the company’s Kimgisa app on Tuesday at a Seoul hotel. (Ahn Hoon/The Korea Herald) |
“That’s why we don’t fear competing with not just the Korean No. 1 T-Map but also with other global services in overseas markets.”
The app, whose catchy name means “Driver Kim” in Korean, has 8.5 million subscribers with 2 million users per month. In terms of direction inquiries, Kimgisa has become the second-largest mobile navigation service after SK Telecom’s T-Map.
A group of seven engineers, including Park, launched the app in 2011. They were also the former members who succeeded in commercializing the world’s first mobile-based navigation software K-Ways in 2004.
For mobile specialists, it took only eight months to develop the Kimgisa app. The problem was funding for growth.
“Nobody cared about the app, saying, ‘Navigation software is already a red-ocean market,’” Park said.
Park gave up on receiving funding from investors and poured resources into optimizing the software over the next two years.
Simplicity is the most important virtue of the Kimgisa app. The app has removed unnecessary functions and ads. It gives the fastest single direction based on its real-time traffic analysis.
“First-time users may feel confused because the route can sometimes be unfamiliar. But they come to see the convenience when they arrive at the destination,” the CEO said.
User numbers started growing especially during the nation’s major family-reunion holidays as many T-Map users turned to Kimgisa as an alternative.
Then, investors piled up. In 2013, Naver became a major investor with 5 billion won, while some foreign investors also jumped on to the Kimgisa bandwagon.
Park said investors are currently mulling more investment ahead of the app’s global launch in Japan and other Asian countries.
“Entering a foreign market is risky, especially for big companies with big organizations. But there’s nothing to fear for a start-up like us,” he said.
“Based on our big data technology, we will offer the best navigation service customized for different users in different cities.”
About a recent report on a possible acquisition by Daum Kakao, the CEO flatly denied the rumor.
“There was no offer from Daum Kakao. They are a good partner for our taxi service,” he said.
“Our ultimate goal is creating a navigation app connecting all Asians. We will continue to look for growth and new opportunities.”
By Lee Ji-yoon (jylee@heraldcorp.com)
