InsurTech Carrot enters exclusive partnership with Naver

Carrot, a digital platform for insurance South Korea, is proud to announce that it has signed an Exclusive Promotion and Distribution Agreement With platform giant. Naver Financial Corp. (Naver), whereby Carrot has been appointed to exclusively supply shipment return insurance for the merchants of Naver’s online shopping platform (Smart Store). Smart Store is the nation’s largest ecommerce marketplace in terms of transaction volume as of current.

The proposal insurance, which covers return shipping and handling costs, is a non-traditional product that was created to meet both the needs of shoppers and marketplace sellers. The cover will increase the sales of sellers and give them an additional marketing edge. Online shoppers also have the added benefit of extra security in the event that they need to return or exchange their purchased goods.

Likewise, resounding success has been recorded from the pilot test co-conducted by two parties for the duration of four months during the second half of previous year, affirming that Carrot’s business model works. Numerous vendors who have implemented the coverage saw a 15% increase on their sales volume and 31% in revenue.  In addition to the users’ overwhelmingly positive responses, a surge in demand for the insurance to cover more shopping categories has been observed.

The recent announcement of a partnership is herePaul Jung, CEO of Carrot, commented, “We are excited to be working alongside with Naver,” He continued. “We share Naver’s vision of innovating on behalf of clients, and the launch of this service is one way how we address customers’ pressing needs. We are uniquely placed to provide digital insurance solutions for Naver to help small business owners grow and protect their companies. We look forward to continually introduce series of platform integrated solutions Through our long-lasting partnership.”

Carrot anticipates that the concept of integration of insurance services into e-commerce transactions will expand to other “ecosystem partners”. 11th Street, the 2nd largest shopping and open-market platform in Korea has started distributing Carrot’s shipping return cover since 2020 and has a plan to promote wider adoption by the vendors to bolster their profitability, according to the firm. Not to mention that Amazon last year has inked an exclusive partnership with 11th Street to enter the lucrative Korean e-commerce market.

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