Platforms intensify efforts on personalized search features to retain users

Naver‘s AI search service “Cue:”

Platform companies are ramping up their efforts to enhance personalized search recommendation features as users are increasingly crossing the boundaries of traditional search engines like Google and Naver and leveraging social media platforms such as Instagram and AI-powered chatbots for information retrieval.

“As the lines between search engines blur, users are now obtaining information not just through portals, but also via social media, video platforms, and other means. This leads to a mix of activities including content consumption, shopping, and community participation. The significant user inflow resulting from searches is why platform companies are keen to differentiate their services with specialized search features,” said an industry insider.

According to industry sources on Tuesday, Naver is currently testing a feature that highlights popular posts written by users in their twenties at the top of search results. This pilot is aimed at gauging user preferences and may lead to a formal service launch. For instance, when users search for trendy places or popular restaurants in Seoul or Gangnam, recent popular blog posts by 20-29-year-old creators will appear prominently in the integrated search results.

This move is seen as a response to the growing trend among younger users who often turn to Instagram, YouTube, and TikTok for information on hotspots and shopping. According to a survey conducted by consumer data platform Open Survey in February, which polled 1,000 men and women aged 15-59 across the country, Naver (87 percent) was the most used service for searches, followed by YouTube (79.9 percent) and Instagram (38.6 percent). OpenAI’s ChatGPT was used by 17.8 percent of respondents for search purposes. Notably, in terms of user engagement time in May, according to WiseApp Retail Goods data), Naver (343.52 million hours) remained behind Instagram (389.94 million hours) for two consecutive months.

[Photo by Yonhap]

In addition to Naver’s initiatives, Google has recently started displaying “trending searches” in real-time on its portal search page. This indicates that established portal operators are conducting various search experiments to retain their leading positions in the market. Meanwhile, emerging search engines like YouTube, Instagram, and TikTok are aggressively targeting content creators to secure high-quality information used for searches. These platforms aim to provide differentiated search experiences by incorporating real-time user reactions, preferences, and trends into their search functionalities.

The rise of generative AI technologies has also spurred the development of “conversational” search services, which emphasize brevity, speed, and accuracy. Unlike traditional portal searches, AI-powered searches streamline information through a question-and-answer format, enhancing user convenience.

Naver is preparing a multimodal version of its AI search service “Cue:” that will include image search capabilities for mobile environments. On the other hand, SK telecom has invested $10 million in Perplexity, an American unicorn company, to accelerate the development of its generative AI search engine services. Even Apple, traditionally known for its closed ecosystem, has shifted its strategy by integrating ChatGPT with its voice assistant Siri, signaling a broader trend towards AI-enhanced search features.