Naver sees 30% jump in location-based searches over five years

The location-based recommendation service screen of Naver Map. [Courtesy of Naver]

South Korean search engine Naver reported a 30 percent increase in location-based search queries over the past five years, as users increasingly use Naver services to access personalized content related to their daily lives.

A Naver spokesperson explained on Wednesday that the rise in travel demand after the Covid-19 pandemic has driven more people to search for local information, leading to steady growth in related searches. Popular search topics include subway exits, bus stops, domestic and international travel schedules, and local business listings.

Recognizing location searches as a key growth area, Naver is focusing on developing technologies to enhance its services. Naver’s location search currently leverages user-generated content such as text, images, and reviews. It also integrates reservation features, allowing users to search for a place and complete a booking seamlessly. By implementing artificial intelligence, Naver analyzes keywords in user reviews to recommend relevant locations. The current location matching rate has increased to around 63 percent after rapid adoption of generative AI, according to the company. Naver is also enhancing its AI-powered personalized recommendations, taking factors like weather and holidays into account to suggest tailored locations.

The surge in local search demand has also boosted Naver’s vertical services, such as its Naver Map app. The number of monthly active users (MAUs) for the Naver Map app is now almost 30 million users, up by 15 percent compared to the previous year. The app has evolved from a simple navigation tool to a platform connecting small and medium-sized businesses with users thanks to its wide range of local services.

Daily active users (DAUs) searching for local information via Naver Map have risen by 23 percent year-over-year as of August 2024.

“Naver’s actual search volume might be significantly higher than external reports suggest, as many searches occur through vertical services,” an industry insider said.

The company also integrated its generative AI search feature “Cue:” with its reservation system, allowing users to access a variety of services in one interface.