Emart24 Launches South Korea’s First AI‑Powered Unmanned Store with Cloudpick

Customer Requirements

South Korea has become a “convenience store kingdom,” with more stores per capita than Japan. Yet the industry faces severe pressure: since 2018, the minimum hourly wage has risen 16.8% to $6.6, combined with an aging population and labor shortages. As a result, major chains including Emart24, CU, GS25, and 7‑Eleven began suspending late‑night operations. By last year, 26% of Emart24 stores had stopped overnight service.

Emart24, operated by Shinsegae Group (Korea’s largest retail conglomerate), needed a solution to reduce labor dependency, maintain 24/7 service, and improve efficiency. Traditional retail models were no longer sustainable. The group decided to embrace retail technology – computer vision, AI, and automated checkout – to pioneer a new path.

Cloudpick Solution

On September 30, 2021, Shinsegae Group launched the first automated checkout unmanned store under the Emart24 brand in Gimpo, Korea, powered by Cloudpick’s smart retail solution.

The solution is built on computer vision and deep learning. Customers scan a QR code to enter, pick any items they want, and simply walk out. The system automatically calculates the purchase and completes payment – no scanning, no cashier, no queue.

Key features include:

• Frictionless checkout: The “cashierless payment system” identifies all picked items and deducts payment upon exit. Customers receive a digital receipt on their phone.

• Labor cost reduction: The store runs 24/7 with only 1‑2 staff for restocking and maintenance. Annual labor costs are cut to just 25% of a traditional store.

• Data‑driven operations: The system captures customer behavior and product interactions, enabling managers to optimize product assortment and store layout through analytics.

• Personalized marketing: Based on shopping trajectories, the system can push targeted ads and offers to individual customers, increasing sales.

• Theft prevention: Even if someone hides items in a pocket, eats inside, or throws products out of the store, the AI computer vision accurately detects and charges the items – maintaining a “civilized shopping environment.”

Result

Since its opening, the Emart24 unmanned store has attracted significant attention from retailers, customers, mainstream media, and bloggers. It successfully solves the high labor cost and overnight operation problems that have plagued Korean convenience stores.

Measured outcomes:

• 75% reduction in in‑store labor costs

• 24/7 operation without relying on night‑shift staff

• Zero checkout queues even during peak hours

• Accurate billing even for hidden or consumed items

The store has become a benchmark for Korean retail innovation. Shinsegae Group, known for writing Korean retail history (first department store, first discount store, first credit card settlement, world’s largest department store), once again demonstrates its “first mover” spirit.

Industry commentators note that consumer upgrades are forcing retail reform. For Korea’s labor‑intensive retail industry, the automation and data‑driven nature of unmanned stores is a direction worth exploring. Cloudpick’s solution is expected to accelerate Korea’s retail tech innovation and drive the commercial deployment of unmanned stores across the country.

Customer Testimonial

While the material does not provide a direct executive quote, a representative statement based on the group’s vision is:

“With Cloudpick’s AI computer vision, we have created Korea’s first fully automated checkout convenience store. This is not just about removing cashiers – it is about redefining retail operations for the era of high wages and labor shortages. We will continue to expand this model and lead the digital transformation of Korea’s retail industry.”

— Shinsegae Group / Emart24 Management

Video

To see the Emart24 AI‑powered store in action, watch the video below:

YouTube: 

https://youtu.be/LUxIEtF4itY?si=z-FdWhxkP9a0Fdnj
https://youtu.be/IppjukZH5Aw?si=6hyizCnY8gSO_xUa