Developed to overcome the crisis in the livestock industry

KT partners with Nonghyup to introduce an 'IoT Smart Sales System'.

KT attended the launch ceremony for the 'IoT Smart Sales System' held at the Nonghyup Central Headquarters in Jung-gu, Seoul. The event was attended by KT Corporate Business Division Head Lee Moon-hwan, Nonghyup Central Chairman Kim Byung-won, and National Assembly Agriculture, Food, Rural Affairs, and Fisheries Committee Chairman Seol Hoon.

The 'IoT Smart Sales System' is a new concept unmanned meat vending machine equipped with IoT capabilities to sell small quantities of refrigerated and frozen packaged meats such as Hanwoo beef, Han-don pork, and marinated ribs.

According to the Korea Rural Economic Institute's report 'Supply and Demand Trends and Outlook for the Beef Cattle and Pig Sectors,' the self-sufficiency rate of domestic beef cattle has fallen below 39% for the first time in 14 years. The 'IoT Smart Sales System' was developed to overcome the crisis facing the livestock industry, such as the continuous decline in the number of livestock farms and the decrease in meat processing jobs.

Consumers can easily and conveniently purchase packaged meat anytime and anywhere through the 'IoT smart sales system,' and sellers can drastically reduce retail distribution costs such as store operating expenses, allowing them to purchase Hanwoo/Handon, which was previously considered expensive, at a price more than 20% lower than the market price.

KT supports the stable operation of unmanned sales systems by applying wireless lines and smart payment systems to the 'IoT Smart Sales System.' Unlike conventional vending machines, the 'IoT Smart Sales System' requires the transmission of high-capacity multimedia based on wireless communication. Seamless wireless communication is essential because it must monitor internal temperature and humidity for chilled meat sales in real time, rapidly synchronize consumer prices with fluctuations in production prices, and check incoming stock, sales, and inventory in real time. Furthermore, KT has alleviated consumer inconvenience by establishing a smart payment system that incorporates payment methods such as credit cards and mobile payments, allowing consumers to purchase packaged meat using welfare points or credit card points.

KT and Nonghyup will pilot the 'IoT Smart Sales System' until the end of this year. We plan to operate approximately 2,000 units by 2020, mainly in Seoul and the metropolitan area, and prioritize installation at Nonghyup Hanaro Marts in the metropolitan area that are densely populated with single-person households or do not have a meat corner.

“We are pleased that KT has partnered with Nonghyup to introduce the ‘IoT Smart Sales System,’ which can dramatically improve the distribution system for agricultural and livestock products. In line with the ‘1-conomy’ era, we will actively cooperate to expand the ‘IoT Smart Sales System’ to areas with a high concentration of single-person households and dual-income families,” said Lee Moon-hwan, Head of KT’s Corporate Business Division.