[Why&Next] Kakao Membership Price and Structure Are Key... Aiming for Ecosystem Lock-in Effect

"Kakao Membership" Could Launch as Early as Next Month
Synergy Across Affiliates Anticipated
Service Bundling and Subscription Fee Hold the Key

As the launch of the "Kakao Membership," which brings together KakaoTalk and services from Kakao affiliates, draws near, the composition of the services and the subscription price have emerged as key variables that will determine the expansion of the "Kakao ecosystem" and the ability to lock in users.

According to the IT industry on September 11, Kakao is preparing to launch the "Kakao Membership" (provisional name) as early as next month in the form of a beta service with a monthly subscription model. The membership is likely to be a model in which users pay a monthly fee to access an integrated set of services centered around KakaoTalk and including those of Kakao’s affiliates. Currently, details such as the membership's composition, subscription fee, and launch date are still under discussion. A Kakao representative explained, "We are preparing a membership service that links various Kakao services and benefits, but the launch date and details have yet to be determined."

Kakao Pangyo Ajit, Seongnam, Gyeonggi Province. Photo by Jin-Hyung Kang

The decision to launch a membership reflects Kakao's strategy to generate synergy among its affiliates. While Kakao has expanded into a variety of fields, business integration among affiliates has been considered limited. By bundling high-penetration services such as KakaoTalk and KakaoT with other services and offering consolidated benefits, the company expects to attract additional users to its ecosystem.

This trend also aligns with the industry's broader move toward subscription products. The goal is to create a "lock-in effect" by offering a package of benefits across multiple services in exchange for a monthly subscription, encouraging user retention through discounts and rewards. In fact, major platforms such as Naver, Coupang, and Toss all operate their own membership services.

However, Kakao's strategy differs from those of other platforms, which tend to focus their memberships on commerce benefits. Naver's "Naver Plus Membership," for example, provides up to 5% reward points when purchasing products through the Naver Plus Store and offers overnight delivery for select products. It also delivers free content benefits through partnerships with affiliate companies such as Netflix and Spotify. Coupang's "Wow Membership" similarly combines overnight and same-day delivery, free food delivery through Coupang Eats, and online video streaming service (OTT) benefits via Coupang Play.

Although Kakao also operates services such as Tokdeal and Gift, their market presence has been relatively minor compared to competitors. However, Kakao’s strengths in areas such as mobile payments, mobility, and digital content present opportunities for differentiation if these services are bundled together. For example, a user taking a taxi with KakaoT could earn a portion of their spending back as Kakao Pay Points, or receive access to KakaoTalk Emoticons, Melon, and Kakao Webtoon subscription passes simultaneously. Similarly, as with rival platforms, membership customers could receive reward points when purchasing gifts via the Gift service.

With consumers already subscribed to multiple platform memberships, the monthly subscription fee for Kakao’s late-entry membership has become a crucial factor in the success or failure of the initiative. If the company is able to bundle frequently used services at a reasonable price point, it will create incentives for users to subscribe. Kakao already offers paid membership options such as "Emoticon Plus" (KRW 3,900 per month), which allows unlimited use of emoticons in KakaoTalk, and "TokCloud" (ranging from KRW 2,100 to KRW 12,000 per month), which allows users to store photos and data exchanged through KakaoTalk in the cloud. Kakao Mobility also offers memberships such as KakaoT Movement Plus (KRW 4,900).

This content was produced with the assistance of AI translation services.