In the second episode of Great Food Company, a series about the leaders of “quality-first management,” the featured company is Secta9ine, a subsidiary of the SPC Group specializing in digital marketing. In the turbulent times following the COVID-19 outbreak, Digital Transformation is considered the solution to overcome the crisis. Secta9ine was established to transform traditional structures by implementing digital technology throughout business areas. Today, we are meeting CEO Lee Gyeong-bae to discuss the role of Secta9ine, its future business plans, and the vision.
Interview with CEO Lee Gyeong-bae of Secta9ine
Secta9ine, the Beginning of SPC Group’s Digital Transformation
CEO Lee Gyeong-bae, Secta9ine
Q. Could you please tell us about Secta9ine?
Hello, I am Lee Gyeong-bae, the CEO of Secta9ine. I became the CEO of Secta9ine at the end of last year, after heading Samsung SDS and CJ Olive Networks. With the vision to establish a“smart life technology company,” Secta9ine provides IT and marketing services using the latest technologies to bring simplicity and convenience to people’s daily lives. Examples of Secta9ine’s services include Happy Order that delivers SPC Group’s wide range of food and drinks to your doorstep, the group’s original payment system Happy Pay, and its smart store Happy Market. We are also leading the SPC Group’s Digital Transformation and aggressively tackling external markets with our expertise in the field. I am now in charge of these major tasks, and as someone who has perhaps the best experience and know-how in Korea on the Digital Transformation at large organizations, I am confident that I can apply these specialties to contribute to the vision of the SPC Group.
View of the Office at Secta9ine
Previously, it was divided into SPC Cloud, responsible for the smart store and Happy Point-based marketing platform and e-commerce, and SPC Networks, which oversaw payment services such as ITO and POS/VAN. However, there is an increasing need for a strategy to respond efficiently to the current business environment that demands the application of Digital Transformation in all business areas. To enhance the competitive edge, Secta9ine was launched as a subsidiary that integrates these scattered capacities. The merger is more than just a consolidation of the assets and capabilities of the two companies. We expect great synergies through the collaboration of IT and marketing professionals.
CI that Embodies the Secta9ine Philosophy
 
Our commitment to innovative Digital Transformation is also revealed in our mission and Corporate Identity (CI). “Secta” means “sound wave” or“direction” in Latin and is also similar in pronunciation to the word “sector” in English. To reinterpret this from a business perspective, “Secta” refers to a “business sector with a direction that creates a powerful wave in the market” The number 9 in Secta9ine symbolizes the state of being perfect and infinite. In sum, the name Secta9ine represents how nine business organizations will create powerful synergies, breaking their limitations and growing infinitely. The CI incorporating these directionalities is an owl, a symbol of wisdom and intelligence that conveys that we are always enlightened and future-oriented in our thinking.
Secta9ine’s Total Marketing Solution
Q. Could you tell us about Secta9ine’s major projects and plans?
First, we are continuing existing business areas such as membership marketing based on Happy Point, mobile commerce such as Happy Order and Happy Con, smart stores such as kiosks and digital menu boards, VAN/PG payment business, and development and operation of ICT services. We are obtaining tangible results in these businesses, and they are expected to continue their growth. New projects will allow us to take a step further from existing accomplishments and amplify their success. Specifically, examples include delivery, ad commerce, big data solutions, and smart factories. We have also established Beyond Secta, an organization dedicated to the digital sector, to strengthen our design management
Secta9ine, the Heart of Digital Transformation
After reinforcing and developing the foundation of existing businesses, we plan to implement the “Total Marketing Solution” project. First, we are devising a way to increase the share of external sales by diversifying our business areas, based on our experience and know-how accumulated in the captive market. As the cornerstone for that goal, we are working with Ministry of SMEs and Startups and local small-business associations to provide local merchants with smart store total solutions such as kiosks and digital menu boards. The VAN/PG and POS business will be developed into a comprehensive marketing platform business for payment system affiliates beyond just a payment gateway, actively promoting the recruitment of non-affiliates.
Secta9ine Striving to Present the Total Marketing Solution
In addition, we are developing digital solutions to enhance the convenience of stores that sell products and consumers who purchase them. For example, we provide data analysis and retargeting platforms for online and offline affiliates to efficiently conduct targeted marketing based on big data for the customers using payment platforms. We are also developing services that deliver customized messages within the marketing/commerce platform, such as Happy App, Happy Order, and smart store devices. Moreover, we will launch a membership marketing solution for external affiliates to offer big data marketing based on transactional data and provide various supplementary marketing services.
Secta9ine’s Vision to Drive Marketing Technology Innovation
Q. What role does Secta9ine play within the SPC Group?
Secta9ine researches and suggests the SPC Group’s direction to expand its online businesses through marketing technology innovation, reaching beyond the traditional retail sector.
To this end, our top priority is to actively support digital marketing such as cross-brand within the group and common issues across affiliates. Specifically, we plan to expand services such as video marketing and live commerce through collaboration with power channels on social platforms, such as YouTube and Instagram, and recently established an organization dedicated to marketing strategies for this purpose. We aspire to create synergistic marketing outcomes within the group through organic collaboration and differentiated strategies between each of these affiliates and brands.
For Innovation in Marketing Technology
In digital marketing, it’s also critical to provide a differentiated experience for each customer. We will offer a differentiated experience by analyzing our group brand customers’ activity data at offline and online channels. In other words, we will provide customized offers through Secta9ine’s assets such as Happy App, Happy Order, Happy Screen, and smart store devices. Furthermore, we will reinforce product planning based on customer data. We will strive to digitalize our production and manufacturing to streamline manufacturing processes and modernize quality control.
Q. What is Secta9ine’s vision and plan in terms of “quality-first management”?
Secta9ine will contribute to“quality-first management,” the core management keyword for the SPC Group in 2021, through three main areas. First, the Smart Factory business will further improve the quality standards in the manufacturing process. By introducing various IoT technologies within the manufacturing process, we will be able to manufacture products with optimal conditions and optimal recipes. Next, we will create a“Good Delivery Service” that does not diminish the quality of our products that are delivered via online orders. It will guarantee the best quality, identical to their in-store experience. Finally, we will collect customer feedback on product quality and analyze them rigorously to extract insights that improve quality.
We met with CEO Lee Gyeong-bae at Secta9ine to find out the core direction and vision of the new company. Secta9ine showed us the determination to become an industry leader through an innovative Digital Transformation in this rapidly changing environment. Let’s look forward to Secta9ine’s promising future as a cloud and digital marketing-based business.
