Rakuten provides AI-assisted marketing solution services with Singapore partner
SINGAPORE, NNA – Japanese online services provider Rakuten Inc. and a Singaporean artificial intelligence technology business have started operation of their joint venture in Japan to provide advertisers with AI-assisted marketing solutions.
Rakuten and Sqreem Technologies Pte. Ltd. launched Rakuten Sqreem Inc. in Tokyo in October 2019, with Rakuten owning a 51 percent stake and the Japanese division of the Singaporean company the remaining 49 percent, the two companies said in a joint statement on Monday when their operation started.
The joint venture will utilize the data provided by more than 100 million Rakuten members in Japan and the AI-used behavioral pattern analysis data owned by Sqreem to provide advertisers with marketing solutions in online advertising and analysis of consumer behavior, the two partners said.
“The system will aim to create new value and improve ad performance in the Japanese market by providing advertisers with a clear picture of increasingly complex consumer behavior,” they added in the statement.
Rakuten expects the joint venture to earn several billion yen, or tens of millions of dollars, in revenue over the next several years, a company spokesman told NNA. Rakuten has a revenue target of 200 billion yen ($1.84 billion) in its advertising business in 2021, he added.
Rakuten set this target in 2018 when its advertising revenue was 96.3 billion, he explained on Tuesday, declining to disclose estimated revenue in 2019 and 2020.
Sqreem Technologies, established in Singapore 2009, is an aggregator of behavioral pattern data, with a database created by the collection and analysis of open data available on the internet through AI technology. It also has a foothold in the Philippines, the spokesman said.
The Singaporean company uses that technology to provide data analytical services to many companies and government agencies across industries and markets, according to the statement.