Global e-commerce platform Cafe24 on Tuesday said it will push ahead with the "K-manufacturing smart e-commerce innovation project" to support online commerce innovation and overseas market expansion for Korean manufacturers facing a crisis.

According to Statistics Korea's "2024 Nationwide Business Survey", the number of manufacturing businesses in South Korea stands at about 500,000. An analysis says many manufacturers face growth limits due to complex distribution structures and a lack of online direct-sales capabilities.

Key difficulties in manufacturers' shift to online commerce include a lack of e-commerce operating experience, difficulty securing specialised staff and fragmentation of production, inventory and distribution data. Critics say inefficiencies are accumulating because sales data is not connected in real time to production sites.

Cafe24 will build a digital ecosystem integrating production and distribution, centred on its premium service, "Cafe24 PRO". It plans to combine data-based technologies, including demand forecasting, copywriting and marketing automation, with manufacturing processes and online sales systems to raise the pace of business growth.

Another feature is that it will provide strategic consulting from a group of experts in addition to platform services. Cafe24 said it will provide all-around support for global infrastructure, including overseas payments (PG), global logistics, multilingual translation and overseas customer service, to help manufacturers improve their fundamentals and settle in overseas markets.

Cafe24 is currently working on the project with more than 50 manufacturers, including food maker Berry Nature. A Berry Nature official said, "After collaborating with Cafe24, our sales last year rose 433% from the previous year," adding, "It became an opportunity to achieve brand growth and global expansion at the same time."

Manufacturers participating in the project have also responded positively. An official at health food maker Pureun Nong said, "Efficiency improved significantly by operating production and distribution on a single system," and added, "By applying experts' practical know-how, we became confident we can be competitive in the global market."

Cafe24 Chief Executive Lee Jae-seok said, "For Korean manufacturing, global expansion has become a necessity, not a choice, amid structural environmental changes," adding, "We will remove online entry barriers and global infrastructure burdens that are difficult for individual companies to bear through Cafe24's one-stop platform, and support Korean manufacturers in securing sustainable growth engines in the global market."