South Korean Logistics Firm Innovates with AI-Powered, Next-Day Payment Platform | Be Korea-savvy

South Korean Logistics Firm Innovates with AI-Powered, Next-Day Payment Platform


The growing popularity for the AI-driven freight transportation platform, 'the unban' (Image courtesy of CJ Logistics)

The growing popularity for the AI-driven freight transportation platform, ‘the unban’ (Image courtesy of CJ Logistics)

SEOUL, Sept. 6 (Korea Bizwire) – CJ Logistics, a leading South Korean transportation and logistics company, has reported growing popularity for its AI-driven freight transportation platform, ‘the unban.’

The platform, which directly connects shippers with truck drivers, has gained traction due to its next-day payment system, the company announced on September 5. 

Launched in July 2023, ‘the unban’ utilizes big data and artificial intelligence to streamline the logistics process.

A key feature of the service is its commitment to paying drivers the full freight charge on the day following the transaction, a significant departure from industry norms.

This rapid payment system operates despite CJ Logistics typically receiving payment from shippers around 30 days after the transaction date.

The company bridges this gap by advancing payments to drivers from its own funds, ensuring there are no delays in compensation. 

Recognizing the drivers’ preference for prompt payment, CJ Logistics aims to expand both its shipper and driver base by securing a stable volume of freight from clients.

To this end, the company is running a promotion throughout September, offering new shippers a 50% discount on freight charges for their first order. 

The platform has recently broadened its scope beyond simple transportation. By securing contracts with major furniture companies, ‘the unban’ now offers installation logistics services, which include delivery, assembly, and installation. 

Choi Hyung-wook, head of CJ Logistics’ Digital Logistics Platform Customer-In-Center, emphasized the company’s commitment to maintaining the next-day payment service.

“Our goal is to ensure the health of the ‘middle-mile’ logistics market,” he stated. “With recent contracts from large clients, including those in the furniture industry, we anticipate a continued increase in order volume.” 

The term “middle-mile” refers to the business-to-business (B2B) market that handles the transportation of goods from manufacturing plants to logistics centers and corporate clients.

Ashley Song (ashley@koreabizwire.com) 

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