Kangwon Land Bets on AI to revitalize Korean Casino Operations
kangwon Land, South Korea‘s sole casino open to domestic players, is launching a comprehensive artificial intelligence (AI) integration strategy aimed at boosting efficiency and enhancing customer experience. The move reflects a growing trend within the Korean casino industry, with operators increasingly turning to AI to navigate evolving market conditions and improve profitability.
At a recent board meeting,Kangwon Land officially approved a strategic innovation plan centered around generative AI,signaling a commitment to digital change and streamlined management.This initiative aligns with a national push for AI adoption, as outlined in the government’s AI Activation policy.
The company plans to deploy AI across multiple facets of its operations, including automating customer service, leveraging data analytics for informed decision-making, and improving internal workflows. Specifically, Kangwon Land anticipates strengthening personalized service offerings through the implementation of AI chatbots and advanced analysis systems within its customer service and marketing departments.
“AI is now recognized as a key driver of corporate growth, not just a matter of efficiency,” a company official stated, underscoring the strategic importance of the initiative.
Kangwon Land’s decision comes amid a broader industry shift. Grand Korea Leisure (GKL), which operates casinos catering exclusively to foreign visitors, announced in September the formation of an AI innovation team dedicated to improving customer service and operational efficiency through AI technology.
The push for AI integration also arrives as Kangwon Land navigates financial headwinds. The casino reported a net profit of 60.6 billion won (approximately $46.8 million USD) in the second quarter of 2023, a 62.2% decrease year-over-year. Analysts attribute this decline to rising operating costs outpacing casino sales growth.
To address these challenges and secure future growth, Kangwon Land is pursuing both AI-driven strategies and long-term expansion projects, including the development of a second casino facility slated for completion in early 2028. The casino currently operates over 1,000 table and machine games, including 89 slot machines and 62 blackjack tables.
Industry experts believe Kangwon Land’s investment in AI represents a basic shift in the Korean casino landscape. They predict AI will play an increasingly critically important role in shaping customer experiences,optimizing operations,and enhancing data management within the sector.
