Kakao Enterprise · AI Voice Assistant Platform

Hey Kakao

Rebuilding a voice assistant around the needs hidden in failed conversations

Prioritized data-backed answers and child-friendly experiences over expanding generic fallback scripts.

Hey Kakao is Kakao's voice AI assistant platform. Kakao is one of the largest IT companies in South Korea.

Team & duration
Cross-functional AI product team · 18 months
Company
Kakao Enterprise
Hey Kakao project overview
Project scope & backgroundOpen details

Hey Kakao is Kakao's voice AI assistant platform. Kakao is one of the largest IT companies in South Korea.

The platform is available through mobile apps, AI speakers, IoT control pads, and in-car systems. It serves more than five million users and also supports B2B chatbot solutions for partners including Hyundai Motors, Samsung Electronics, and Korea Investment & Securities.

User engagement and retention were declining while fallback responses to unexpected utterances were rising rapidly. Our mission was to increase engagement and encourage more meaningful interactions.

CompanyKakao Enterprise
Role / SkillsProduct ManagerLead Product Designer
DeliverablesProduct PolicyUX DesignAPI ArchitectureData Report
Project dateFeb 2022 - Aug 2023 · 18 months

Context

The response accuracy rate dropped below 85%

<85%

Response accuracy

7% → 15%

Fallback response rate

70%

Unexpected utterances not covered by existing scenarios

Most failed conversations clustered around four underserved intents

The fallback volume was not random. Four recurring needs accounted for 70% of the analyzed utterances, giving the team a clear product-prioritization signal.

Daily average analyzed10,000

fallback utterances per day

  1. 25%

    Kids content

    Largest unmet intent

    25%
  2. 20%

    Stock price

    High-value information need

    20%
  3. 15%

    Kids education

    Recurring parent-and-child need

    15%
  4. 10%

    Character content

    Engagement opportunity

    10%

What this changedProduct decision: prioritize data-backed answers and child-friendly character experiences instead of expanding generic fallback scripts.

Source: Hey Kakao conversation-log analysis

Role & Decisions

The decisions behind the product direction

Mandate
Set product policy and experience priorities across conversation analysis, new assistant modes, and delivery.
My decision
Prioritized data-backed answers and child-friendly experiences over expanding generic fallback scripts.
Trade-off
Focused delivery capacity on high-value answer types and children’s journeys instead of adding more generic fallback copy.
What I led
Product Manager · Lead Product Designer. Product Policy, UX Design, API Architecture, Data Report.
How might we ensure that users do not feel disappointed with the Hey Kakao service and can engage with it more?

We tested simple bot responses, tracked user satisfaction, and worked to reduce re-engagement time while stabilizing DAU. The A/B test informed the user research plan, MVP, and phased roadmap.

Research & Strategy

10,000+ utterances, three user segments, and five stakeholders

01

10,000+ utterance data analysis

  • Conversation-start utterances
  • Keywords used at the point where conversations ended
  • The number of interaction steps users completed with the service
02

Three user segments

  • Parents of seven-year-old children
  • Stock-trading users
  • Drivers who own a car and have children
03

Five stakeholder interviews

  • Hyundai Motors designer
  • Kakao Entertainment music-streaming staff
  • Kakao Enterprise AI Lab engineers
  • Iconix staff from a children's-content company
  • Kakao Mobility UX staff
04

Four defined user needs

  • Personalized experiences for children's content
  • Integrated stock information, financial data, and economic news
  • Interaction with Kakao Friends characters
  • Easy control and calling while driving

Product & Delivery

A three-phase plan covering minimal needs through hidden needs

  1. Phase 1 · Answer with Data

      • Connect real data with bot
      • Data and REST API architecture design
      • Additional text information with external link
  2. Phase 2 · Answer with GUI

    • Answer with visualized information

    • Make UI type

      • Stock Price UI
      • Market Index UI
      • Fairytale Contents Play UI
      • Reward Sticker UI for Kids
  3. Phase 3 · New Mode, New Bot & Features

    • Kids mode

      • Integrated kids-related bots, including fairytale, zoo, and game bots
      • Kids and character voice TTS
      • Embedded educational content
      • Character doll with built-in Voice AI
    • New Bot & Features

      • Integrated third-party services, including music streaming, podcasts, and news
      • Drive mode
      • Car infotainment built with Kakao AI

Hey Kakao 2.0

Four launches answered the four intents the fallback analysis had surfaced: a stock bot, Voice Note, a Kakao Friends character bot, and Mobility Mode.

The two that moved engagement most are set out below — Stock Bot against the stock-price intent, and Kids Mode against kids content and kids education.

Hey Kakao 2.0 product overview
Hey Kakao 2.0

Rebuilding the stock bot around price first, then everything around the price

The renewal contributed a Daily Interaction increase of more than 15%.

A price-led UI carries the answer, with a follow-up menu and voice control for reading the news and detail around it rather than asking again from scratch.

  • Designed the data pipeline so US stock prices, not only Korean ones, could be wired in through a real-time API.
  • Set the content-search pipeline policy that decides which related news is surfaced with a price.
  • Opened a B2B2C chatbot business off the back of the stock bot.
Hey Kakao stock bot showing a price card for Amazon with follow-up index chips, and a securities chatbot conversation
Stock Bot

Turning kids content into something a child returns to

Improving the existing kids-content bot and adding reward and education features — praise stamps, and a listenable zoo the child can interact with.

The work brought in a user segment the assistant had not held before, and improved Daily Interaction by 5%.

  • Attracted a new user segment: households with children aged seven and under.
  • Improved Daily Interaction by 5%.
Hey Kakao Kids Mode showing a praise-stamp progress board and a Voice Zoo tour stamp screen
Kids Mode

Supporting users' lifestyles across speakers, IoT, and mobility

One bot had to arrive well on every surface it reached, so each channel got its own rule. The speaker has no display, so after an answer it offers the next step out loud — read a stock price, then ask whether to play related Kakao news. In the car, controls were reduced to the largest, simplest buttons that would not compete with driving.

Hey Kakao AI speaker experience
AI Speaker
Hey Kakao in-car voice assistant experience
In-car Assistant

Impact

Improved response accuracy and user engagement

New bots, new features, and Kids Mode improved response accuracy and encouraged deeper engagement with Hey Kakao 2.0.

93%

Response accuracy

Recovered from 85% after the new bots and modes shipped, covering 2,500 kids-content utterances and 3,000 stock-information utterances.

10%

Share of monthly active users

Stock Bot accounted for 6% and Kids Mode for 4% of monthly active users.

3+

New B2B opportunities opened

An AI-textbook proof of concept with the Gyeongnam Office of Education, plus B2B2C chatbot expansion with NH Investment & Securities, Korea Investment & Securities, and GS Retail.