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Running a small business often results in spending more time on ancillary tasks than on the core business itself. For instance, a Taekwondo studio owner may wish to focus on teaching students but is often overwhelmed by complex administrative tasks such as member management, marketing, and tax processing. This is not just a domestic issue but a common concern for small business owners worldwide.

'Yomangjin Research Institute (CEO Choi Sung-ki)' is a startup that focuses on this issue. With 28 years of experience in the IT field, CEO Choi Sung-ki developed a solution using AI technology to help small business owners concentrate on their main business. This solution is known as the AI Marketer. Targeting the U.S. Taekwondo studio market first, they are expanding overseas with a unique service called 'STEP AI Manager.' The interview with CEO Choi provided insights into the future of digital transformation for small businesses.

- It is heard that CEO Choi has extensive experience in various companies. Having worked in the IT industry for a long time, what led you to start a business related to Taekwondo studios?

: I started my entrepreneurial journey at the age of 19 and have worked in the IT field for 28 years. I began as a programmer, moved through design, server management, and webmaster roles, and primarily focused on project management (PM) and business planning in my 30s.

Yomangjin Research Institute was founded in December 2020, initially starting as a business combining virtual reality (VR) and travel. I lived in Jeju Island for six months to conduct market research and model validation. It was initially smooth, being selected as a tourism venture by the Korea Tourism Organization. However, there was a gap with actual customers, as the research was mainly conducted with acquaintances or those who liked IT services, lacking contact with real demand.

During this time, I discovered a new opportunity through an acquaintance running a Taekwondo studio in the U.S. I heard that U.S. students often visit Korea for tours during summer vacations, and during the 2023 Jamboree, it was said that more students came to Korea for Taekwondo than for the Jamboree. Thus, throughout 2024, I accompanied teams touring Korea and conducted a full-scale investigation of the U.S. Taekwondo market. The STEP AI Manager service was developed targeting these U.S. Taekwondo studios.

- What is the size of the U.S. Taekwondo market? Why was the U.S. chosen as the first market instead of Korea?

: There are about 15,000 Taekwondo studios in the U.S., roughly twice the size of Korea. Surprisingly, 70-80% of these are operated by native Americans. Initially, they were mainly run by Koreans or Korean Americans, but now more local instructors are running them.

Over the past 50 years, Taekwondo has been well-branded in the U.S., and there seems to be more respect and value for Taekwondo there than in Korea. While this may be a bit embarrassing as a Korean, it also means that the market is stable and has great growth potential.


- What are the core functions of the STEP AI Manager? How does it differ from existing studio management systems?

: Having run a small business myself and worked in smart tourism, I have met many small business owners operating restaurants or museums. They started businesses because they loved their specialized fields, but in reality, they spend more time on administrative tasks like promotion, operation, tax processing, and fee collection. Taekwondo instructors, who have trained in Taekwondo all their lives, often find it challenging to use computer systems. Although there are many ERP solutions and marketing websites available in the market, they are too difficult to use, requiring a lot of learning.

We simplified these aspects into a conversation-based system like ChatGPT. Upon logging in, the AI Manager makes suggestions first, such as "There were several inquiries until yesterday, and some trial schedule applications need review." Users only need to check and give instructions, and the AI handles the rest.

- It seems distinctly different from existing systems focused on member management. Could you provide a more detailed explanation?

: Most existing systems focus on member management. Their business model is structured to help with tuition payments and earn fees from that, such as managing delinquencies and automatic card payments.

However, after talking with Taekwondo studio owners, there was a bigger concern. Due to the nature of Taekwondo studios, there is a natural attrition rate. About 3-5% of students complete their training or drop out each month. For a studio with 100 members, this means a decrease of 3-5 members monthly. If they cannot continuously replenish more than this number, it becomes difficult to operate the studio.

Therefore, we developed the service with a focus on AI Marketer functions specialized in recruiting new members. In the U.S., website utilization is higher than in Korea. The STEP AI Manager renews the studio's website and automatically updates SNS content to keep visitors continuously interested. It also includes features like an AI chatbot and Q&A messaging system for automatic consultation and a trial class registration assistant.

As for member management functions, many studios already use existing systems, making it difficult to replace them. Switching to a new system requires complex tasks like requesting all members to re-register cards or payments. Hence, we first entered the niche market of marketing solutions and plan to gradually expand into existing markets, including member management, once trust is established with customers.

- What are some actual implementation cases and results? What effects have been observed?

: We started a closed beta in June and expanded to an open beta with six additional studios in August. Our partner, Master Kim Dae-ryung, has two studios in North Carolina, where we could verify data from about 3-4 months of operation.

The website access rate doubled compared to last year, and the conversion rate from inquiries to trial classes increased by 18%. Most notably, the time managers spent answering phone calls or emails decreased by 85%, from an average of 3 hours a day to 30 minutes. This time-saving allows for more focus on attending to students.

For reference, Master Kim Dae-ryung is a 2002 Asian Games Taekwondo gold medalist. He is a true Taekwondo practitioner and has operated a studio in the U.S. for 20 years. He believes in the value of our solution and is working with us.

Additionally, there is an annual business seminar in Las Vegas where Taekwondo school owners gather. It is a large event with 200-400 instructors attending. We have the opportunity to present and promote our product there. It is scheduled for this month, and we have high expectations.


- It is heard that you participated in SeoulTech's global collaboration program. What kind of support did you receive?

: Through SeoulTech's global collaboration program, we participated in the 'Miracle' project collaborating with Oracle. Using Oracle's cloud platform, OCI (Oracle Cloud Infrastructure), we were able to build a fast and stable system. OCI provides an infrastructure optimized for AI development, which was a significant advantage.

We were also invited to the Oracle session at the recent Seoul Investor Forum 2025, where we had the opportunity to present in front of overseas investors, including those from Silicon Valley. An overseas accelerator we met there showed interest in our business, and a follow-up meeting is scheduled in LA next week.

Collaborating with a global corporation like Oracle itself provides credibility. It is more credible to say, "We developed this using Oracle's technology and infrastructure," than to say, "We made it ourselves," as a small startup.

- Running a startup is always challenging. Especially, entering overseas markets must be even more difficult. How are you overcoming these challenges?

: The most challenging aspects are funding and personnel issues. To start a new business, you need personnel with a spirit of challenge and the ability to quickly adapt to new technologies, which is not easy to assemble.

I have no choice but to work hard. By showing my employees and new members my dedication and continuously presenting the vision, they are encouraged to follow.

Funding is also a challenge. While getting investments is ideal, when that is not possible, we secure funds through SI (system integration) contracts and invest in development. We also receive a lot of government projects, which is a great help.

- What are your future plans? Do you plan to expand into other fields beyond Taekwondo studios?

: Our goal is to achieve meaningful results in the U.S. Taekwondo market first. Once established in the Taekwondo market, we plan to expand into numerous small business sectors.

The U.S. small business market is said to be around $1 trillion, though not precisely known. It is an unimaginably large market. We aim to become a partner for U.S. small business owners.

While focusing on the U.S. for now, we will consider expanding into high-value markets like Europe and markets like Southeast Asia or China in the future. The business stage for Korean companies is vast.

Having tried many businesses, I realize that one must focus on what they want to do, but often find themselves in conditions that prevent that. Talking with U.S. Taekwondo instructors, I found they share the same challenges. Through the STEP AI Agent, we aim to become their partner and open a bright future.

IT Dong-A Reporter Kim Young-woo (pengo@itdonga.com)

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