On the 18th, I visited the DILLI logistics hub in Icheon, where more than 80 classrooms have been combined into a space measuring 5,338 square meters (approximately 1,600 pyeong). Inside, I saw over 200 small robots busily moving about. This is the T-Sort sorting system, which incorporates automated sorting robots from the global logistics robot company 'Liviao Robotics'.
After a manager illuminated the packaged goods with a scanner and placed them on the robot's upper board, the robot automatically recognized the items and repeatedly loaded and moved them to a designated spot where they were dropped into boxes. The system processes over 17,000 items per hour, and about 30 staff members packed the boxes filled by the robots and retrieved new boxes.
Kim Yong-jae, head of DILLI, said, "We moved from the existing logistics hub in Gwangju, expanding the hub to nearly double its size while reducing the workforce by about 25%."
Established in 2021, the artificial intelligence (AI) logistics startup DILLI operates an express delivery service called 'Dilli Rabbit' for e-commerce companies and brand-owned malls. One key feature of the Dilli Rabbit service is that it offers deliveries in an average of 7 hours within the metropolitan area at the cost level of standard delivery fees.
Recently, the service area has expanded to include Cheonan and Asan in South Chungcheong Province, uniquely broadening the business scope in the same-day delivery logistics sector.
The secret to DILLI's low-cost same-day delivery service is 'automation.' Noting that most e-commerce corporations in South Korea are based in the metropolitan area and that 80% of the items they handle are small cargo, Kim determined that logistics could be simplified based on automation.
Kim stated, "Existing delivery companies use the 'Hub and Spoke' method, where they gather items at a central hub before sending them to multiple distribution points," and added, "If we boldly narrow our service to the metropolitan area and small cargo, we could reduce inefficiencies by automating substantial processes."
DILLI has improved overall delivery efficiency by utilizing AI technology. The Dilli Rabbit service analyzes the same-day item situation through its 'AI deep learning dynamic clustering technology' to generate delivery routes that allow for the maximum number of items to be delivered within a set time. Various data, including starting and destination locations, weather, building types, and shared entrance passwords, are used to calculate the optimal routes.
Delivery zones for each delivery person are also flexibly adjusted. Traditional delivery companies have a fixed zone assigned to each driver, which can lead to delays in delivery when the volume surges. However, Dilli Rabbit reconstructs delivery zones based on real-time volume situations, allowing drivers to work efficiently.
Items classified by area at the Icheon hub are moved to unmanned delivery camps via trunk vehicles, where delivery personnel collect them. Currently, there are 20 unmanned delivery camps established nationwide. The average time taken for completing a delivery is about 7 hours.
Since launching its service in May 2022, DILLI has steadily expanded its customer base to include over 30 companies, such as Zigzag, Musinsa, and Zexy Mix. In 2024, revenues increased more than twice compared to the same period the previous year. The company aims to reverse its operating profit from a deficit to a surplus this year. To date, DILLI has attracted investments totaling 22.4 billion won.
Kim views the shift to automation in the delivery industry as an inevitable trend. The case of Amazon, utilizing unmanned trucks for efficient deliveries, is a representative example. Kim predicted, "Within the next five years, the industry will likely see a transition to automation," adding that "the delivery data accumulated by DILLI will become a significant competitive advantage."