[단독] Coupang Itz notifies self-employed companies to increase delivery app fees

Input 2021.01.28 10:09

Coupangitsu introduces new fee policy to some contractors
Policy to increase delivery fee of 5,000 won to stores that received free delivery fee benefits
CoupangITs “Purpose to unify the individual fee system”
Did you aim to improve profitability ahead of listing on NASDAQ in 2Q?

It was confirmed on the 28th that Coupang Itz is raising fees charged to self-employed people, a delivery application (app) operated by Coupang.



Coupang’s delivery app Coupangitz is estimated to have increased the number of users from 210,000 to 2 million in one year with a new marketing method called “deliver one house at a time”. / Provided by Coupang

The day before, Coupangitz sent a text message to some contractors in the metropolitan area about the new fee policy. Among the △order brokerage fee, △card fee and payment usage fee, and △delivery fee, the main point is that the delivery fee will be increased within the first half of the year.

The guided people are mainly self-employed business owners who signed a contract with good terms at the beginning of the service launch in September 2019 by Coupangitz. Although the terms of the contract are different for each store, many of them received a free delivery charge if they exceeded a certain order amount. In order to increase its share in the delivery app market, where the people of delivery and Yogiyo dominate, Coupang Itz took on the burden of delivery charges.

However, as the delivery market grew rapidly in the aftermath of last year and the number of users rapidly increased, Coupangitz began charging new contractors a delivery fee of 5,000 won. Of these, 1,000 won went back to Coupangitz, and the rest were taken by delivery drivers. Self-employed people have set out-of-pocket costs and customer fees and exposed them to apps.

Coupang also adjusted the basic brokerage fee from 2,000 won to 15% of the order amount. Currently, Coupang Itz has set a basic brokerage fee of 2,000 won, but many stores charge 1,000 won in the name of promotion. Self-employed people are concerned that Coupangitz could raise its basic commission rate (15%) if its market share increases. A self-employed person in Ilsan, Gyeonggi-do, said, “As soon as it increases to 15%, I will not use Coupang.”

Owners are puzzled by the sudden notification of Coupangitz. A self-employed business owner who runs a franchise pizzeria in Seoul stated that Coupang-Itsu stated in a letter in the notice that “If you do not agree to the conversion of the fee structure, you can cancel the service use contract.” “If you don’t like it, go out.”

“This fee system reorganization is aimed at enhancing equity by unifying the fee system of all stores,” said Coupang Itz. “We plan to sequentially switch to the new fee system introduced in February last year with the individual consent of the contractors.”

Some analysts say that Coupang is working to improve profitability ahead of the listing on the NASDAQ in the second quarter. According to app analysis service provider WiseApp and Wise Retail, Coupang and CoupangITs paid 21.700 billion won and the number of users reached 18 million as of last year, but failed to turn to the black due to the lowest price policy to secure market share, labor and marketing expenses. It is estimated to have done.

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