[Star Daily News=Reporter Hwang Kyujun] The delivery platform-enterprise cooperation council proposed a win-win plan to reduce fees and adjust delivery charges after the 12th meeting. Self-employed business owners held a press conference opposing the plan, stating that it doesn’t reflect reality. Even after more than 110 days of meetings, the cooperation council couldn’t produce a plan that satisfies everyone.
A high commission of 9.8% on delivery platforms and a delivery fee of 2,900 won (based on Seoul). Behind these two numbers lies a real shadow. The production team met with self-employed people to listen to stories about the business environment and the delivery platforms dominating it. Most of them said that there is something scarier than the commission. MBC ‘PD Notebook’ highlights the hidden problems of delivery platforms overshadowed by the commission issue, based on direct interviews with self-employed people.
The self-employed owner of a franchise chicken shop in Gwanak-gu, Seoul checks the delivery app first after arriving at work to see how much the store next door has offered in discount coupons. Now, if you don’t offer discount coupons, you won’t receive orders. According to ‘PD Notebook,’ Baemin was encouraging stores to issue coupons by offering discount marketing. What is the truth behind the tempting benefit that half the coupon amount will be refunded? Self-employed people are caught in the trap of delivery platforms that compel them to issue coupons and encourage competition.
When selling one chicken at a franchise chicken shop, about 1,700 won goes to the self-employed business owner. What happens if the neighboring store raises the coupon amount to 4,000 won at a time when coupons have become essential? As the coupon amount increases, the amount deducted from the self-employed owner’s pocket increases, ultimately exceeding the money earned. However, to increase even a small amount of sales, self-employed people begrudgingly offer similar coupon amounts as the neighboring store.
Baemin has a unique advertising feature not found on other platforms, called ‘Our Store Click.’ It’s a system where money is deducted every time a customer clicks, in exchange for featuring the store at the top. The amount can be set between a minimum of 200 won and a maximum of 600 won. The higher the price, the more it’s featured at the top, and the more orders are received, this is the core of the advertisement. However, according to ‘PD Notebook’s investigation, ‘Our Store Click’ is the advertisement system that self-employed people fear the most. Even just browsing the store menu requires a mandatory payment of up to 600 won to Baemin. If 100 customers click but do not place an order, there are only expenses of 60,000 won with no income. Baemin has not made an official statement regarding requests for detailed click information.
Paid subscription services targeting paid memberships, such as Baemin’s ‘Baemin Club’ and Coupang’s ‘Wow Member,’ have appeared. Leading with Coupang Eats last March, the two delivery platforms are marketing themselves with free delivery services. But is free delivery beneficial or harmful to consumers? The cost of benefits previously enjoyed for free by consumers ultimately falls on self-employed business owners. The burden on self-employed individuals eventually leads to raising menu prices, and that burden boomerangs directly back to consumers. ‘Most Favored Nation Requirement’ is chosen as another factor in rising dining prices. Baemin and Coupang demand not to sell higher than each other. The production team has secured recordings demanding most favored nation treatment from self-employed people. Why is the Fair Trade Commission focusing on the most favored nation demand?
What are Baemin and Coupang’s positions as directly revealed to ‘PD Notebook’? Find out on November 19 at 10:20 PM, on MBC ‘PD Notebook’ episode 1441 .