- 6th Meeting of the Delivery Platform-Entry Company Coexistence Council Held
- Entry companies communicated four main demands: ➊ alleviation of commission burdens, ➋ improvements in receipt display, ➌ cessation of best price demands, and ➍ sharing of delivery driver location information.
- Additional topics such as activating public delivery apps and other related issues were discussed for final feedback.
The Delivery Platform-Entry Company Coexistence Council (hereafter referred to as the 'Coexistence Council' / Chair: Professor Lee Jeong-hee) held its 6th meeting on Tuesday, October 8, 2024, from 14:30 to 17:00.
◈ Date: October 8, 2024 (Tuesday) 14:30 - 17:00
◈ Location: Shinhan Bank Headquarters, 15th-floor Meeting Room
◈ Attendees:
- (Delivery Platforms) Baedal Minjok, Coupang Eats, Yogiyo, Ddaenggyeo
- (Entry Companies) Korea Federation of Small Business, Korea Restaurant Association, National Franchisees' Council, National Merchants' Association
- (Public Interest Representatives) Chair Professor Lee Jeong-hee (Department of Economics, Chung-Ang University), Secretary General Lee Jeong-soo (Korea Consumer Agency), Deputy Director Lee Dong-joo (Small and Medium Business Administration Research Institute), Professor Jeong Yu-kyung (Sejong University, College of Hotel and Tourism)
- (Special Representatives) Fair Trade Commission of Korea, Ministry of Economy and Finance, Ministry of Agriculture, Food and Rural Affairs, Ministry of SMEs and Startups
During today’s meeting, comprehensive discussions were held regarding the entry companies’ primary demands and the organization of other related issues.
The entry companies presented four main demands: ▲ measures to alleviate burdens such as commissions, ▲ the inclusion of entry company burden items (commissions and delivery fees) on consumer receipts, ▲ cessation of best price demands, and ▲ sharing of delivery driver location information. The platform representatives explained their stance on these demands.
Meanwhile, the government summarized other issues related to transparency and commission burdens that had been discussed in the Coexistence Council and solicited final opinions from both sides. They examined measures to establish a foundation for continuous communication among stakeholders and discussed voluntary cooperation plans for platform companies, including joint growth assessments. Additionally, they conferred on strategies to improve the monopolistic structure of the delivery platform market through the promotion of public delivery apps.
As discussions in the Coexistence Council approach their conclusion, a 7th meeting will be held on October 14, one week later, for final adjustments based on past discussions. Following further consultations, discussions will be expedited for resolution. If both the delivery platforms and entry companies reach an agreement, the details will be announced as coexistence measures. If disagreements remain unresolved, the public interest representatives will propose a mediation plan, which the delivery platforms are expected to accept; if they do not, the mediation plan will be presented as a recommendation.
The government is closely monitoring the market situation, including the conflict over commissions between delivery platforms and entry companies, and will actively support the development of coexistence measures among small business owners, consumers, and delivery platforms by the end of October.