[Essential checklist before joining the Coupang Eats site]
Hello, this is Oolong.
Today, we are uploading information about Coupang Eats, a popular delivery platform these days, for business owners who want to open a store.
These days, people working in the food industry, such as restaurants or cafes, often have to use delivery platforms as a necessity.
While delivery platforms such as Baedal Minjok and Yogiyo are competing, a delivery platform called ‘Coupang Eats’ has been created with the title of ‘delivering only one household at a time’.
If a delivery person stops by several households at once, the food may get cold due to the long delivery time.
To compensate for these shortcomings, Coupang Eats has implemented a system that unconditionally delivers only one piece of furniture quickly.
Source: Coupang Eats website
Thanks to the advantage of ‘fast delivery’, many customers prefer it.
For this reason, restaurant business owners also showed a lot of interest in opening Coupang Eats stores.
However, if you use Coupang Eats blindly without calculating delivery fees or usage fees, it may result in operating at a loss.
In order to prepare for unexpected events, we recommend that you check the following items before opening a store at Coupang Eats and decide whether or not to open a store.
index
Coupang Eats Basic System
Preparation before entering a Coupang Eats store
How to enter a Coupang Eats store
delivery fee
order brokerage fee
Card fees and payment usage fees
VAT on all fees
1. Coupang Eats Basic System
Coupang Eats operates on the principle of 1:1 delivery, with each delivery person delivering only one house (food).
When I actually used it, it took about 20 minutes. It is faster than other delivery platforms, which took about 40 minutes on average.
This has a great advantage in that it can increase customer satisfaction by receiving food quickly.
Stores within a 4km radius of the delivery address will be exposed, and more than one brand of the same brand may be exposed depending on the delivery address.
Store exposure ranking selection criteria: customer-business distance, star rating, average order acceptance time, order acceptance rate, cancellation rate, average cooking time, number of missed orders, menu price, etc.
Required checklist before joining the Coupang Eats site
2. Preparation before entering a Coupang Eats store
In order to open a Coupang Eats store, you must meet several basic requirements, including required documents and menu composition.
When you try to apply for a store, if you do not have the documents ready, you will have no choice but to prepare them in a hurry, so we recommend that you check them in advance.
Required documents: business registration certificate, copy of bankbook, business report
Business conditions: food, food service industry, instant sales manufacturing-processor
Menu composition: Main menu and side menu composition, country of origin information, beverage capacity information confirmation, etc.
Is the packaging container ready?
Is there a POS machine or mobile device available to accept orders?
3. How to enter a Coupang Eats store
Once you have completed your preparations in advance, you can apply to enter the store.
There are three ways to inquire about applying to open a store.
Please check and choose the method that is convenient for you.
Customer Center for inquiries about opening a Coupang Eats store: 1600-9827
Coupang Eats President Portal: store.coupangeats.com
KakaoTalk Channel: Search for ‘Coupang Eats Store’ in KakaoTalk friend search
Required checklist before joining the Coupang Eats site
4. Delivery fee
Coupang Eats’s principle is 1:1 delivery, so the commission is a bit more expensive than other delivery platforms.
For this reason, we recommend that you consider the unit price and margin rate of the food sold before deciding whether or not to use Coupang Eats.
KRW 5,000 (fixed) within a range of 4km: The delivery fee is fixed at KRW 5,000, which can be shared with the customer.
Value-added tax for customer delivery fee: If the delivery fee is divided into 3,000 won for the business owner and 2,000 won for the customer, the business owner must pay 182 won in value-added tax for the 2,000 won paid by the customer. Therefore, the business owner must pay a total fee of 3,182 won to Coupang Eats, and Coupang Eats settles the 2,000 won borne by the customer.
5. Order Brokerage Fee
Coupang Eats must pay an additional order brokerage fee separate from the delivery fee provided to the delivery person.
The order brokerage fee is charged regardless of the order amount, and the amount is fixed.
Coupang Eats order brokerage fee: KRW 1,000
Required checklist before joining the Coupang Eats site
6. Card fees and payment usage fees
Delivery platforms such as Coupang Eats mainly use credit card payments.
In this case, card fees and payment usage fees will be charged.
Card fee & payment usage fee: Order amount x 3%
Example) When paying for an order of 50,000 won, 3%, or 1,500 won, is paid as a commission.
7. VAT on all fees
The unfortunate reality is that fees and value-added taxes continue to increase.
All fees incurred in steps 4-6 will be settled after VAT is added separately.
● Example) Calculating the amount settled when selling food worth 50,000 won, including the delivery fee (2,000 won borne by the customer)
Delivery fee: 5,000 won
Customer delivery fee VAT: 182 won
Brokerage fee: 1,000 won
Brokerage fee VAT: 91 won
Card fee: 1,500 won
Card fee surcharge: 136 won
>> Fee and VAT total 7,909 won
>>> Order amount 50,000 won – 7,909 won = 42,091 won
When all fees and VAT were deducted, the total amount that could be settled from Coupang Eats was calculated to be 42,091 won.
Up to this point, we have compiled a checklist of things you need to know before signing up for the Coupang Eats site.
After summarizing it this way, it seems that higher-than-expected fees are a burden on store owners.
I think you should definitely check the price of the food before using it.
In addition, delivery platforms may incur surcharges depending on the monthly management fee paid to the rider company, weather, distance, and time of day, so please be sure to keep this in mind.