Last Year, 'Untact Delivery' Increased More Than 10 Times Due to COVID-19

Mesh Korea Announces 'Boorung Report' on Delivery Trends Changed by COVID-19

[Asia Economy Reporter Kim Cheol-hyun] Last year, 'untact delivery,' where packages are left at the doorstep, increased more than tenfold due to COVID-19. Mesh Korea (CEO Yoo Jung-beom), which operates 'Booroong,' announced the 'Booroong Report' on the 15th, revealing delivery trends changed by COVID-19.

Based on last year's delivery data, Mesh Korea analyzed that domestic consumers' delivery trends significantly changed due to COVID-19. According to the report, contactless (untact) delivery requested to leave packages at the door and evening deliveries after 7 PM increased, and delivery categories diversified to include health, beauty, and clothing. The total number of orders and riders in 2020 also showed a sharp increase.

The most noticeable change was 'doorstep delivery.' Analyzing big data indicators from Mesh Korea's Data Science Office, contactless delivery requests to 'leave it at the door' increased by an astonishing 11.5 times compared to the previous year. The convenience of using mobile payment applications from card companies rather than paying directly to delivery drivers on-site also contributed to this phenomenon.

Orders for essential daily items and everyday goods in categories such as health, beauty, clothing, and miscellaneous goods increased fourfold compared to the previous year, showing diversification in delivery product categories. This appears to be due to contactless lifestyles becoming a part of daily life, increasing the proportion of purchasing various essentials online, and the widespread adoption of fast delivery services by companies.

Changes in delivery data were also observed following government quarantine measures restricting restaurant operations in Seoul and the metropolitan area. Since September 7 last year, when social distancing level 2.5 was extended, evening deliveries after 7 PM increased by about 15% compared to normal times. After the second business restriction measures in November, when COVID-19 cases in the metropolitan area surged explosively, evening deliveries after 7 PM increased by approximately 30% compared to normal times.

Mesh Korea also released data analysis results on the number of orders and delivery riders changed after COVID-19. The total order volume in 2020 increased by 57% compared to 2019, and the number of riders registered in the Booroong system who completed at least one delivery within the year increased by 24%.

Rider numbers in local metropolitan governments showed explosive growth, with Gangwon-do increasing by 113%, Jeollabuk-do by 103%, Jeollanam-do by 85%, and Gyeongsangbuk-do by 70%. Total order numbers also increased by 82% in Gangwon-do, 337% in Jeollabuk-do, 114% in Jeollanam-do, and 119% in Gyeongsangbuk-do. This is analyzed as an expansion of delivery infrastructure nationwide due to increased delivery demand across the country.

Yoo Jung-beom, CEO of Mesh Korea, said, "In the post-COVID era, the most important thing is to read the changes of the times and follow the flow through thorough big data analysis," adding, "Mesh Korea will continue to strengthen customized delivery services that can predict and respond to consumer demand."