본문 바로가기
bar_progress

Text Size

Close

The Dark Side of Intensifying Quick Commerce Competition... Two-Wheeler Accidents Up 20% in 3 Years

Barogo Launches 10-Minute Delivery Platform
Establishes Fast Delivery System in Gangnam Area
Yearly Increase in Motorcycle Accidents and Injuries
Frequent Sidewalk Riding... Enforcement Challenges Grow

The Dark Side of Intensifying Quick Commerce Competition... Two-Wheeler Accidents Up 20% in 3 Years

As competition in the quick commerce industry, which prides itself on fast delivery, intensifies, the risk of motorcycle (two-wheeled vehicle) related accidents is increasing. With the launch of a 10-minute delivery service targeting the Gangnam area, consumer expectations are rising, but as the speed race heats up, the safety of drivers and pedestrians is being threatened. Riders (delivery workers) have no choice but to rush in order to earn more income.


The speed war in the delivery industry is becoming increasingly fierce. Recently, Barogo established its own delivery platform called ‘Tengo,’ with the slogan of arriving within 10 minutes. They stock food and daily necessities in a warehouse in Yeoksam-dong, Seoul, and provide fast delivery services when orders come in. Currently, this service is available in parts of Yeoksam-dong and Nonhyeon-dong. The ‘single delivery’ battle between Baedal Minjok and Coupang Eats is ultimately a competition over speed. GS Retail, which acquired the delivery platform Yogiyo, is also expected to enter the quick commerce business by linking convenience stores, supermarkets, and online malls.


The problem lies in the correlation between fast delivery and accidents. In fact, motorcycle-related traffic accidents are steadily increasing. According to the Traffic Accident Analysis System (TAAS) of the Korea Road Traffic Authority on the 26th, the number of motorcycle-caused accidents rose by about 20%, from 17,611 cases in 2018 to 21,258 cases last year. During the same period, the number of injured persons increased by 26%, from 21,621 to 27,348. These statistics refer to cases where the motorcycle driver was the at-fault party and include the total number of injured persons resulting from these accidents, including pedestrians.


The number of traffic accidents where motorcycles were the victims has also been on the rise over the past three years. The number of accidents increased by 17%, from 22,384 in 2018 to 26,315 last year. The number of injured persons in accidents where motorcycle drivers were victims rose by 19%, from 24,820 to 29,519. While not all motorcycle accidents can be linked to delivery competition, most motorcycles seen on the streets are delivery motorcycles.


The Dark Side of Intensifying Quick Commerce Competition... Two-Wheeler Accidents Up 20% in 3 Years [Image source=Yonhap News]

Riders, who earn income on a per-delivery commission basis, are inevitably drawn into competitive speed races. Illegal and reckless driving such as speeding, running red lights, and riding on sidewalks to deliver faster and more frequently is nothing new. Office worker Park (37) said, "Recently, I almost got into an accident because a delivery motorcycle suddenly cut in with a loud roar on the road," and added, "I feel uneasy because motorcycles frequently dart out even in alleyways or on sidewalks." In response, a police official said, "We are cracking down on sidewalk riding to protect pedestrians, but it is difficult to patrol every alley for two-wheeled vehicles, so we are conducting surveillance using cameras."


Sejong City, which had the unfortunate distinction of having the highest number of motorcycle accidents nationwide, achieved significant results last year by operating a public reporting team to catch illegal motorcycle driving. A Sejong City official said, "The public reporting team caught about 3,000 motorcycle violations last year," and added, "As riders became more aware, illegal motorcycle behavior significantly decreased."


Lee Ji-seon, team leader of the Logistics Market and Industrial Innovation Research Team at the Korea Transport Institute, said, "The government is promoting measures such as certifying delivery companies that enhance worker safety under the newly enacted Living Logistics Service Industry Development Act and forming mutual aid associations to reduce riders’ insurance costs," adding, "These efforts should be combined with private sector initiatives, such as providing helmets and protective gear and conducting education to raise awareness about traffic safety."


© The Asia Business Daily(www.asiae.co.kr). All rights reserved.

Special Coverage


Join us on social!

Top