Expansion of Contactless Dining Discounts to In-Person Dining
Excluding Performance of Food Service Businesses in Entertainment Bars, Department Stores, and Shopping Malls
On the 26th, ahead of the transition to the phased daily recovery (With Corona) quarantine system, the streets of Myeongdong, Seoul, were bustling with citizens looking to have lunch. Photo by Hyunmin Kim kimhyun81@
[Sejong=Asia Economy Reporter Moon Chaeseok] The government has decided to expand the dining discount support program, which had been conducted non-face-to-face, to include face-to-face transactions.
On the 26th, the Ministry of Agriculture, Food and Rural Affairs announced, "The dining discount support program will be gradually resumed to include face-to-face transactions in line with the phased recovery of daily life." A remaining budget of 18 billion KRW has been allocated to the program. Refunds will be given on a first-come, first-served basis, and the program will end once the budget is exhausted.
The dining discount support is carried out by verifying dining records either through visits to dining establishments or via delivery apps, confirmed by credit card companies or local governments issuing regional currency, and then refunding the amount.
Specifically, the eligible dining establishments are those classified under "Restaurants and Bars" according to the Korean Standard Industrial Classification, excluding entertainment bars, in-house restaurants, and catering services. Dining establishments located in department stores, large discount stores, and shopping malls are also excluded if they are commission-based stores, as it is difficult to verify sales related to dining.
The participating delivery apps include 22 companies, combining public and private providers. Regional currencies will be used in 76 local governments, including all 25 districts of Seoul and Incheon City. The applications and accumulated performance of existing credit card program participants (7.93 million people) will continue to apply to this program. Regional currency users must apply anew to participate in the program.
For new participants using credit cards or regional currency, after applying first on the participating card company’s or regional currency’s website or app, if they visit dining establishments or order and pay at least 20,000 KRW (final payment amount) four times in total using the applied card or regional currency through participating delivery apps, they can receive a 10,000 KRW refund or billing discount from the card company next month (regional currency users receive a refund).
Performance is recognized up to twice per day per card company or regional currency, and simple payments are recognized only if linked to the applied card.
An official from the Ministry of Agriculture, Food and Rural Affairs said, "Thanks to the public’s great interest and participation in the dining discount support program so far, it has greatly helped the recovery of sales in the dining industry," adding, "Since the scope of the program is expanding to include face-to-face transactions, the budget is expected to be used up quickly."
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