Franchise headquarters affiliated with the Korea Franchise Industry Association have decided to report delivery apps that raised their commission fees to the Fair Trade Commission on charges of violating the Fair Trade Act.
On the 6th, the Franchise Industry Association announced on the 8th that it held the "Emergency Countermeasures Committee Inauguration Ceremony for the Franchise Delivery App Incident" at the Franchise Industry Association meeting room in Gangseo-gu, Seoul, and made this decision.
The emergency committee defined the commission fee hikes by delivery apps as unfair trade practices by monopolistic businesses and decided to formally report the three delivery apps?Baemin, Coupang Eats, and Yogiyo?to the Fair Trade Commission for violating the Fair Trade Act.
Last month, Baemin raised the commission rate for Baemin1 Plus (Baemin Delivery) to 9.8%, an increase of 3 percentage points from before.
The commission rates for Coupang Eats and Yogiyo are similarly 9.8% and 9.7%, respectively.
The emergency committee plans to hold monthly general meetings and occasional subcommittee meetings to devise response measures.
Nam Myung-seok, chairman of the emergency committee, said, "The three delivery apps have passed all costs incurred from this year's free delivery competition onto franchise stores, devastating related industries with high delivery proportions such as chicken, pizza, and jokbal. We will do our best to activate the emergency committee so that more brands can participate together."
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