Delivery Hero "Responding to Fair Trade Commission Sanctions Through Careful and Thorough Deliberation"

[Asia Economy Reporter Kim Cheol-hyun] Delivery Hero Korea announced on the 2nd that it will confirm the specific details through a formal decision document regarding the sanctions imposed by the Fair Trade Commission related to the lowest price guarantee system operated until 2016, and will decide its position through careful and thorough discussions. On the same day, the Fair Trade Commission announced that it decided to impose a corrective order and a fine of 468 million KRW on the delivery app 'Yogiyo' for implementing a lowest price guarantee system that prohibited delivery restaurants from selling at prices cheaper than those on its app via direct phone orders or other delivery apps, and for imposing disadvantages such as contract termination if the restaurants violated this policy.

According to Delivery Hero Korea, the lowest price guarantee system was a consumer protection measure implemented from 2013, when delivery apps were in their early stages and Yogiyo service was launched, until 2016. It was a program operated to prevent consumer disadvantages caused by price discrimination and to improve the user experience of delivery apps. Delivery Hero discontinued this policy after the Fair Trade Commission's investigation began in 2016. Delivery Hero stated, "We deeply regret the outcome despite having sincerely participated in the Fair Trade Commission's investigation and adjudication process, which lasted over three years, and having clarified our position."

Furthermore, Delivery Hero said, "It is difficult to state our position as we have not yet received the formal decision document regarding the subsequent procedures," and added, "We will confirm the specific details through the decision document and decide through careful and thorough discussions." A Delivery Hero representative emphasized, "We will continue to make every effort to ensure thoroughness and prudence in overall operations going forward."

This content was produced with the assistance of AI translation services.