Yangcheon-gu Recruiting Franchisees for 'Zero Delivery Union,' a Kind Delivery App with Greatly Reduced Fees
Free Entry and Advertising Fees, Delivery Commission Reduced to Below 2%: The Kind 'Zero Delivery Union' Fully Launched from September... Franchisees Save on Delivery Fees, Consumers Get Discounts with Yangcheon Love Gift Certificates!
[Asia Economy Reporter Jongil Park] Yangcheon-gu (Mayor Kim Soo-young) is recruiting franchise stores to join the "Zero Delivery Union," a fair delivery app launching in September.
The Zero Delivery Union is a project launched to provide a private-led delivery order service by lowering intermediary fees through a low-cost structure utilizing Seoul City's Zero Pay infrastructure.
It is a public-private partnership involving Seoul City and private delivery app companies, with 16 delivery apps currently participating, and full-scale service is scheduled to begin in September.
First, the delivery fees borne by franchise stores will be significantly reduced. While existing major delivery platforms charge an average intermediary fee of 6-12%, the Zero Delivery Union has drastically lowered fees to 0-2% or less.
Additionally, when consumers pay using the Yangcheon Love Gift Certificate through the app, the benefits for franchise stores increase. The payment fee, which was around 3% when using existing delivery apps, drops to 0.5% when paying with the Yangcheon Love Gift Certificate.
From the consumer's perspective, purchasing the Yangcheon Love Gift Certificate offers a 7-10% discount, and during the initial service period, an additional 10% discount event will be held, providing up to 17-20% discount benefits.
The participating delivery platforms are Richbeam, Mannaplanet, Meokkebi, Sponge, CCQ Prime, NHN Payco, NK Payments, Weju, Jilgyungi, Special Our Neighborhood, Korea Payment Certification, Honey Bees, KIS Information & Communication, The Mamma, Era of Gourmet, and Vanco, totaling 16.
Any business located in Seoul capable of delivery can participate. Franchise stores wishing to join can visit the Zero Delivery Union website (zeropaydelivery.or.kr), select the desired delivery company, and enter franchise store information. There are no entry or advertising fees. Once the application is complete, the delivery platform company will visit the franchise store directly to set up the Zero Delivery service environment, including POS device integration and menu registration.
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Kim Soo-young, Mayor of Yangcheon-gu, said, "With the recent increase in single-person and dual-income households and the preference for online non-face-to-face transactions due to COVID-19, the use of delivery apps has rapidly increased. Currently, the top three platform companies occupy over 90% of the entire delivery market, increasing the fee burden on franchise stores. The Zero Delivery Union is expected to provide practical help to small business owners by reducing delivery fees directly linked to sales."
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