Delivery Fee Increase Followed by Hair Salons and Academies... Common People's Wallets Are Being Emptied
Shopping Cart Prices and Gasoline Costs Rise, Service Fees Surge Over 20%
"With the prices of ingredients, daily necessities, and even fuel costs all rising, now essential living services have also increased, causing a significant rise in living expenses. The costs for my children's academy fees, hair salon visits, and even the delivery fees for food we often order have been steadily increasing, adding to the burden. When I add everything up, I have to spend about 1,000,000 won more per month on living expenses, which worries me." (Kim Young-eun, Mapo-gu)
On the 20th, a sandwich shop located in Seocho-gu, Seoul raised its delivery fee (delivery tip) for orders through delivery applications from 2,900 won to 4,000 won. Although the delivery agency had been continuously increasing the call fee this year, the shop owner refrained from raising the delivery fee out of concern for losing customers. However, due to the continuous rise in prices of main ingredients such as bread, milk, eggs, and mayonnaise, they could no longer bear the cost. Lee Seung-young (32), a regular customer of this shop, said, "The owner complains that the agency's call fee will increase again from the 1st of next month, but from a consumer's perspective, the delivery fee has doubled from the 2,000 won range to 4,000 won, so I tend to order less or pick up the food myself as much as possible."
As inflation spreads across food, clothing, and shelter, the costs of services directly related to daily life such as dining out, food delivery, hair and beauty services, and academy fees are also rising sharply.
Jo Kyung-eun (45), a parent in Daechi-dong, said, "This spring, the tuition fees for my younger elementary school child’s Taekwondo and piano academies each increased by 10,000 to 20,000 won. Now, in the second semester, the academies for major subjects like Korean, English, and Math that my middle school child attends are charging additional fees for tests and textbooks, effectively increasing the tuition by more than 50,000 won. Since children usually attend two to three academies, the tuition fees per child seem to have increased by about 100,000 won."
Kim Kyung-soo (24), a university student, said, "When I stopped by a hair salon near school, the haircut price, which was 17,000 won this spring, increased to 19,000 won. The stylist added a new title and demanded 21,000 won. Although the number of customers may have decreased due to COVID-19, it seems they don’t consider students’ financial situations."
While there are differences depending on the type of service, most have increased by at least 20%.
Experts point out that the government’s disaster relief fund policies have significantly influenced the widespread price increases. Each time disaster relief funds were distributed last year and this year, living costs fluctuated. Experts warn that as consumption shows signs of recovery with the transition to the With-Corona era, rapid inflation could again suppress consumption and hinder economic circulation.
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Professor Lee Eun-hee of Inha University (Department of Consumer Studies) said, "The government has implemented policies to inject money into consumers to revive consumption that was depressed by COVID-19, but this has ultimately driven prices up. It is now necessary to identify the factors that force suppliers (self-employed) to raise prices and to find ways to restrain or minimize price increases, showing interest and providing support."
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