Curly Nextmile "Triple Expansion of Third-Party Delivery Scale This Year"

Curly Delivery Subsidiary Renamed 'Curly Nextmile'... Hiring Experts
Delivery Productivity Improved by 83% Based on Economies of Scale
"Will Spread Dawn Delivery Tech Infrastructure Across the Industry"

[Asia Economy Reporter Yuri Kim] Kurly is changing the name of its delivery solution subsidiary, Fresh Solution, to Kurly Nextmile and is embarking on a full-scale expansion of its logistics business. To this end, it is also conducting large-scale recruitment of experts in various fields. Nextmile signifies the intention to lead innovation in the future logistics market through tech-based delivery solutions.

Nextmile is currently a subsidiary of Kurly responsible for the metropolitan area, Busan, and Ulsan regions of Market Kurly's dawn delivery service. It is also partially engaged in the 'third-party delivery (3PL) business,' which handles deliveries for companies other than Kurly. With this name change as a turning point, the plan is to expand the number of 3PL client companies, currently about 40, by more than three times within this year. The goal is to provide companies requiring fresh dawn delivery with a delivery solution that reduces cost burdens while maintaining high quality.

Kurly stated that Nextmile possesses the only and largest fresh food full cold chain competitiveness in Korea. It conducts refrigerated delivery for all vehicles and has about 3.5 times more delivery hubs (TC) equipped with low-temperature facilities compared to the average of other dawn delivery companies. Its competitive edge includes demand forecasting using machine learning, dispatch automation through a delivery management system (TMS), and the establishment and advancement of data infrastructure and systems to minimize misdeliveries and delayed deliveries.

This is attributed to the 'economies of scale' achieved by Nextmile. Continuous investment in data, logistics centers, and delivery vehicles has led to an increase in volume, which in turn has resulted in growth in delivery productivity indicators showing the number of deliveries per driver. As of March, Nextmile's delivery productivity increased by 83% compared to January 2020.

Nextmile's delivery area is also expected to expand further, supported by Kurly's business growth. On the 13th, Kurly signed a business agreement with Changwon City, Gyeongnam Province, for the construction and operation of a new logistics center. According to this agreement, when the Kurly logistics center is established in the Doodong district of the Busan-Jinhae Free Economic Zone in December 2023, Nextmile's dawn delivery area will also expand.

As the business fields and areas continue to grow, Nextmile is currently conducting large-scale recruitment of experts. It plans to select a triple-digit number of personnel in fields such as delivery planning, operational improvement, and 3PL sales.

Meanwhile, Nextmile was established when Kurly's delivery business division spun off as a subsidiary in February 2019. In September of the same year, it obtained a courier transport business license. In September last year, together with Kurly, it conducted a large-scale hiring of direct delivery drivers called 'Dawn Crew,' creating an effect of directly employing about 500 people.

Song Seunghwan, CEO of Kurly Nextmile, said, "Nextmile is a company with the largest cold chain delivery system in Korea and ultra-competitive efficient operational capabilities based on technology," adding, "As the market leader, we will actively expand our business so that the advanced infrastructure of dawn delivery can spread throughout the related industry."

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