"Capturing Dinner Table Demand"... Expanding the Dawn Delivery Sector
Oasis Starts 'Same-Day Delivery' Until 11 PM
Dawn Delivery and Same-Day Delivery Dual System... Expanding Customer Touchpoints
Kurly Also Considering Expanding Lunch Orders with Evening Delivery
Dawn delivery companies are expanding their services beyond overnight delivery to include same-day delivery. This move aims to attract demand for evening meals after work and for preparing breakfast and lunchboxes for the next day during the night.
According to the distribution industry on the 7th, Oasis Market started 'same-day delivery' on the 1st of this month. Previously, they conducted weekly deliveries at various time slots as tests, but now they have standardized the method so that orders placed by 5 p.m. can be received before 11 p.m. An Oasis Market representative explained, "Since mid-2021, we experimented with various daytime delivery time slots such as 2 p.m. and 6 p.m. deliveries. As a result, we determined that receiving orders placed by 5 p.m. on the same night is the most suitable in terms of customer satisfaction and delivery efficiency, so we officially introduced it this month." Same-day delivery is conducted mainly through nearby offline stores, focusing on Oasis Market store products, and is limited to areas such as Seoul where service area stores are densely located.
The dual system of dawn delivery and same-day delivery is the key point. By setting the delivery cycle twice a day more precisely, they aim to broaden customer choices and increase utilization by time slot, thereby expanding the user base. The main dawn delivery service is also expanding its coverage area. Oasis Market has expanded its delivery area to Sejong City starting this month. Dawn delivery allows customers to receive ordered items by 7 a.m. the next day if payment is made by 11 p.m. The Sejong delivery is carried out from the Uiwang Smart Fulfillment Center operated by Oasis Market.
'Oasis Alpha,' created in collaboration with KT Alpha, plans to launch the On-Air Delivery beta service by the end of the year. On-Air Delivery refers to a service that delivers products ordered by consumers immediately during live commerce broadcasts. On-Air Delivery will be conducted using the Uiwang Fulfillment Center and Oasis offline stores.
An Oasis Market representative said, "The number of daily deliveries is steadily increasing, breaking records one after another," and added, "We will actively expand our customer base through the introduction of same-day delivery." Oasis Market's operating profit for the second quarter recorded 3.8 billion KRW, a 39% increase compared to the same period last year, marking the highest performance for a second quarter. The operating profit for the first half of this year was 4.7 billion KRW. During the same period, sales also grew by 12% year-on-year to 115.9 billion KRW, setting a quarterly sales record. The cumulative sales amount reached 230 billion KRW.
Kim Seul-ah, CEO of Kurly, is speaking at the '2023 Kurly Food Festa'
[Photo by Kurly].
Kurly also plans to broaden customer touchpoints by trying various delivery methods beyond its Dawn Delivery (Saetbyeol Delivery). Kurly conducted two pilot runs of an evening delivery service called 'What to Eat Tonight' in June. This service delivers ingredients between 3 p.m. and 6 p.m. if customers order the menu introduced during a live broadcast held for one hour starting at 11 a.m. by 1 p.m. To provide this service, Kurly collaborated with the same-day specialist company 'Chainlogis.' They are currently reviewing the possibility of resuming the service.
Chorokmaeul, an organic food specialist operated by Jeongyookgak, has also been offering evening delivery since July. Among approximately 380 Chorokmaeul stores nationwide, 317 participate in online same-day delivery.
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An industry insider from the dawn delivery sector said, "By leveraging delivery capabilities once more based on overnight delivery and moving into same-day delivery, companies are laying the groundwork to expand their customer base," adding, "Both Oasis Market and Kurly are considering going public, so the competition to enhance delivery convenience to increase customer loyalty will continue."
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