Coupang Taiwanese Export SMEs Surpass 12,000 in One Year

K-Food, Beauty, Household Items... Category Expansion
Rapid Growth Through 'One-Stop' Coupang Exports

It has been revealed that the number of small and medium-sized enterprises (SMEs) exporting products locally through Coupang, which entered Taiwan just one year ago, has exceeded 12,000. Despite the triple challenges of declining exports due to the slowdown in the Chinese economy, a saturated domestic market, and global inflation, the number of SMEs finding growth momentum through Coupang’s entry into Taiwan has increased.

Products sold by Coupang in Taiwan are being transported via flights bound for Taiwan
[Photo by Coupang].

Coupang announced on the 11th that since launching Rocket Direct Purchase and Rocket Delivery in Taiwan last October, the number of SMEs entering Taiwan through Coupang surpassed 12,000 as of the end of September this year. According to Statistics Korea, the number of domestic consumer goods SMEs that exported last year was 42,592, meaning that the number of SMEs entering Taiwan through Coupang accounts for about 28% of the total. In other words, 3 out of 10 Korean consumer goods exporting SMEs export through Coupang.

Coupang has gained popularity by transplanting its proven fast Rocket Delivery model from Korea to Taiwan. Unlike other direct purchase companies that typically take three weeks for delivery, Rocket Direct Purchase offers free next-day delivery on the first flight to Taiwan for purchases over 690 New Taiwan Dollars (approximately 28,800 KRW), and local Rocket Delivery provides free next-day delivery for purchases over 195 New Taiwan Dollars (approximately 8,150 KRW). As the product categories sold in Taiwan have expanded within a year to include beauty, fashion, household goods, kitchenware, electronics, and baby products, the export range of SMEs has broadened. The Coupang application has ranked number one in shopping app downloads in Taiwan since the second quarter.

Currently, 70% of the products sold in Taiwan are from Korean SMEs. As exports through Coupang increase, the volume of exports to Taiwan has been on the rise this year. Coupang explained that while SMEs previously had to invest effort in local hiring, establishing corporations, and sales to achieve exports, through Coupang Taiwan, companies no longer need to fight individual battles for exports as Coupang handles customs clearance, inventory management, Rocket Delivery, and customer service.

Barugo Cosmetic, a gel nail product manufacturer in Seongnam-si, Gyeonggi Province, said that costly participation in local fairs and sales based on 'gwanxi (relationships)' are no longer necessary, and that sales in Taiwan have increased about 70 times this year compared to last year.

As Coupang’s entry into Taiwan yields results, SMEs are accelerating their overseas expansion by reinforcing their own export personnel and production facilities. Baby wet wipes company 'Sunsu Korea' said, "Recently, Coupang Taiwan sales have reached 50% of the company’s total exports," and added, "We have invested 1 billion KRW in Taiwan export personnel and new production facilities." Kombucha manufacturing SME 'Tizen' also reported that Coupang Taiwan sales have increased tenfold compared to last year and plans to invest 1 billion KRW in Taiwan exports over the next three years, including workforce expansion.

The increase in exports by consumer goods SMEs facing many difficulties in overseas expansion, and the rare case of a large number of SMEs entering overseas markets in a short period through a single distribution company, make Coupang’s entry into Taiwan encouraging. Seongmin Jeon, a professor at Gachon University’s Department of Business Administration, said, "Coupang’s exports to Taiwan are becoming a new channel development alternative for many consumer SMEs whose overseas expansion has stagnated."

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