Baemin’s "Time Sale" Off to a Slow Start amid Off-Season Slump

Slight Decline in Baemin MAU Last Month
Off-Peak Season Outweighs Promotional Impact

The new "Time Sale" service, which Baedal Minjok (Baemin) strategically launched last month, has yet to yield notable results in the market. Starting in early April, Baemin partnered with popular dining franchise brands to offer limited-time discounts through the Time Sale program. This was a bold move aimed at driving orders from first-time users or those returning after a long absence, with the goal of generating new consumption in the saturated food delivery market. However, the number of Baemin users actually declined last month.

According to Mobile Index, operated by data platform company IGAWorks, Baemin’s monthly active users (MAU) in April reached 23.41 million. This represents a decrease of about 680,000 users, or 2.8%, compared to the previous month. Coupang Eats, the market’s second-largest player, also saw a decrease of 390,000 users, a 2.9% drop. In the industry, April—when spring is in full swing—is considered an off-peak season for delivery orders. Baemin also experienced a decline of approximately 460,000 users in April last year compared to the previous month.

The focus this time was whether Baemin’s new promotional strategy, the Time Sale, would gain traction in the market. From April 1, Baemin launched the Time Sale in Seoul, involving popular franchise brands such as chicken, pizza, fast food, and jokbal. The discount is automatically displayed for just 15 minutes and can be used at stores that users are either trying for the first time or have not ordered from in the past three months. A total of 18 franchise brands participated, including Mexicana, BBQ, Cheogatjip Yangnyeom Chicken, Pizza Hut, No More Pizza, Pizza Alvolo, Burger King, KFC, Shake Shack, Isaac Toast, Mawang Jokbal, Dujjim, Hong Kong Banjum 0410, Yukchili, Paris Baguette, Selleria, Yoajeong, and Yogurt World.

Baemin expected this strategy to attract new customers and boost purchase conversion rates. Participating businesses were also anticipated to benefit from acquiring new customers and encouraging dormant customers to return. Although the program was only piloted in Seoul, the initial results following the launch of the Time Sale strategy fell short of these expectations. The number of participating business owners also declined. The MAU for "Baemin Owner," the management app used by Baemin merchants, was about 311,000 last month, down by roughly 6,000 from the previous month.

However, the market believes that if the Time Sale service expands nationwide and more brands participate, it could deliver benefits to both customers and merchants. Baemin is planning to gradually expand the service area so that Time Sale can be available at all stores nationwide. An industry official said, "Since Time Sale is a market expansion strategy to encourage new orders and is still in its early stages, we need to continue monitoring the expansion of service areas and other developments."

Meanwhile, the public delivery app Ddaenggyeoyo also recorded an MAU of 2.28 million last month, with a decrease of 270,000 users compared to the previous month. After hitting 3.55 million users in December last year, the app has seen its user base decline for four consecutive months. The increase in users due to the "Livelihood Recovery Consumption Coupon" effect seems to be fading. The industry is now watching closely to see whether the app can rebound thanks to the renewed effect of high oil price support funds.

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