SEOUL, Jan. 2 (Korea Bizwire) — CJ Logistics, South Korea’s leading courier company, will begin offering seven-day delivery services starting January 5, 2025, a move expected to heighten competition in the nation’s e-commerce market.
Previously, consumers faced delivery restrictions on Sundays and holidays, totaling about 70 non-delivery days per year. Only Coupang, with its proprietary logistics system, could bypass these limitations. CJ Logistics’ new service will enable e-commerce businesses to offer daily delivery without the need for their own logistics infrastructure.
Industry Support and Labor Agreement
The decision follows internal demand surveys conducted by CJ Logistics, revealing strong support from major clients, particularly in home shopping and food sectors. To implement the service, CJ Logistics negotiated with its delivery workers, agreeing to introduce a five-day workweek without income reduction.
This was formalized in a provisional agreement with the CJ Logistics branch of the National Delivery Workers’ Union after 10 rounds of talks from September 2024 to November 2024. The agreement was overwhelmingly approved by 94.3% of union members.
Service Coverage and Exceptions
Initially, seven-day delivery will be limited to densely populated urban areas, excluding rural regions with lower delivery demand. The service will not operate during major holidays, including a three-day break for Lunar New Year and Chuseok, as well as other designated “courier rest days.”
Strategic Expansion
CJ Logistics plans to promote the new service through events and promotions targeting e-commerce vendors and consumers. The company also indicated that nationwide coverage could follow once the service stabilizes and delivery volumes increase.
This expansion is expected to reshape the competitive dynamics of South Korea’s logistics and e-commerce sectors, offering more flexibility to online retailers and greater convenience to consumers.
Ashley Song (ashley@koreabizwire.com)