Coupang wants to be the go-to place for phone purchases

An advertisement for Coupang's Rocket Mobile service. [COUPANG]

Coupang is entering the mobile phone dealership business, the company announced Wednesday, a first for online retailers.

Now customers can purchase devices and select phone plans by mobile operators using Coupang’s Rocket Mobile service.

Previously, customers could buy devices on Coupang but had to go to mobile operator stores to activate them.

Two telecommunication companies, KT and LG U+, are teaming up with Coupang. The company said it is still in discussions with the third, SK Telecom.

The e-commerce giant’s smartphone business will likely generate some cash flow for the company considering that Koreans buy new smartphones on average every 31 months, according to data from the Korea Internet & Security Agency.

The company is offering various promotions to rope in customers. Users of the Rocket Mobile service can receive same-day or next-day delivery of devices. It also plans to offer trade-in rewards for customers who return old devices.

A customer service center will be staffed with professional counselors to help customers go through the entire process.

“Our Rocket Mobile service aims to give a convenient and easy smartphone shopping experience to customers,” said James B.H. Lee, vice president of brand management at Coupang.

BY KANG JAE-EUN [kang.jaeeun@joongang.co.kr]