CU partners with Naver for 1-hour delivery

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CU partners with Naver for 1-hour delivery

Convenience store chain CU will join Naver's one-hour delivery service, called Now Delivery, its operator BGF Retail said May 15. [BGF RETAIL]

Convenience store chain CU will join Naver's one-hour delivery service, called Now Delivery, its operator BGF Retail said May 15. [BGF RETAIL]

 
Convenience store chain CU has partnered with Naver to launch a one-hour delivery service, throwing down the gauntlet to online retail heavyweight Coupang in Korea’s fast-growing quick commerce sector.
 
The move marks the first time a convenience store operator has joined Naver’s Now Delivery service, part of the Naver Plus Store platform.
 

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Customers can now order daily necessities and food products through the Naver Plus Store app or website and receive them — through pickup or delivery — in about an hour, CU operator BGF Retail said Thursday.
 
The service operates between 11 a.m. and 11 p.m. and covers CU stores within a 1.5-kilometer (1-mile) radius of the customer's set address. Orders must exceed 10,000 won ($7), with a delivery fee of 3,000 won. As part of a launch promotion, orders over 20,000 won qualify for a 3,000 won discount coupon.
 
To support the service, Naver has rebranded its existing “Shopping Cart” menu on the platform as “Now Delivery” and added convenience store products to its offerings, which already included items from neighborhood supermarkets, large retailers and department stores.
 
Users can now order from a selection of 3,000 items, ranging from ready-to-eat meals and desserts to household goods, alcoholic beverages, ice and instant coffee.
 
Naver's Now Delivery service is available through its app or website. [NAVER]

Naver's Now Delivery service is available through its app or website. [NAVER]

 
Unlike Naver’s other delivery services, which rely on logistics partners such as CJ Logistics under the Naver Fulfillment Alliance agreement, Now Delivery uses each store’s own delivery networks.
 
CU will work with delivery service providers such as Vroong to fulfill orders. The company plans to expand the service from the initial 3,000 locations to 4,000 by the end of this month.
 
The convenience store will roll out a "Search Nearby” feature to help users locate the closest participating store in June, CU said.
 
Industry observers say the partnership reflects a convergence of strategic interests.
 
While Naver lacks dedicated logistics centers like Coupang, it has sought to enhance delivery speed by collaborating with logistics firms.
 
In March, Naver launched an AI-powered shopping app and reorganized its logistics service to prioritize “Today Delivery,” which guarantees same-day delivery for orders placed before 11 a.m.
 
CU, for its part, has steadily expanded its quick commerce footprint since 2019 through partnerships with around 10 major delivery platforms including Yogiyo, Baemin and Happy Order.
 
CU’s revenue from delivery app sales surged 64 percent in 2022, 98.6 percent in 2023 and 142.8 percent in 2024.
 
The company is also upgrading its parcel services. In April, it became the first convenience store operator to introduce next-day guaranteed parcel delivery through a tie-up with Dilly Box Central.
 
“Same-day delivery is emerging as a key competitive edge,” said one industry insider. “We expect competition for faster deliveries to intensify further.”


Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff.
BY HWANG SOO-YEON [[email protected]]
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