How could the rise of delivery apps affect Daiso's market position in Korea?
Intensified delivery competition may challenge Daiso's market share in Korea The emergence of delivery apps like Baemin and Coupang Eats is intensifying competition in the Korean beauty sector, which already features Daiso as a challenger. These apps are gaining ground by offering significantly faster delivery times—around 30 minutes—and lower prices, often by sourcing surplus or near-expiry stock. This shift in consumer expectations and competitive dynamics puts pressure on all retailers in the market, including Daiso, which is actively competing for market share alongside Olive Young.
- Effect
- Mild negative
- How direct
- 3 steps, 1 inferred by Brind
- When
- Within weeks
- The story
- Still developing
How it reaches Daiso
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Delivery applications are emerging as a competitive force against Olive Young in the beauty sector of Korea. Baemin launched Off Beauty, a warehouse-style outlet that delivers products in about half an hour from 30 stores. Off Beauty keeps prices low by purchasing surplus and near-expiry products directly from manufacturers, and it also operates through a partnership with Coupang Eats.
The full event1independent outlet -
Leading food delivery apps, including Coupang Eats, have linked their rider networks and customer bases to nearby discount beauty stores like Off Beauty. This allows them to deliver products in about 30 minutes, outpacing traditional retailers.
1 report connects these two. Brind only summarizes; follow a link to read the reporting itself.
- koreaherald.com 12 hours ago
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eCommerce website and enterprise in Seoul, South Korea
Everything about Coupang -
The speed and low-price models of the delivery apps force a larger clash against CJ Olive Young, which previously relied on its wide curated range and nationwide stores. Olive Young's own service, Oneul Deurim, averages 55 minutes.
1 report connects these two. Brind only summarizes; follow a link to read the reporting itself.
- koreaherald.com 12 hours ago
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retailer of personal care and beauty products
Everything about Olive Young -
As the entire beauty market becomes a battleground focused on delivery speed and price options, all existing challengers, including Daiso, face increased pressure to maintain market share against these new, highly efficient competitors.
No report states this step directly. Brind drew it from the reporting on each side of it, so treat it as an informed guess.
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Japanese multinational variety store chain
Everything about Daiso
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The facts so far
As reported. Each one links to where it comes from.
- Coupang Eats and Baemin deliver beauty products in about 30 minutes.koreaherald.com
- CJ Olive Young claimed 21.5 percent of the Korean beauty retail market in the first half of the year.koreaherald.com
- Olive Young's fastest delivery tier averaged 55 minutes this year.koreaherald.com
- Daiso is noted as one of the growing challengers in the beauty market.koreaherald.com
Why it matters
The beauty retail market in Korea is highly competitive, with Olive Young holding a dominant position. The entry of delivery apps, which leverage existing logistics networks and offer rock-bottom prices through surplus stock, fundamentally changes the competitive landscape. This shift means that traditional retail strategies, which rely on physical store presence and curated selection, must now contend with hyper-efficient, low-cost digital alternatives.
Daiso, already positioned as a challenger in this market, is directly exposed to this disruption. The increased focus on delivery speed and price options means that Daiso must either rapidly integrate similar quick-commerce capabilities or risk losing market share to the delivery giants and other agile competitors.
What we don't know yet
- How quickly can Daiso integrate quick-commerce delivery options into its operations?
- Will the low-price strategy of delivery apps force a general price war across the Korean beauty retail sector?
What would change this answer
— Other considerations
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Reporting
- koreaherald.com12 hours ago
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