🚨 Win-Win Fee System

Today Korean Social News for Beginners | 2025.12.04

0️⃣ Delivery App Fee Reduction - Light and Shadow, How Much Do Small Business Owners Actually Feel?

📌 Win-Win Fee System Introduced, But... Small Business Owners Say "Delivery Business Is Over"

💬 The "Win-Win Fee System" introduced by delivery app platforms to reduce the burden on small business owners has been in effect since February 26, 2025, but questions about its effectiveness are being raised in the field. One small business owner complained that although they sold 1,900 million won worth of products, the actual deposit was only 1,164 million won, and after deducting commission fees, delivery fees, advertising costs, etc., there was almost no money left. The Win-Win Fee System applies different commission rates (2.0%~7.8%) based on sales volume, and while it appears to reduce fees on the surface, critics point out that the improvement effect felt by small business owners is minimal due to many additional costs such as delivery fees, card payment fees, advertising costs, and review expenses. In particular, criticism has emerged that small stores with low sales have difficulty entering preferential commission tiers, making it hard to benefit from the system.

💡 Summary

• The Win-Win Fee System applies different delivery app commissions (2.0%~7.8%) based on sales volume.
• The actual effect is limited due to many additional costs besides commissions, such as delivery fees, advertising costs, and card payment fees.
• There is controversy over fairness as small stores have difficulty receiving preferential commission benefits.

1️⃣ Definition

Win-Win Fee System refers to a program where delivery app platforms apply different commission rates based on sales volume to reduce the commission burden on small business owners. This system, which started on February 26, 2025, applies commission rates of 7.8% for the top 35%, 6.8% for the next 45%, and 2.0% for the bottom 20% based on monthly sales volume, instead of the previous fixed commission rate (9.8%).

As delivery apps became popular, many small business owners joined, but their profitability worsened due to high commissions and various cost burdens. The system was introduced with the intention of the platform cooperating with small business owners by lowering commissions, but criticism has been raised that the actual benefits are limited in the field.

💡 Why Is This Important?

• Delivery apps have become a major sales channel for small business owners, but commission burdens are pressuring their businesses.
• If the Win-Win Fee System is not effective, it will be difficult to improve profitability for small business owners and may lead to increased closures.
• If the actual burden does not decrease due to many hidden costs besides commissions, the purpose of the system becomes meaningless.
• Policy improvements are needed to protect small businesses and develop a healthy platform economy.

2️⃣ Current Status and Problems of the Win-Win Fee System

📕 Background and Structure of the Win-Win Fee System

• Delivery app commission burdens were a major concern for small business owners. Key background:

  • The delivery app market grew rapidly after COVID-19, with many small business owners joining.
  • Previously, a fixed commission rate of 9.8% was applied, and the burden increased with higher sales.
  • In addition to commissions, delivery fees, advertising costs, review event costs, etc. were additionally charged.
  • Small business owners found it difficult to maintain sales without delivery apps, but profitability decreased due to commission burdens.

• The Win-Win Fee System introduced different commissions based on sales volume. Key content:

  • It has been in effect since February 26, 2025, dividing stores into three tiers based on monthly sales.
  • Top 35% stores pay 7.8%, next 45% stores pay 6.8%, and bottom 20% stores pay 2.0% commission.
  • It was designed so that smaller stores with less sales receive lower commission benefits.
  • The platform stated its intention to cooperate with small business owners through this system.

📕 Problems Raised in the Field

• Actual settlement amounts are much less than expected. Key cases:

  • One small business owner sold 1,900 million won worth but received only 1,164 million won in actual deposits.
  • Not only commissions but also delivery fees, card payment fees, advertising costs, and review event costs were deducted.
  • As a result, only about 60% of sales return to the small business owner.
  • Many complain that after deducting material costs, labor costs, and rent, there is almost no money left.

• Small stores have difficulty receiving preferential benefits. Key problems:

  • Only the bottom 20% of stores with low monthly sales can receive the 2.0% commission benefit.
  • Stores with medium-level sales still bear high commissions of 6.8~7.8%.
  • Even with low daily sales, the highest commission rate may be applied because it's calculated based on cumulative monthly sales.
  • There is controversy over fairness as larger stores have an advantageous structure.

• The effect is minimal due to many hidden costs. Key criticisms:

  • Delivery fees are borne by customers, but stores often support part of them.
  • Card payment fees are charged separately, creating an additional burden.
  • Without paying advertising costs, stores fall behind in search rankings and orders decrease.
  • Review events and coupon discounts are often borne by stores, reducing actual profits.

💡 Key Issues of the Win-Win Fee System

1. Limited Benefits: Only bottom 20% of stores receive 2.0% commission, few stores benefit
2. Hidden Costs: Actual burden still large due to additional costs like delivery fees, advertising costs, card payment fees
3. Fairness Issues: Large stores with high sales have advantageous structure, small stores disadvantaged
4. Complex Settlement: Difficult to predict actual commission rate due to complex sales criteria
5. Lack of Fundamental Solution: Only lowered commissions, insufficient improvement of overall cost structure

3️⃣ Directions for System Improvement and Tasks

✅ Discussion on Introducing Integrated Cost Cap

• A plan to set a cap by integrating all costs is being proposed. Key content:

  • Some political circles are pushing for legislation to set a total burden cap by integrating commission fees, payment fees, advertising costs, etc.
  • All costs borne by small business owners should be mandatorily disclosed transparently.
  • Platforms should be regulated to clearly display the types and amounts of costs they charge.
  • If an integrated cap is introduced, small business owners can have a predictable cost structure.

• Transparency in delivery fee structure is necessary. Key tasks:

  • While delivery fees are in principle borne by customers, stores often support part of them.
  • The system should be improved so delivery fee support does not become an excessive burden on small business owners.
  • Plans for platforms to bear part of delivery fees should also be considered.
  • The delivery fee structure should be clarified so both small business owners and consumers can understand it.

✅ Strengthening Support Policies for Small Business Owners

• Direct support for small businesses should be expanded. Key directions:

  • Plans for the government to support part of delivery app commissions can be considered.
  • Advertising cost support and marketing education should be provided for small stores.
  • Small business owners should be supported to have various sales channels besides delivery apps.
  • Dependence on delivery apps should be reduced through direct transaction platforms or local commercial area revitalization policies.

• Social responsibility of platforms should be emphasized. Key tasks:

  • Delivery app platforms should take responsibility as key players in the ecosystem, not just intermediaries.
  • They should actively seek win-win models considering small business owners' profitability.
  • Plans to reduce excessive advertising costs and review event cost burdens should be prepared.
  • They should work to create a sustainable platform economy in the long term.

4️⃣ Related Terms

🔎 Commission Fee

• Commission fee is the fee delivery apps receive in exchange for intermediating orders.
  • Commission fee refers to the fee that delivery app platforms receive in exchange for connecting customers and small business owners and providing order, payment, and delivery systems. Before the Win-Win Fee System, it was uniformly 9.8%, but now it's differentially applied from 2.0% to 7.8% depending on sales volume.
  • Commission fees are directly deducted from sales, greatly affecting small business owners' profitability. For example, if sales of 1 million won occur and the rate is 7.8%, 78,000 won is deducted as commission. The burden increases with higher sales.
  • While the Win-Win Fee System intends to reduce small business owners' burden by lowering commission fees, it's criticized for having limited actual effect as other costs are added. Experts suggest it's necessary to set a cap by integrating all costs, not just commission fees.

🔎 Card Payment Fee

• Card payment fee is the fee charged when paying with credit or debit cards.
  • Card payment fee refers to the fee paid to card companies and payment gateway (PG) companies when customers pay with credit or debit cards. It's generally around 2-3% of sales and applies equally to payments through delivery apps.
  • Since most customers using delivery apps pay by card, small business owners bear card payment fees on almost all transactions. If the commission fee is 7.8% and the card payment fee is 2.5%, they must pay a total of 10.3% in fees.
  • Card payment fees are charged separately from delivery app commission fees, but small business owners feel them all as costs. Some experts argue that policy support is needed for delivery app platforms to bear part of card payment fees or to lower card fee rates for small business owners.

🔎 Advertising Cost

• Advertising cost is the expense paid to increase exposure ranking within delivery apps.
  • Delivery app advertising cost refers to the marketing expense that small business owners pay to the platform to be exposed at the top of in-app search results or to be selected as a recommended store. Without advertising, they may fall behind in search rankings and order volume may decrease.
  • Advertising costs are charged by cost-per-click (CPC) or cost-per-impression (CPM) methods, and advertising costs increase in more competitive industries. For example, chicken, pizza, and Chinese restaurants have intense advertising competition and must spend considerable advertising costs.
  • Small business owners have no choice but to pay advertising costs because orders decrease without advertising, but this becomes an additional burden that worsens profitability. Critics point out that the Win-Win Fee System only lowered commission fees while advertising costs remain the same, so the actual effect felt is small. Some argue that advertising costs should be included in commission fees to set an integrated cap.

🔎 Integrated Cost Cap System

• Integrated cost cap system is a program that sets a cap by adding up all delivery app costs.
  • Integrated cost cap system refers to a program that legally sets a cap on the total burden by adding up all costs that delivery app platforms charge small business owners, including commission fees, card payment fees, advertising costs, review event costs, etc. Some political circles are currently pushing for legislation.
  • The purpose of the system is to transparently disclose all costs and set a cap on the total amount to prevent excessive burdens, since the current method of only lowering commission fees while keeping other costs the same does not substantially reduce small business owners' burden.
  • Supporters argue that small business owners can have a predictable cost structure and excessive profit-seeking by platforms can be limited. On the other hand, platforms worry that excessive regulation may lower service quality and hinder innovation. For the integrated cost cap system to be effective, specific standard setting and supervision systems are important, and the interests of small business owners, platforms, and consumers must all be balanced.

5️⃣ Frequently Asked Questions (FAQ)

Q: How do I apply for the Win-Win Fee System?

A: It's applied automatically without separate application, and commission rates are determined based on monthly sales.

• The Win-Win Fee System is automatically applied to all small business owners who have joined delivery apps. The platform automatically calculates based on monthly sales to determine commission rates, so no separate application process is needed. Bottom 20% stores pay 2.0%, next 45% stores pay 6.8%, and top 35% stores pay 7.8% commission.
• However, since the sales criteria change monthly, even if you received a 2.0% commission this month, you may be charged 6.8% or 7.8% next month if sales increase. Small business owners can check their commission rate through the platform's settlement details, and can inquire with the delivery app customer service center if they have questions. It's important to carefully check settlement details to understand what costs besides commissions were deducted.

Q: Are there ways to reduce delivery app costs besides the Win-Win Fee System?

A: It helps to efficiently manage advertising costs, run direct transaction channels in parallel, and utilize government support programs.

• There are several ways to reduce delivery app costs. First, manage advertising costs efficiently. Rather than advertising indiscriminately, focusing advertising on high-order times or days can increase cost-effectiveness. Second, run direct transaction channels in parallel, such as self-delivery or phone orders. Offering discount benefits to regular customers for direct orders can reduce delivery app commissions. Third, utilize small business support programs from the government or local governments. There are various programs including delivery app commission support, marketing education, and digital transformation support.
• Fourth, carefully conduct review events and coupon discounts. While they can increase orders in the short term, the cost burden is large, so it's better to focus on increasing customer satisfaction from a long-term perspective. Fifth, encourage takeout orders. Profitability is high because there's no delivery fee burden and platform commissions are relatively low. You can get additional information by contacting the Small Enterprise and Market Service (1357) or delivery app customer service centers.

Q: How will things change if the integrated cost cap system is introduced?

A: With a cap on the total amount of all costs, small business owners' burden becomes predictable and excessive cost charging is limited.

• If the integrated cost cap system is introduced, a legal cap will be set on the total amount of all costs that delivery app platforms charge small business owners, including commission fees, card payment fees, advertising costs, review event costs, etc. For example, if the total cost cap is set at 15% of sales, platforms cannot charge costs exceeding 15% in any way. This is a solution to the current problem where commission fees are lowered but burden increases through other costs.
• If the integrated cost cap system is implemented, small business owners can have a predictable cost structure and profitability calculations become easier. Also, excessive profit-seeking by platforms is limited, creating a win-win structure. However, platforms worry that service quality may deteriorate due to excessive regulation, so setting a reasonable cap level is important. Since the bill is currently being discussed in the National Assembly, the implementation timing and specific details will be decided in the future. Small business owners should watch related news and, if necessary, express opinions through small business organizations.

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