Coupang Eats faces compensation demands after system outage

Five major small business organizations, including the Korea Federation of Micro Enterprise and the Korea Foodservice Industry Association, have issued a joint statement demanding substantial compensation following a large-scale system outage at Coupang and Coupang Eats on October 9.

The error, which lasted for over two hours starting around midnight, paralyzed delivery orders and caused significant operational chaos. Business owners reported being unable to mark orders as completed after cooking, while delivery riders were unable to access customer addresses, leading to failed deliveries. The groups argue that the outage directly threatened the livelihoods of small business owners, particularly those reliant on late-night sales and those who had paid for promotions and advertising.

In response, Coupang Eats stated it will provide full settlement for orders that were accepted but subsequently canceled due to the error, treating them as normal sales. The company also noted that advertising fees for the affected period will not be charged. However, the business associations are calling for a more transparent calculation of total operational losses and a comprehensive compensation plan that includes advertising refunds.