SEOUL, South Korea--(BUSINESS WIRE)--CNBC today selected Coupang, one of the largest and fastest growing eCommerce companies in the world, to the number two spot on its renowned Disruptor 50 list of the world’s most innovative companies. Coupang, the largest eCommerce company in Korea, played a unique and vital role in helping curb the spread of Covid-19 in Korea, a country that has been hailed as a model response to the pandemic. Coupang's powerful end-to-end eCommerce and delivery system helped customers stay home and avoid panic buying, knowing essential goods would be delivered within hours to their doorsteps.
The annual CNBC Disruptor list showcases the top 50 private companies whose innovations are revolutionizing their industries and our everyday lives. Coupang, the largest eCommerce company in Korea, is the highest ranking eCommerce provider to ever be on the list. Coupang was recognized alongside other category defining leaders and previous Disruptor honorees including Stripe, SpaceX, and Spotify.
“In recent months Coupang has weathered its fair share of challenges due to the coronavirus pandemic. Under orders to stay home, millions of South Koreans turned to online shopping more than before to order essentials like face masks and hand sanitizer,” noted CNBC. “The company quickly managed the deluge of orders and not only maintained service levels but also improved them in some areas. As order volume surged, it expanded overnight and same-day delivery to more items, like consumables and fresh food.”
In particular, Coupang’s Same-day and Dawn Delivery (which guarantees delivery of all orders placed before midnight by 7am) soared during the crisis. The hyper-fast services enable the delivery of millions of goods to the doorstep within hours nationally. Fresh was a notable example of Coupang’s network and innovation in action: as volumes surged during Covid-19—increasing seven fold year-over-year—Coupang continued to deliver nearly 100% of its orders within hours even as delivery promises began deteriorating significantly on other platforms globally.
Thanks in large measure to its unparalleled service levels, one out of two households have come to rely on Coupang for its fresh and daily essentials during the crisis. The company also received government praise for freezing prices on face masks and sanitizers amidst widespread price gouging and delivered more than 100 million masks within the past 30 days alone, the equivalent of two masks for every woman, man and child in the country.
As online order volumes surge, Coupang is also investing in efforts to eliminate packaging waste as part of the global fight against climate change. All fresh orders are transitioning to a “zero disposable packaging” system in which products are delivered in recyclable cooling bags that are picked up, washed and reused. 85% of all non-Fresh orders are delivered “boxless,” eliminating the most wasteful packaging involved in eCommerce deliveries.
Such innovations are made possible by Coupang’s investment in technology and a network fully integrated, end to end. Today, over 70% of Korea’s population lives within a 10-minute drive of a Coupang logistics center. Coupang also controls the last-touch experience of its deliveries via the largest fleet of trucks and drivers in the market.
Even amidst growing uncertainty and record unemployment created by the Covid-19 crisis, Coupang continues to make bold investments, creating 20,000 new jobs across the country in Q1 alone.
“Our customers have become accustomed to having any order placed by midnight appear magically on their doorsteps before 7am,” said Bom Kim. “We are proud to be a company that customers can rely on to have all of their needs—fresh and non-fresh, from tomatoes to TVs—fulfilled within hours, especially during a time when staying home means protecting ourselves and our loved ones.”
Read more about Coupang and other disruptors at www.cnbc.com/disruptors.
Coupang is Korea’s largest eCommerce platform and one of the fastest-growing consumer internet companies in the world. Powered by its proprietary technology infrastructure, Coupang has built revolutionary end-to-end fulfillment and logistics operations that deliver millions of items to Customers’ doors within hours. Customers have embraced this convenience, making Korea’s eCommerce market the third largest in the world behind only China and the U.S.
CNBC ranked Coupang #2 on its 2020 Disruptor 50 List while Fast Company honored the company on its prestigious list of World’s Most Innovative Companies (MIC) for 2020. Coupang Founder and CEO Bom Kim was highlighted as one of Fast Company’s Most Creative People in Business in 2019.