Jeju public delivery app Mukkebi selected for talks to continue operations; proposes keeping commission at 1.5%

【Financial News, Jeju = Jeong Yong-bok, Staff Writer】 The incumbent operator, Mukkebi, has been selected as the preferred negotiating partner to run Jeju’s public delivery app in the next term. Although the cap on commissions was raised to 2% in the new tender, Mukkebi proposed keeping the current rate of 1.5%, reducing the likelihood of higher commission costs for small businesses.
According to Jeju Special Self-Governing Province on the 3rd, Mukkebi ranked first in the proposal evaluation for the tender to operate Jeju’s public delivery app for three years, from 2027 through 2029. Shinhan Bank’s public delivery app Ttaenggyeoyo ranked second; if negotiations with Mukkebi break down, the province will negotiate with the next-ranked bidder.
Two companies participated in the tender. On October 29, Jeju Province’s evaluation committee conducted a comprehensive assessment of factors including financial condition, commission rates, system stability, operating experience and plans to support the local community.
The most closely watched issue is the commission. Jeju Province set a 2% cap in the tender, 0.5 percentage points above Mukkebi’s current 1.5% rate, in effect since December 2022. However, the tender required that franchise owners not be allowed to incur additional costs such as advertising and sign-up fees.
Mukkebi proposed keeping its existing commission rate. This is lower than the 2.0%–7.8% commissions charged by major private delivery apps, which vary according to merchants’ sales. However, the actual costs for small businesses also depend on delivery and payment fees, not just commissions.

Jeju’s public delivery app has expanded its operations in partnership with the local currency Jeju Pay. As of the end of September, it had recorded a cumulative 2,995,875 orders and 78.74641 billion won in transactions. The service had 6,348 participating merchants and 88,763 members.
Jeju Pay accounted for about 42.5 billion won, or 54%, of total transactions. In other words, more than half of the spending through the public delivery app was linked to the local currency.
However, order growth has slowed. Annual orders last year totaled 1,467,632, a substantial increase from 219,063 in 2024. But from January through September this year, the monthly average was 124,220 orders, just 1.6% higher than last year’s monthly average.
Jeju Province has supported use of the app through delivery-fee discount coupons and benefits for paying with Jeju Pay. A research project last year on the app’s operations and performance evaluation also raised the need to improve the incumbent operator’s financial sustainability and revenue structure. The challenge for the next term is to secure stable order demand and an operating foundation while keeping commissions low.
Mukkebi also proposed improvements to make the app more convenient. It plans to introduce a feature to track delivery workers’ locations by the end of this year and overhaul the consumer app in January next year. It is also working to expand the app’s uses by adding payment support for child meal cards.

The operating framework also includes existing services such as Jeju Pay payments, multilingual ordering, drone delivery to island areas and next-day settlement regardless of financial institution. Last year, Mukkebi established a local Jeju subsidiary, Mukkebi Jeju Co., Ltd.
Jeju Province plans to negotiate detailed operating terms with Mukkebi and sign an agreement this month. If the agreement is finalized, the new operating period will begin in January next year without interrupting existing services. The initial agreement term is three years, with an extension of up to two years possible depending on operating performance.
Kang Ae-suk, head of Jeju Province’s Economic Vitality Bureau, said, “We will finalize the agreement without a hitch, easing the commission burden for small businesses in a meaningful way and providing residents with more convenient services.”
The selection has reduced the likelihood of a commission increase for the public delivery app, but the final operating terms will be determined after the agreement is signed. The key question going forward is how Jeju Province will address slowing order growth and operational stability while maintaining the existing commission rates and discount benefits.


[email protected] Jeong Yong-bok Reporter