Domino’s Korea secures tie-up with Yogiyo, Baemin for order deliveries

Domino’s Korea will divert from its usual delivery process for the first time and will start using third-party delivery providers to bring orders to its customers. It was reported that the pizza restaurant chain would sign a deal with Yogiyo and Woowa Brothers’ Beamin for the deliveries.

Domino’s Korea may also use other delivery riders instead of its own in-house drivers. This will be a first in the company since starting its operations in the country.

According to The Korea Economic Daily, it was not easy for Domino’s Korea to have its proposal for a third-party delivery approved by its parent company. It was reported that it took a year for the brand to convince Domino’s Pizza Michigan headquarters to make an exemption and allow it to work with the local delivery firms. The approval took a while since the pizza company only uses its own delivery personnel.

Finally, on Tuesday this week, the Korean unit of Domino’s Pizza revealed it was granted permission by saying it will join other delivery pizza brands in teaming up with delivery operators to bring orders to customers on time.

Cheong-O Dpk Co. operates the Domino’s Korea franchise in the country, and it apparently succeeded in getting permission from the US HQ. Now, it has secured tie-ups with local delivery agencies. Starting this month, the Korean unit of the global pizza chain will become the first and only one to be allowed to use third-party riders out of the 80 international franchises.

It was noted that Domino’s Pizza always makes sure to implement its strict directive on providing the same signature products and services wherever the location in the world may be. Thus, it typically prefers and insists on directly hiring its own delivery personnel rather than availing of third-party services.

Domino’s Pizza is known for its 30-minute delivery guarantee, so it is expected for its new delivery partners in Korea to follow this as well. Meanwhile, this small change in the delivery scheme is predicted to step up the competition in the pizza delivery business.

“A pizza for sharing that costs around KRW30,000 or about $21 is a dish that can do very well amid inflation and economic slowdown,” a business observer told The Korea Economic Daily. “The competition is expected to become even more fierce.”

Photo by: Ashwini Chaudhary(Monty)/Unsplash