The transformative impact of Coupang’s arrival in Jeju

Jeju Island has long been a beloved tourist destination for Koreans and international travelers alike, renowned for its beautiful beaches, mountains, and other natural attractions. However, in recent years, the island faced an increasing exodus of residents, particularly the younger population, who left Jeju for the mainland in search of jobs.

“Because there were no large companies in Jeju, there were not many stable jobs for the young population,” said Seung-chul Han, a researcher at the Jeju Research Institute. COVID-19 only exacerbated this deficiency of good jobs. In the three months after the onset of the pandemic, the number of unemployment benefit recipients in Jeju increased 61.3%—the highest in the nation, according to the Korea Employment Information Service.

Coupang’s launch of two logistics centers in Jeju that same year marked a turning point for this concerning trend, as the young population began to find new job opportunities. “The reason I’m content working at Coupang is that it provides a great salary, annual leave, and vacation,” said Eui-sook Ji, a Coupang Friend (delivery driver) working on the island. “And the best thing about the Jeju camp is the great landscape, which is another reason I can keep working here.”

Suddenly, it became possible to have the best of both worlds—a well-paying, stable job and the luxury and peace of island life. “One of the reasons I like working at Coupang is that I get two days each week to rest with my family,” said Sang-ho Kang, another Coupang Friend, who appreciated the work-life balance enabled by Coupang.

Over the last few years, Coupang has hired around 300 new employees in Jeju, and has had an indirect employment effect of over 1,000. With Jeju becoming a Rocket Delivery service area, the local economy is seeing a revival, particularly among small businesses. One such business is Casa Del Mama, a guesthouse in Jeju run by Tae-yeon Kim. The tourism industry had been especially devastated by COVID-19, making the entry of Coupang a timely relief.

“When the number of rooms was limited by government guidelines, sales took a big hit,” said Tae-yeon. “I thought I should use Rocket Delivery to ensure the satisfaction of our guests. If a guest needs something urgently, I will order it on Rocket.” She added, “If it weren’t for Coupang, I wouldn’t have been able to work and raise three children at the same time. As a customer and small business owner, I’m very grateful to Coupang.”

From 2019 to 2021, the growth rate of sales by SMEs in Jeju increased by nearly 350%. Jae-hyun Yang, who runs a tangerine farm with three generations of his family in Jeju, said that his sales grew thirty-fold after they joined Coupang. “I joined Coupang because of the convenience of Rocket Delivery,” he said. “The system is so easy to use that anyone can do business on Coupang.”

Researchers at the Jeju Research Institute have also noticed the impact Coupang has had in Jeju. “Thanks to Coupang’s Rocket Delivery, the local economy can thrive as Jeju’s logistics problems are resolved, so I think there is a win-win effect,” said Seung-chul.