South Korean food delivery service Baemin is set to conclude its four-year operation in Vietnam on December 8 due to an economic downturn and intense competition in the sector. Customers can place orders until December 7, and the company advises using up reward points and coupons before the departure.
In a heartfelt message to customers, Baemin expresses gratitude for the love and support received during its journey in Vietnam. The decision to withdraw, attributed to global economic difficulties and stiff competition, is also communicated to restaurant partners. Baemin commits to fully paying its debts and returning advertising payments made in advance for December.
Operating in Vietnam since June 2019, Baemin has impressed consumers with creative advertising campaigns and offers services beyond food delivery, including online grocery shopping. Operated by Woowa Brothers Vietnam, a joint venture with Woowa Brothers and Delivery Hero, Baemin announced plans to scale down Vietnam operations in September 2022.
Delivery Hero’s CEO indicated optimistic prospects in Asia, except for Vietnam, where profitability was deemed unlikely. As of last year, market research firm Momentum Works reported Grab holding 45% of the food delivery market share in Vietnam, followed by ShopeeFood with 41%, and Baemin with 12%.