Coupang, ranked first in domestic e-commerce (electronic commerce) market share, is writing a second Rocket Delivery success myth in Taiwan. It has established itself in the market, surpassing 11 million app users within about four years of local entry. It is targeting the Taiwanese distribution market with its 'economies of scale' strategy proven in the domestic market, including large-scale logistics network investments and cost-effectiveness secured through direct purchasing.
According to global traffic statistics site SimilarWeb on the 22nd, Coupang app users in Taiwan were recorded at 11.9 million in July this year. This represented a 14.59% increase from the previous month, setting a 'record high.'
Coupang began its Rocket Delivery and Rocket Direct services in full swing in Taiwan starting October 2022, rapidly increasing its market share. App visitors more than doubled from 1.4 million in October 2023 to 3.7 million in January 2025, and continued to record double-digit growth rates each month thereafter. It approached 10 million with 9.6 million users in February this year, and surpassed the '10 million mark' for the first time with 10.4 million users in June. Subsequently, the number of users increased by more than 1.5 million within two months.
This is evidence that Coupang's delivery competitiveness has been proven in Taiwan as well. The company analyzes this as a result of high revisit rates among customers who have experienced the Rocket Delivery service once, and simultaneous increases in new customer inflow driven by word-of-mouth that 'delivery is fast.'
After starting operations of its first fulfillment logistics center northwest of Taoyuan Airport in 2022, Coupang opened its second center in November 2023, its third in the first half of 2024, and its fourth in March this year. It has also built dozens of intermediate logistics facilities in central Taichung and southern Kaohsiung, using northern Taoyuan as a hub. Through this, it has laid the foundation to provide Rocket Delivery services to approximately 70% of the Taiwan region. Recently, it also began introducing 'dawn delivery' services in some areas.
Coupang Inc. Chairman Kim Beom-seok stated at last month's Q2 earnings conference call, "We are handling most of the delivery volume in Taiwan with next-day delivery seven days a week," adding, "We have directly inherited the technology and process innovations accumulated over more than 10 years in Korea, as well as design, system, operation manuals, and delivery 'playbooks.'" This means that the success equation of the domestic distribution market has been replicated exactly in Taiwan.
The 'planned deficit' strategy of tolerating losses for a certain period through bold investment in the early stages of business is also identical to that in Korea. Coupang has continued investments of over 500 billion won annually since entering Taiwan. Since last year, it has also expanded the operation of the 'Coupang Friends' system, which directly hires local delivery personnel.
Coupang's influence has grown significantly locally. Cho Gu-rae, a man in his 50s who has been residing in the southern Kaohsiung region of Taiwan for 15 years, said, "I can feel that Coupang's delivery speed has become even faster in the southern region of Taiwan recently," adding, "It definitely arrives more than two to three days earlier than competitors Momo and Shopee, and there is a perception that Coupang is cheaper and offers better quality than local distributors for Korean products." Zui Chen (45), a Taiwanese person who has used Coupang since June 2023, said, "There are many people around me using Coupang," adding, "I am so satisfied with the speed of the delivery service that I would want to give it 9 out of 10 points."
Expectations are rising that Coupang can further increase its market share in Taiwan as high-income levels and trend-sensitive age groups have established themselves as the main customer base. According to SimilarWeb, as of June this year, 22.28% of Coupang users were aged 25 to 34, 24.22% were aged 35 to 44, and 20.41% were aged 45 to 54. This means that customers in their 20s to 40s account for more than half.
Forecasts are also emerging that Coupang will become a game changer in the local distribution market as it gradually increases its market share. Jung Jun-ho, an Inha University Gyeong Yeong-hak-gwa (Prof.) who taught students in Taiwan for three years starting in 2022, predicted, "The Taiwanese distribution market is still dominated by offline markets such as large marts and traditional markets, but Coupang's entry has opened a new chapter in online delivery services," adding, "If dawn delivery begins, it has sufficient potential to change the landscape of the distribution market." He further analyzed, "Choosing Taiwan, which has a similar income level to our country and high population density, as the 'next market' was a good choice," stating, "If Coupang raises its recognition beyond current levels, the market it can preempt in Taiwan, where platform businesses are weak, will expand further."
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