As Coupang’s influence in the book market grew, the publishing industry was engulfed in infighting. ..

사진 확대 As Coupang and the Korea Publishing Culture Association signed a win-win cooperation business agreement on the 10th, the publishing industry is experiencing internal strife. Yoon Chul-ho, chairman of the 4th participation association from left, and Wein Lee, executive director of Coupang, 5th [Photo = Korea Publishing Culture Association]

Publishers’ Meeting “Understanding the Situation First” in the Cooperation-Coupang Win-Win Agreement

As Coupang’s influence in the book market grew, the publishing industry was engulfed in infighting. On the 22nd, the Korean Publishers Association, a group of book publishers, protested against the “prosperity agreement between publishing and distribution” signed by the Korea Publishing Culture Association and Coupang on the 10th, saying, “Collaboration is not the answer.”

“Coupang’s trading practices are seriously disturbing the publishing and distribution order,” the publisher’s meeting said. “We need specific prior measures and implementation roadmaps, not slogans.” Do Jin-ho, head of Gino Publishing, chairman of the Distribution Policy Committee of the Publishers’ Association, said, “Coupang is trying to move on by saying that it will form a consultative body with the publishing industry. It is wrong to sign a win-win agreement first.” “Until Coupang’s responsible measures and implementation are objectively confirmed, the Korean Publishers’ Association will not respond to any win-win agreements or participation in the consultative body, judging that it is premature,” he said.

Coupang’s share in the domestic book market is estimated to have increased to 10%. The publishing industry is taking issue with the fact that Coupang’s transaction method is different from existing publishing practices. The biggest is the so-called “growth incentive” that Coupang imposes on publishers if sales increase. On top of that, it forced a reduction in the supply rate, which is the cost of delivery, and complaints in the publishing industry accumulated due to slow settlement and return problems.

CEO Do said, “Payment on the 45th was a practice in the publishing industry, but Coupang makes payments on the 60th,” adding, “We are adding costs by renewing contracts with publishers that Coupang directly deals with every year.” The disturbance of the distribution order of large platforms is undermining the publishing ecosystem,” he pointed out.

Yoon Chul-ho, chairman of the participation association, said, “As we conducted a survey on the actual situation at the participation association, Coupang actively came to us,” adding, “As we started talking, we need to examine whether there is any illegal possibility of forcing ‘growth incentives’.” As early as this week, the cooperative will announce its comprehensive position on the investigation into the situation.