Government to bring back cashback scheme for food delivery service amid fourth wave

The government is set to bring back its cashback scheme for food delivery services next month to soften the blow from the fourth wave of COVID-19.

Consumers will receive 10,000 won ($8.60) back for every four orders made on delivery apps worth 20,000 won each, according to the Ministry of Economy and Finance on Sunday.

The scheme is expected to take effect sometime before the Chuseok holiday next month to help boost spending in the hospitality industry.

With some 20 billion won set aside for the scheme, the discounts will be available on a first-come, first-served basis.

The cashback reward is available for orders placed on 14 apps including Baemin, Yogiyo, Coupang Eats and KakaoTalk, which will be sent to either a bank or credit card account.

The government launched the first round of the scheme between late May and early July this year.

Orders placed during the previous period that did not lead to a cashback payment last time will be rolled over to this period.

For instance, consumers who made two orders on delivery apps that are worth more than 20,000 won each will only have to order twice in September to receive a cashback reward.

Earlier this year, the government had originally planned to roll out similar discount coupons for movie theaters, exhibitions and live shows after the first dose vaccination rate reaches 50 percent. Similar coupons were to be introduced for buses, trains and hotels after the vaccination rate reached 70 percent.

But as the fourth wave shows no sign of abating, travel and leisure plans were put to a halt.

By Yim Hyun-su (hyunsu@heraldcorp.com)