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Photo: Fair Trade Commission (FTC) |
[Alpha Biz= Kim Jisun] Seoul, Korea – The Fair Trade Commission (FTC) has imposed a total fine of 1.54 billion KRW on Yanolja and HereYouGo for violating fair trade laws by unlawfully expiring coupons paid for by partner motels.
On the 12th, the FTC revealed that Yanolja and HereYouGo, both online platform services, had sold advertising packages to small and medium-sized lodging businesses that included the cost of coupons. However, the platforms expired unused coupons without providing any compensation or rollover options.
Coupons and discounts are crucial promotional tools for businesses on online platforms, as they help attract consumers and increase sales. The FTC found that Yanolja and HereYouGo exploited this situation by including discount coupons as part of premium advertising packages.
Yanolja sold its "Nearby Coupon Ads," while HereYouGo bundled "TOP Recommendations" and "Popular Recommendation Packages" with discount coupons. Advertisers paid for these advertising packages, which included the coupon costs.
For example, when an advertiser purchased Yanolja's "Nearby Coupon Ads," 10-25% of the advertising fees, ranging from 1 to 3 million KRW per month, were issued in the form of coupons.
The issue arose because Yanolja and HereYouGo allowed unused coupons to expire without any rollover or refund after the expiration date. Yanolja expired the coupons after about one month, while HereYouGo set the coupon validity to just one day before expiring them.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
