South Korean e-commerce giant Coupang has confirmed that it will compensate customers affected by a recent user data breach, pledging over $1.17 billion in vouchers. The company emphasized that the breach only affected customer names, email addresses, some order histories, and home addresses, not payment and login details.
The South Korean-founded and U.S.-headquartered online retail giant stated on December 29 that customer compensation is expected to restore trust, taking responsibility for the recent personal user data breach. The compensation plan is expected to cover approximately 37.7 million former and current customers.
Meanwhile, the sequential payments of about 50,000 won (~$34.87) per person are scheduled to begin on January 15, 2026. Each customer is expected to receive four purchase vouchers, including Coupang Eats worth ~$3.49 (5,000 Won), Rocket Direct Purchase, Seller Rocket, Rocket Delivery, and all Coupang Marketplace products (5,000 Won), Coupang Travel products worth ~$13.95 (20,000 Won), and Allux products (20,000 Won).
Rogers says company executives deeply reflecting
Coupang’s interim CEO, Harold Rogers, said the company’s executives and employees are deeply reflecting on the extent of harm the recent data leak has caused the affected customers. Preparing a compensation plan is part of the company’s responsible measures for its customers. The compensation plan is also a response to harsh criticism from major South Korean organizations.
The South Korean company said all affected customers can check their eligibility on the Coupang app starting January 15, 2026. Eligible customers can apply for the offer when purchasing products. Further details will be announced separately.
Meanwhile, Rogers believes that the incident is an opportunity for his company to practice customer-focused service provision and fulfill its responsibility to the end. Coupang has also warned its customers not to click on random links from suspicious sources and to report any unknown activity. The company further urged its customers to exercise caution against text messages and phone calls that impersonate Coupang.
Seoul police identify Chinese national as main suspect
The Seoul National Police Agency identified a 43-year-old Chinese national, who was a former employee, as the primary suspect. The suspect had worked at Coupang from November 2022 to 2024, somehow retaining access to internal systems.
The Second Vice Minister Ryu Je-myung said the attacker used the company’s electronic coupon key, which is required to access Coupang’s servers. Meanwhile, the investigations revealed that the data breach lasted from late June to early November.
The incident has also led to an increase in phishing activity, with several reports of Coupang impersonation. The Seoul police have reportedly been gathering records, including internal documents, logs, system records, user credentials, access histories, and IP addresses, to understand how the suspect gained access to the company’s system.
Meanwhile, a major customer exodus is underway as the company continues to face intense government and legal scrutiny. Nearly two-thirds of South Korea’s population is reportedly affected by the recent data breach.
Data retrieved from the IGAWorks-owned data analytics platform, Mobile Index, revealed that Coupang’s daily active users (DAUs) declined from the record high of 17.99 million on December 1 to 15.94 million on December 6. Mobile Index said the reversal followed a short period of surge in app traffic as customers rushed to either delete their accounts or change their passwords.
Some of the South Korean customers appear to have moved to rival companies, such as Gmarket, which saw its DAUs jump by 5.8% from 1.36 million to 1.43 million between November 29 and December 5. 11th Street also saw a 14.33% increase in traffic, while Naver Plus Store’s traffic rose 23.1%.
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Source: https://www.cryptopolitan.com/south-korea-coupang-to-pay-over-1-1b/
