Pumgo starts next-day delivery in Jeju. [Photo: Dohands]

Dohands, the operator of the fulfillment service Pumgo, said on Wednesday it has built a fulfillment center on Jeju Island and launched a beta service for “Jeju Next-Day Delivery.” It said the move is intended to include Jeju in its direct delivery coverage, addressing delivery gaps between island regions after Jeju had been left out of fast-delivery benefits in the e-commerce industry.

The service is designed so consumers living in Jeju can receive products on the same day or the next day. It cut delivery time by up to 3 days compared with shipments sent from the mainland.

Dohands said initial pilot results showed the next-day delivery rate in Jeju rose about 88-fold to 44 percent from 0.5 percent. It said orders received by the 3 p.m. cutoff time delivered the next day with a completion rate nearing 100 percent. Pumgo said it will offer the beta service first to existing clients without additional logistics costs, and plans to open a formal service in the second half of this year after optimizing operating efficiency.

The core of the service is “Dynamic Allocation,” which automatically assigns orders to the optimal center based on real-time data, and artificial intelligence demand forecasting. Using an AI model that analyzes order data in 10-minute intervals and external variables such as weather, it said it precisely forecasts shipment volumes and, based on that, pre-positions inventory at the Jeju center to provide stable delivery. Dohands said the addition of the Jeju center brings its nationwide fulfillment network to 15 sites.

Dohands Chief Executive Park Chan-jae (박찬재) said, “As Jeju Island is a market with a very high reliance on e-commerce, we will continue logistics innovation in line with demand from brands seeking growth through fast delivery.”

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#Pumgo #Dohands #Jeju Island #Dynamic Allocation #AI
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