Farfetch owner Coupang announces compensation payout after data breach hits nearly 34m customers

Coupang, the South Korean e-commerce giant and parent company of Farfetch, has announced more than ₩1.69 trillion (£872 million or $1.1 billion) in compensation following a data breach, which affected nearly 34 million customers.

Coupang will issue vouchers worth up to ₩50,000 per affected customer for use across its platforms and services, according to Reuters.

The compensation package includes a ₩5,000 voucher valid on Coupang, ₩5,000 for its food delivery service, ₩20,000 for Coupang Travel, and a further ₩20,000 for its luxury beauty platform, R.Lux.

The breach exposed personal data including customer names, email addresses, phone numbers, shipping addresses and some order histories. Coupang stressed that credit card information and login credentials were not leaked.

The compensation announcement follows a public apology issued a day earlier by Coupang founder Kim Beom-su, who pledged to accelerate remedial measures. However, Kim has declined to attend parliamentary hearings scheduled for Tuesday and Wednesday, citing prior commitments.

The fallout from the breach has already triggered senior leadership changes. CEO Park Dae-jun resigned after acknowledging responsibility for the incident and its handling. In a public apology reported by CNBC, Park said he felt a “deep sense of responsibility” and confirmed he would step down from all positions within the company.

Coupang first became aware of the breach on 18 November, although investigators believe unauthorised access began as early as June. With more than half of South Korea’s population affected, the incident has placed the retailer under intense public and political scrutiny.

In an earlier statement, Coupang said it “deeply apologises for causing concern to the public” and reaffirmed its commitment to restoring customer trust.