How Korean-Style Cafés Are Growing in China

For years, Starbucks has dominated urban China’s coffee scene—but today, a different wave is reshaping the market. If you’ve noticed more stylish cafés with bright interiors, extensive menus, and a focus on atmosphere, chances are they’re part of Korea’s fast-growing café invasion. But how exactly are these Korean-style coffee shops outpacing traditional players in China?

In just the past two years, nearly 600 new Korean-style cafés have opened across China—more than double the pace of many Western competitors. A recent industry report found that Korean café chains are now expanding faster than ever, with some brands even surpassing Starbucks in new store openings.

Korean Café Chains Are Growing Faster Than Others

According to a 2024 report from RET, a leading Chinese commercial real estate research firm, Korean café brands have rapidly increased their footprint. While Starbucks remains the largest Western chain with 1,164 stores (adding ~77 yearly), and Taiwan’s Shangdao Coffee has 1,016 outlets (~59 per year), Korean brands are catching up fast. Café Bene alone launched 407 stores in just two years—outpacing Starbucks in growth speed.

More Menu Choices and Non-Coffee Focus

Korean cafés stand out by offering far more variety. On average, a Korean café menu includes 76 items—nearly double the 41 found at typical Western chains. Beyond standard coffee, tea, and desserts, they serve fruit smoothies, sodas, ice cream, grain lattes, and even savory options like muffin toast and pancakes. Notably, 49% of their offerings are non-coffee drinks, allowing them to attract customers beyond just coffee drinkers.

Smart Business Models and Franchise Flexibility

Korean chains use a mixed ownership strategy: 19% company-owned, 60% franchised, and 21% partner-run. This balance helps control quality while enabling rapid growth. For example, Café Bene asks for a minimum investment of just 500,000 RMB and offers co-branded financing through China Merchants Bank. Some locations even let franchisees own 49% equity stakes. These models reduce financial risk and appeal to a broader range of investors compared to the mostly corporate or heavily agent-driven models of U.S. or Taiwanese brands.

Strategic Store Locations Across City Tiers

In first-tier cities like Beijing and Shanghai, Korean cafés often set up shop in suburbs due to high rents and limited central locations. Around 69% of their stores in these areas are suburban. But in fast-growing second- and third-tier cities—where commercial spaces are more available and youth culture is booming—87% of their outlets are located in urban cores. Cities like Shenyang have embraced these brands: Café Bene alone has five stores there, making it the most visible Korean chain in the city.

Marketing With K-Drama Glam and Digital Ordering

Korean café brands boost visibility through TV dramas, celebrity endorsements, and pop culture tie-ins. They also embrace digital trends: Café Bene plans to team up with SF Express for a “Coffee-to-Home” delivery service using mobile ordering and GPS tracking. This O2O (online-to-offline) approach appeals to tech-savvy younger customers and extends their reach beyond physical shop locations.

Frequently Asked Questions

Which Korean coffee shop chain is growing fastest in China?

Café Bene has expanded the fastest, opening 407 stores in just two years—more rapidly than Starbucks, which averages 77 new stores annually. Other major players include Ediya Coffee and Mango Six, which are also rapidly increasing their presence, especially in second- and third-tier cities.

Why are Korean cafés opening so many stores in Chinese suburbs?

In first-tier cities like Beijing and Shanghai, prime urban locations are expensive and scarce, so 69% of Korean cafés in these metros are located in suburbs, where rents are lower and foot traffic is stable. Suburban areas also offer larger store spaces suited to their design-focused layouts.

What makes Korean café menus different from Western ones?

Korean cafés offer around 76 items on average—nearly double the 41 items at typical Western chains. About 49% of their menu is non-coffee, including fruit smoothies, sodas, ice cream, grain lattes, muffin toast, and more, allowing them to appeal to non-coffee drinkers and create a distinct café experience.

How do Korean café franchises attract investors?

Brands like Café Bene use a flexible model: 19% company-owned, 60% franchised, and 21% partner-operated. The minimum investment is 500,000 RMB, with options for 49% equity partnerships and financing support from banks like China Merchants Bank. This lowers barriers for franchisees compared to fully corporate-owned models.

Do Korean coffee shops use delivery or digital ordering in China?

Yes. Café Bene is planning a partnership with SF Express to launch a “Coffee-to-Home” delivery service, allowing customers to order via mobile and receive deliveries. This O2O (online-to-offline) approach targets younger, digitally engaged consumers and expands their market beyond physical locations.

Recommended FrontStreet Beans for Korean-Style Cafés

For cafés aiming to replicate the rich, layered profiles found in Korean-style coffee shops, FrontStreet Coffee’s Ethiopia Humbera offers bright citrus and floral notes with a juicy body—perfect for single-origin pour-overs. The Brazil Queen Manor provides a nutty, chocolatey base ideal for milk drinks like grain lattes or cappuccinos. Finally, the PWN Golden Mandheling delivers low acidity and full body, ideal for classic espresso blends or signature drinks. All three beans highlight the craft and versatility sought in modern cafés. Freshly roasted within 5 days · Orders placed before 17:00 ship the same day · Next-day delivery across most of Guangdong Province.