How Korean Coffee Brands Are Expanding in China
Korean-style cafés with floor-to-ceiling windows, rustic interiors, and menus heavy on flavored sweet drinks and waffles have become a familiar sight in Chinese cities like Tianjin. These shops are drawing in crowds—especially female customers—and expanding fast, part of a broader push by South Korean coffee brands into the Chinese market.
More than 1,000 Korean-branded cafés are projected to open in China by the end of this year, up from around 700 in 2023, as brands seek growth outside their saturated home market.
Why Korean Coffee Brands Are Moving to China
South Korea’s domestic coffee market has hit a saturation point, pushing brands to look abroad for expansion. China’s rapidly growing specialty and casual coffee sectors offer strong opportunities. With higher profit margins and easier scalability, Korean café chains are positioning themselves as the next big thing in urban China.
Leading Korean Coffee Brands in China
Major players include Café Bene, Ediya Coffee, Mango Six, and Zoo Coffee. Among them, Café Bene already operates over 400 stores in China and plans to reach 750–800 locations by year-end. Zoo Coffee also has over 100 outlets and continues to grow quickly. These chains typically feature bright, cozy designs and serve a mix of European-style coffees alongside Korean-influenced desserts and drinks.
How They’re Expanding
Korean coffee brands are entering China through a mix of company-owned stores, franchises, and joint ventures. They leverage Korea’s pop culture influence to attract customers and have opened more than 700 locations since 2012. Expansion strategies rely heavily on brand recognition tied to the broader “Korean Wave” (Hallyu), which includes K-pop, dramas, and lifestyle trends.
The Market Backdrop
According to the Korea Trade Association, the total number of Korean coffee shops in China has been climbing steadily. The Chinese coffee shop market itself is expected to balloon from 700 billion yuan in 2012 to between 2–3 trillion yuan in the near future. This growth has encouraged continuous investment from Korean firms despite economic and competitive challenges.
How Traditional Giants Are Responding
Established players like Starbucks and COSTA are fighting back. Starbucks has launched holiday-themed drinks, limited-edition cups, and gift card promotions to retain customers. The company also expanded its food menu and seasonal offerings to compete. Meanwhile, COSTA is planning to roll out new products and bundled offers to protect its market share as Korean brands surge forward.
Frequently Asked Questions
How many Korean coffee shops are there in China?
As of the end of 2023, there are around 700 Korean-branded coffee shops in China, with projections to exceed 1,000 by the end of the year.
Which Korean coffee brands are expanding in China?
Major brands include Café Bene, Zoo Coffee, Mango Six, and Ediya Coffee. Café Bene leads with over 400 stores and aims for 750–800 by year-end, while Zoo Coffee has over 100 locations.
Why are Korean coffee brands moving to China?
South Korea’s coffee market is saturated, so brands are seeking growth in China, where the market is expanding quickly and offers higher potential returns.
How are Starbucks and COSTA responding to Korean competition?
Starbucks is using holiday promotions, new food items, and gift cards to attract customers, while COSTA plans to launch new products and bundles to hold onto market share.
What types of drinks and food do Korean coffee shops offer?
They focus on sweet flavored drinks, European-style coffee, and dessert items such as waffles, targeting a largely female customer base in urban settings.
Recommended FrontStreet Beans for Korean-Style Cafés
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