| Russia

Russia’s Green House sets sights on 100 stores following record 2023

The franchised coffee chain closed 2023 with 69 stores across 12 cities, with 15 further sites already in development

Green House has a longer-term goal of operating 1,000 franchised stores by 2030 | Photo credit: Green House


 

Krasnoyarsk-based Green House is seeking to reach 100 stores across Russia within six months following record 2023 outlet growth and sales. 
 

The franchised coffee chain opened 18 net new stores in the 12 months ended 31 December 2023 to reach 69 sites, with a further 15 currently in development. More than 50 of its stores are located in the Siberian city Krasnoyarsk. 


Green House also posted record annual sales of RUB 584.3m ($6.5m) in 2023 – a year it described as one of ‘restructuring’, alluding to economic disruption in Russia following the country’s invasion of Ukraine in February 2022. 


“2023 became the most successful year for the chain both in terms of revenue and growth of coffee shops. 18 coffee shops in a year is our new record. Revenue exceeding RUB 500m ($5.6m) is also a new record. The immediate goal is 100 coffee shops in the network,” a report from Green House said. 


Green House has a longer-term goal of operating 1,000 franchised stores by 2030, which it said is achievable given current demand from prospective franchisees. 


Founded in 2012 by entrepreneurs Egor Tokhtobin, Alexey Shu and Artem Kalchenko, Green House opened its first store in the Kvant shopping center in Krasnoyarsk. The business operates three franchised store formats – a 10sq m coffee bar, a 20-50sq m small format coffee shop and a larger, 50-80sq m outlet. 

Despite facing international sanctions over the war in Ukraine, the Russian branded coffee shop market grew 2.2% to reach 4,479 outlets in the 12 months to March 2023, World Coffee Portal data shows. 

While prominent operators such as StarbucksMcCafé and Krispy Kreme exited Russia in response to the invasion, many outlets were later acquired by local businesses and loosely rebranded as Stars Coffee, Vkusno i Tochka (Tasty, and That's It) and Krunchy Dream, respectively. 


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