The 3,500-strong South Korean coffee chain is preparing for expansion in the US mainland by tapping into Korean tourists visiting the overseas territory
South Korea’s largest coffee chain Ediya Coffee is revisiting global expansion with a store slated to open in the US island territory of Guam in Micronesia by the end of 2022.
The company, which launched in China in 2005 but exited the market four years later, hopes that the Guam outlet will pave the way for future expansion into North America and other Southeast Asian countries. Guam welcomes approximately 1.5 million international visitors annually, of which half are South Koreans.
Ediya Coffee highlighted the territory as ‘the best market to mitigate business risk and monitor local consumption trends’.
The store, schduled to open at Antonio B. Won Pat International Airport in the US Pacific territory follows Ediya Coffee’s recent move to export its instant coffee products in the US.
“The Korean coffee market is saturated. We have long prepared for the global café business and are ready to serve overseas customers with our best coffee,” said Moon Chang-ki, joint CEO, Ediya Coffee.
Ediya Coffee, which operates 3,500 stores in South Korea, achieved revenue growth of 9% in 2021, reaching 243.3 billion won ($181.2m) while operating profit increased 35.7% to reach 19 billion won ($14m).
In June 2022, Ediya Coffee appointed Lee Seok-jang as joint CEO, with the former Deloitte Consulting Vice President targeting further domestic growth and potential new markets internationally.
The South Korean coffee shop market is highly competitive, with Ediya Coffee vying with Starbucks’ circa 1,400 stores, and fellow domestic giants A Twosome Place and Mega Coffee, which both operate more than 1,000 stores each.
