'Korean Dessert' Sulbing, the Secret to Capturing the Global Palate [Hidden Business Story]

Leading Domestic Bingsu Franchise 'Sulbing'
From the Birth of the 'Korean-Style Dessert Cafe' to Its Success Secrets
Focus on Developing Side Menus Alongside Bingsu
Menus Enjoyed by All Ages and Generations
Globalization Strategy of Bingsu Including Customized Overseas Launches

Apple Mango Cheese Sulbing (left), Blueberry Cheese Sulbing (right) / Photo by Sulbing homepage capture

[Asia Economy Reporter Suwan Kim] Unlike coffee shops that offer shaved ice as a seasonal menu during the summer, there is a place that sells shaved ice all year round. It is the Korean dessert cafe 'Sulbing.' By creatively developing popular Korean-style desserts using traditional Korean ingredients and seasonal fruits, Sulbing has firmly established itself as a major player in the shaved ice industry. Currently, Sulbing operates overseas stores in eight countries, including Thailand, Cambodia, and Canada. What is the secret behind capturing the taste buds of people worldwide with just one shaved ice?

The Birth of Korean Dessert Cafe Sulbing... Starting from a Small Shop

Photo by Yonhap News

Jung Sun-hee, the founder of Sulbing, majored in Food and Nutrition at university and received training in confectionery, baking, and food coordination in Japan. In 2010, she opened a fusion concept rice cake cafe called 'Siru,' which marked the beginning of Sulbing. At Siru, Jung developed key products such as 'Injeolmi Sulbing' and 'Injeolmi Honey Bread,' which became Sulbing's signature items, gaining recognition among consumers.

In 2013, the brand was rebranded as Sulbing, specializing in shaved ice. In April of the same year, Sulbing opened its first store in Nampo-dong, Busan. Unlike traditional shaved ice, Sulbing used milk instead of ice and topped it with roasted soybean powder instead of red beans, popularizing the snowflake shaved ice with its 'Injeolmi Sulbing.'

Faithful to Basics as a Shaved Ice Specialty Store... Diversification of Product Range

Injeolmi Sulbing / Photo by Sulbing Homepage Capture

The cumulative sales of 'Injeolmi Sulbing,' launched alongside Sulbing's establishment, surpassed 25 million units as of September last year. The revenue from this single menu item reached approximately 197.5 billion KRW over six years. Calculated, this means about 10,500 bowls are sold daily, roughly 7.3 bowls per minute. If the bowls sold were lined up, they would cover a one-way distance from Seoul to Busan 10.37 times.

Thanks to the success of main menu items like Strawberry Sulbing and Injeolmi Sulbing, Sulbing rapidly expanded to over 400 franchise stores in less than a year. Injeolmi Sulbing differentiates itself from traditional shaved ice by combining finely shaved soft milk ice with savory roasted soybean powder and chewy injeolmi rice cakes.

As Injeolmi Sulbing gained popularity, various variations were introduced. These include 'Spoonable Injeolmi Sulbing' with caramel sauce, 'Injeolmi Bread Sulbing' served with red bean porridge and cheese sauce, and 'Brown Sugar Injeolmi Sulbing' enjoyed with brown sugar syrup instead of condensed milk, showcasing new ingredients in traditional shaved ice menus.

The Strawberry Sulbing, which receives great love every winter, has maintained its popularity by upgrading the series.

Currently, depending on the branch, Sulbing boasts over 20 types of shaved ice, including Injeolmi Sulbing, Strawberry Sulbing, Black Sesame Sulbing, Cheese Sulbing, Blueberry Cheese Sulbing, Berry Yogurt Sulbing, Apple Mango Cheese Sulbing, Yogurt Melon Sulbing, and Choco Brownie Sulbing.

The Reason for Sulbing's Success... Efforts in Dessert Development

Injeolmi Toast (left), Ssangssang Cheese Garaetteok (right) / Photo by Sulbing website capture

One of Sulbing's strengths is the continuous development of side menus such as Injeolmi Toast. Not neglecting dessert development beyond shaved ice, Sulbing overcame the seasonal limitation of shaved ice. Each season, Sulbing introduced new products to accompany shaved ice. Recently, they launched items like Bacon Cream Spaghetti, Rose Spaghetti, Spicy Snowflake Fried Rice, and Chunky Jajang, tailoring menus to consumer preferences. Ultimately, the ability to enjoy Sulbing throughout all four seasons, summer and winter alike, is a key reason for the brand's success.

Moreover, Sulbing has captivated not only young customers but also adults. The signature Injeolmi Sulbing, made with savory roasted soybean powder and chewy injeolmi rice cakes instead of red beans, appeals to all age groups and even those who do not prefer red beans can enjoy shaved ice. Additionally, a variety of beverages such as herbal teas and traditional Korean teas are available, allowing even those who do not like shaved ice to enjoy desserts at Sulbing.

Furthermore, Sulbing has firmly maintained its brand identity as 'Korean-style shaved ice' in overseas markets while actively reflecting local cultures by launching new menus that appeal to global tastes.

Sulbing currently operates 25 overseas stores in eight countries, including Thailand, Japan, Cambodia, and Canada. Although business in Japan, a key overseas market, was hindered by the bankruptcy of Emporio, the master franchisee contracted in January this year, Sulbing is set to enter the Middle East market starting with the opening of its first store in Kuwait this October.

Strategy Targeting the Global Market... Concurrent Reflection of Local Culture

Sulbing maintains a firm brand identity as 'Korean-style shaved ice' in each market while simultaneously implementing global market strategies by actively incorporating local culture where necessary through the launch of new menus.

In 2018, Sulbing recorded an operating profit of 2.48971 billion KRW, more than doubling compared to the previous year.

Since its establishment in 2013, Sulbing rapidly grew to become a leading franchise in the domestic shaved ice market, but from 2015, it faced internal and external challenges, experiencing a decline in operating profit until 2017. The number of stores also steadily decreased from a peak of 482 in 2015 to 448 in 2016 and 424 in 2017.

In response, Sulbing actively pursued win-win measures with franchise owners, adjusted the number of stores, and expanded the market by introducing delivery services, initiating efforts to improve profitability. Thanks to these efforts, Sulbing succeeded in reversing its operating profit decline within two years.