App Subscribers Surpass 10 Million Last Year
Industry's Lowest Closure Rate at 0.5%
"We Will Continue to Coexist with Franchise Owners"
Compose Coffee announced on the 7th that it has reached 2,500 franchise stores 10 years after opening its first store.
Compose Coffee started in 2014 and surpassed 1,280 stores in 2021, 1,900 stores in 2022, and 2,300 stores in 2023.
The growth of Compose Coffee can also be seen in the increase in the number of subscribers to its own app (APP). Reflecting customers' preference for contactless ordering and their desire to reduce menu pickup time, Compose Coffee officially launched and has been operating its own app since 2021.
The number of app subscribers increased more than twofold from about 3 million in 2021 to about 6.5 million in 2022, surpassed 10 million last year, and currently has over 12 million members.
Despite fierce competition among coffee franchises recently, Compose Coffee has maintained the industry's lowest closure rate of about 0.5% as of 2022. According to the '2022 Franchise Business Status Statistics' announced by the Fair Trade Commission last year, the average closure rate for the coffee industry in 2021 was 7.8%.
A representative of Compose Coffee said, "The achievement of 2,500 franchise stores is thanks to the franchise owners who have worked hard together over the past 10 years and the customers who trust and love Compose Coffee," adding, "We will continue to foster mutual growth with franchise owners through constant communication and support, as well as enhance Compose Coffee's competitiveness with reasonable prices."
Meanwhile, Compose Coffee selects raw beans and roasts them directly through the best experts at the country's largest in-house roasting factory, ensuring smooth supply to franchise stores nationwide. This in-house process system reduces distribution stages, allowing franchise owners to receive high-quality beans at prices lower than market rates.
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