Master Franchise Agreements Signed for Eight Major Cities Including Beijing and Shenzhen
Chengdu Launch in June... First Stores to Open in Each City in the Second Half of the Year
Following its expansion in the United States, BBQ, the chicken franchise, is set to accelerate its business growth in China, which boasts a dining-out market worth 1,000 trillion won.
Genesis BBQ Group, the operator of BBQ, announced on May 20 that it had signed master franchise (MF) agreements with eight key regions in China at its headquarters in Songpa-gu, Seoul, on May 16.
Yoon Honggeun, chairman of Genesis BBQ Group (seventh from the left), is taking a commemorative photo after signing master franchise agreements with eight key regions in China on the 16th. [Photo by Genesis BBQ]
China, with a population of approximately 1.4 billion, is one of the world's largest domestic markets alongside India. As of last year, the dining-out market alone was estimated at around 5 trillion yuan (about 1,000 trillion won), recording an annual growth rate of over 10%.
BBQ will initially target eight strategic regions within China: Beijing, Qingdao, Jinan, Shenzhen, Xiamen, Wuhan, Xi'an, and Chengdu. These areas are political, economic, and tourism hubs of China, and have higher income levels compared to other regions.
In addition, BBQ has granted exclusive city-level operating rights to local foodservice franchise companies with extensive business experience and distribution networks. These companies, which hold regional agency rights, will complete headquarters-led operational training and begin recruiting franchisees within their respective regions.
BBQ plans to establish detailed, customized strategies that reflect the consumer characteristics, commercial district structures, and culinary culture differences of each region. The company will also develop new menu items featuring spicy sauces and local ingredients tailored to Chinese tastes, while applying the same manuals, training, and logistics systems as those used by the Korean headquarters.
Starting with Chengdu, BBQ plans to open directly operated stores in each region by the second half of this year. Based on this, the company aims to operate more than 1,000 stores across China as its initial goal.
A BBQ representative stated, "Through this contract, which is an unprecedented scale for a single franchise brand, we will secure the foundation to establish a stable and sustainable franchise model in China."
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