- A survey of 100 roastery coffee shop owners found that most shops (47%) were located in residential areas, followed by commercial areas (13%).
- When asked about difficulties running their shops, the most common issues reported were heavy workload (23%) and managing coffee bean stock (30%).
- On average, shops sold 50-100 cups of coffee per day, with coffee drinks making up about half of total beverage sales. However, only a third promoted their identity as a roastery shop.
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3. Survey Of Roastery Coffee Shops
1. Korean Coffee Market 3
Survey of 100 Roastery Coffee Shops
Business Management is
More Difficult than Roasting
The Korean coffee market is currently under a roastery coffee shop fever unprecedented worldwide. In what
environment do the owners of roastery coffee shops actually manage their shops and what do they think
of the current situation? To find out, Monthly Coffee conducted a survey of 100 owners of roasteries among
subscribers of the magazine, members of the Specialty Coffee Association of Korea, and the list of roastery
coffee shops provided by roaster selling companies.
>> Basic survey of respondents
Number of respondents By region By sex By age
Seoul 50, Gyeonggi-do 20,
20s 7, 30s 60, 40s 27,
Total 100 Gyeongsang-do 14,Jeolla-do 10, Male 87, female 13
50s 3, 60s 3
Chungcheong-do 3, Gangwon-do
43% 46%
47%
27%
27%
13% 17% 17% 20%
13%
6% 7% 10% 7%
Business Office Residential Station etc 1~2 3~5 6~9 10~19 20 Less than More than 1 year More than 3 years More than
1 year Less than 3 years Less than 5 years 5 years
Commercial Area Number of a Nearby Cafe Operating Experience
>> General shop management
1.Where is your shop located? followed by subway station areas at 7 percent, and offices
To the question where their shops are located, at 6 percent.
47 percent replied residential areas accounting for 2. What is the number of coffee shops within
almost half of all. We can tell from this that most your shops 200m radius?
roastery coffee shops are located in residential areas. This question was asked to find out how many
This was followed by 属other属賊 such as college areas, coffee shops are located within the 200m radius
areas without special commercial zones, commercial from their shops. It may differ depending on the
areas or combined. Of the respondents, 13 percent commercial zone, but we can tell the degree of
said their shops are located in commercial areas, competition by looking at the distribution of coffee
2012 09
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2. shops within a distance considered close enough to that the number of shop owners who started to learn
be considered competing shops. For your reference, roasting in the last three years is increasing. This was
coffee shops here include all whether with or without followed by 33 percent responding over 5 years and
roasteries. Fast food shops whose main business 27 percent over 3 and less than 5 years, both of which
is not selling coffee were excluded. According to are relatively high. Below one year was minimal at 3
the results, 43 percent responded 3~5. Those who percent. The ratios of those answering over one and
responded 1~2 was relatively low at 17 percent but below three years, between three and five years, and
13 percent said between 6~9, 17 percent between over five years were similar without drastic differences.
10~19, and even 20 percent over 20. This means 4. What is the capacity of your roaster?
about 80 percent of roasteries compete with more We asked the capacity of their roasters (if using
than three up to 20 competing coffee shops in their more than two roasters, the sum of both). Those using
neighborhood. roasters of 1kg capacity accounted for the most at 40
3. How many years of roasting experience do you percent followed by 30 percent of 3kg. This means that
have? about two thirds of all roasteries use small roasters
This was a question separate from the period of shop of between 1~3kg capacity. These were followed by
operation because the period of shop operation is not 17 percent using roasters capable of roasting over
necessarily the same as the period of their roasting 6kg and 7 percent of 10kg capacity. Only 6 percent
experiences. The survey results showed that 37 percent answered using below 1kg or several roasters adding
had over one and below years of experience. This means up to over 20kg.
>> Level of satisfaction with the operation of roasteries
What was the most difficult about running a Generally, in individual roastery shops, the owner is
roastery? responsible for the roasting, extracting and providing
W hatever shop one runs, there are many services as well as other detailed items. As such, they
difficulties. But we asked what they found the most find the work load difficult to handle as they need
difficult about particularly running a roaster y. to process and manage as the owners of the shops,
Answers provided to choose from were managing the roasting schedule, shop management schedule
the coffee bean stock, profit rate, uniform taste, and other items. The answer with the third largest
civil complaints from the neighborhood, work load, number of respondents was uniformity at 17 percent.
and other. Managing coffee bean stock had the Roastery coffee shops find it difficult to provide
greatest number of respondents with 30 percent uniform taste meaning they worr y much about
saying they found it difficult to measure the amount roasting itself. Other answers included low profit at
of coffee bean consumption and appropriately 13 percent, other at 10 percent, and civil complaints
managing the stock according to the frequency of from the neighborhood at 7 percent. Compared to
roasting. The answer with the second largest number other questions, the answers were not biased toward
of respondents was work load with 23 percent one but relatively diverse meaning they commonly
saying that they only have one person managing feel various difficulties running a roastery which
the business and having to take care of everything. requires management in various areas.
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9-11 Survey of roastery coffee shops.indd 2 12. 04. 10 ろ 8:42
3. >> Roastery menu and sales
1.Average number of cups of coffee sold daily Usually
7%
Very dissatisfied
3%
This question enables indirectly finding out a shops sales. Fifty to
hundred cups topped the list at 43 percent, followed by 100~200 cups at 24 Satisfied
37%
Very satisfied
53%
percent. Those selling 10~30 cups remained at 13 percent, and 10 percent
said they sold 30~50 cups, followed by over 200 cups at 10 percent. The
Operating of Satisfaction Roastery
results show that when there are 10 shops selling a minimum KRW one
million worth of coffee provided that the average cost of a cup is KRW 5,000, Beans for sale
30%
there are over 10 shops selling around KRW 100,000 worth of coffee a day. Differentiated
concept
2. Ratio of the coffee menu to all drinks 17% Quality
improvement
Of all drinks sold daily, we asked what the share of various coffee drinks 47%
includ9ing espresso and americano was. There wasnt a single shop selling Lower cost
6%
less than 10 percent and 6 percent answered between 10~30 percent, Operation Reasons of Roastery
which the lowest. Those answering 30~50 percent accounted for half at Overload work Other
23%
Beans inventory
50 percent. This means that the coffee menu accounts for about half of 10%
management
30%
all drinks sold. On the other hand, the fact that the coffee menu does not
Revenue
surpass even half of all drinks in a roastery that does its own roasting to Uniformity 13%
of taste
provide fresh and tasty coffee, means that roasteries have not been able Complaints 17%
7%
to appeal to clients their identity as a roastery. Those who answered coffee Operating Difficulties of Roastery
took up 50~70 percent of their drink menu stood at 37 percent. That is,
only one third of roasteries are benefiting from their identity as a roastery 43%
and appealing to clients as a roastery. 24%
3. Ratio of hand-drip coffee to the entire coffee menu 13%
10% 10%
In the coffee industry, we normally think of roastery coffe shop = hand-
10~30 30~50 50~100 100~200 More than
drip coffee. We investigated the actual ratio of hand-drip coffee sold to all cups cups cups cups 200 cups
coffee drinks. The results showed that 13 percent sold less than 10 percent, Average Daily Sales of Cups
40 percent sold between 10~30 percent, scoring the highest, and 17 50%
percent sold between 30~50 percent, while 13 percent sold between 50~70 37%
percent, and 17 percent sold over 70 percent.
7%
4.Ratio of coffee bean sales to total sales 6%
We found out the ratio of coffee beans sales to total sales of the 10~30% 30~50% 50~70% over 70%
shops. Less than 10 percent accounted for 13 percent of respondents
Contrast Between Drinks and Coffee
and 50 percent answered 10~30 percent, meaning that the sale of
coffee beans account for 10-30 percent of total sales for half of all 40%
respondents. Next, 17 percent answered 30~50 percent and 7 percent 17% 17%
answered 50~70 percent. A significant number of respondents, that is 13% 13%
13 percent, answered over 70 percent. Although the sale of coffee beans
10% 10~30% 30~50% 50~70% over 70%
has just started being vitalized in all roastery coffee shops, it is clearly
an area of potential growth in the future. Sales Rate of Hand Drip Coffee
2012 11
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