Revenue gap between franchise headquarters, outlets further widens

Korea's franchise headquarters saw their revenue rise while earnings at franchise outlets declined over the past two years, deepening the imbalance between franchisors and franchisees, industry data showed Friday. According to data from corporate tracker Leaders Index, sales trends across seven key sectors — coffee and beverages, fried chicken, pizza, convenience stores, bakery, dining, and cosmetics — showed widening disparities between headquarters and franchisees. The total number of franchise outlets in the seven sectors came to 92,885 last year, up 6.6 percent from 87,108 in 2022. During the cited period, franchise headquarters' revenue jumped 10.8 percent to 47.79 trillion won ($33.6 billion), while average franchise store sales fell 7.6 percent to 302 million won. The gap was most pronounced in the pizza sector, where headquarters' combined sales surged 66.5 percent to 1.12 trillion won, while franchisees' average sales dropped 11.9 percent to 311.6 million won. In the dining sector, sales at 54 franchise headquarters increased 29.7 percent over the two-year period, but averageWeiter zum vollständigen Artikel bei Korea Times Weiter zum vollständigen Artikel bei Korea Times