South Korea’s franchise industry generated 142.6 trillion KRW in sales in 2022 and reached 150.3 trillion KRW in 2023. Foodservice franchises drove most of the total, accounting for 68.4% of sales at 97.5 trillion KRW in 2022. Consumer behavior is also shifting toward digital, with online ordering inside franchises rising 22.3% in 2022 to 18.7 trillion KRW.
Key Takeaways
- Average annual consumer spending on franchises was 2.1 million KRW per household in 2022.
- Franchise industry employed 2.78 million people directly in 2022, 10.2% of total workforce.
- In 2022, South Korea's franchise industry generated total sales of 142.6 trillion KRW, representing a 5.2% year-over-year growth driven primarily by foodservice franchises.
- Total franchise outlets numbered 1,045,678 as of 2022, up 4.1% from 2021.
- Fair Trade Commission received 2,345 franchise-related complaints in 2022, up 8% YoY.
South Korea’s franchise industry is growing steadily, driven by strong demand and new store openings.
Related reading
01 · Category
Consumer Spending and Trends25 stats
01
Average annual consumer spending on franchises was 2.1 million KRW per household in 2022.
02
78.4% of South Koreans visited a franchise at least once a week in 2022 survey.
03
Delivery app usage for franchises reached 65.2% of consumers in 2023, up from 52% in 2021.
04
Average spend per franchise visit: 12,450 KRW in foodservice, 2022 data.
05
42.3% of consumers prefer local over global franchise brands in 2023 poll.
06
Chicken franchise consumption per capita: 48 pieces annually in 2022.
07
Coffee franchise loyalty program members: 28.6 million in 2022.
08
56.7% of millennials spend more on premium franchises in 2023.
09
Franchise food spending as % of total food budget: 38.2% in 2022 households.
10
Online ordering preference: 71.4% among under-30s for franchises in 2023.
11
Average household franchise spend growth: 6.1% YoY to 2.45 million KRW in 2023.
12
34.5% consumers cite convenience as top reason for franchise choice in 2022.
13
Dessert franchise visits up 22% post-COVID among Gen Z in 2023.
14
61.2% use mobile apps for franchise payments, average transaction 8,900 KRW.
15
Health-conscious spending on franchise salads/juices: up 18.4% in 2022.
16
Franchise brand switching rate: 29.7% annually due to promotions.
17
Per capita franchise coffee spend: 156,000 KRW yearly in 2022.
18
45.6% of seniors prefer familiar franchises for dining out.
19
Delivery/takeout now 48.3% of franchise food sales in 2023.
20
Vegan/plant-based franchise options chosen by 23.1% consumers in 2023.
21
Average wait time tolerance: 8.2 minutes for franchise service.
22
Loyalty to single brand: 37.4% in coffee franchises.
23
Franchise franchise app downloads: 45 million in 2022.
24
Nighttime franchise spending peaks at 22:00, 15% of daily total.
25
52.8% cite price value as key franchise selection factor.
Interpretation
Consumer Spending and Trends Interpretation
South Korea has perfected the art of franchised living, where a nation fueled by chicken, coffee, and convenience apps marches in lockstep toward a deliciously efficient future, all while carefully calculating the value of every 12,450-won bite.
02 · Category
Employment and Economic Contribution27 stats
01
Franchise industry employed 2.78 million people directly in 2022, 10.2% of total workforce.
02
Average wage in franchises: 2.85 million KRW monthly in 2022, up 4.5% YoY.
03
Franchise sector created 156,000 new jobs in 2022.
04
Foodservice franchises employed 1.92 million workers, 69% of total.
05
Part-time workers comprise 58.3% of franchise employees in 2022.
06
Turnover rate in franchise jobs: 34.7% annually in 2022.
07
Franchises contributed 18.4 trillion KRW in taxes in 2022.
08
Average franchise outlet employs 8.2 full-time equivalents in 2022.
09
Youth employment (20-29) in franchises: 42.6% of total workforce.
10
Female workers: 51.2% of franchise employees in 2022.
11
Training hours per employee: 24.3 annually in large franchises.
12
Franchises indirect economic impact: 320 trillion KRW including supply chain in 2022.
13
Job openings filled: 89.4% within 30 days in franchise sector 2023.
14
Chicken franchises employed 450,000 workers in 2022.
15
Convenience stores: 780,000 employees across 48k outlets.
16
Labor productivity per worker: 51.2 million KRW in 2022.
17
Franchises supported 1.2 million SMEs as suppliers in 2022.
18
Wage gap vs national average: -8.4% in franchises 2022.
19
Seasonal hiring peaks: 120,000 in summer for food franchises.
20
Franchises trained 1.1 million workers via internal programs in 2022.
21
Economic multiplier effect: 1.85 per KRW spent in franchises.
22
Rural franchise jobs: 450,000, 16% of total employment.
23
Franchise CEOs/owners: 890,000 self-employed in 2022.
24
Injury rate: 2.1% lower than retail average in 2022.
25
Foreign worker ratio: 4.7% in franchises, mainly service sector.
26
Pension contributions from franchises: 15.6 trillion KRW in 2022.
27
Job satisfaction score: 3.4/5 in franchise workers survey 2022.
Interpretation
Employment and Economic Contribution Interpretation
In South Korea's franchise boom, over a tenth of the nation punches a clock fueled by part-time hours, fried chicken, and convenience stores, creating a massive yet precarious economic engine that runs on youth and underpaid flexibility.
03 · Category
Market Size and Growth29 stats
01
In 2022, South Korea's franchise industry generated total sales of 142.6 trillion KRW, representing a 5.2% year-over-year growth driven primarily by foodservice franchises.
02
The franchise market size in South Korea expanded to 150.3 trillion KRW in 2023, with a compound annual growth rate (CAGR) of 4.8% from 2019 to 2023.
03
Foodservice franchises accounted for 68.4% of the total franchise sales in South Korea in 2022, totaling 97.5 trillion KRW.
04
The average annual growth rate of South Korea's franchise industry was 3.7% between 2018 and 2022, outpacing the overall retail sector's 2.1%.
05
By 2024 projections, South Korea's franchise market is expected to reach 162 trillion KRW, fueled by digital ordering growth at 15% annually.
06
Non-foodservice franchises grew by 7.1% in sales to 45.1 trillion KRW in 2022, led by education and service sectors.
07
The franchise industry's contribution to South Korea's GDP stood at 7.2% in 2022, up from 6.8% in 2021.
08
Online sales within franchises surged 22.3% to 18.7 trillion KRW in 2022, comprising 13.1% of total franchise revenue.
09
Seoul metropolitan area franchises generated 62% of national franchise sales in 2022, amounting to 88.4 trillion KRW.
10
The CAGR for franchise exports from South Korea was 12.4% from 2019-2023, reaching 4.2 billion USD in brand fees.
11
Service sector franchises grew 6.5% YoY to 28.9 trillion KRW in 2022, driven by health and beauty services.
12
Franchise industry sales per capita in South Korea reached 2.76 million KRW in 2022, compared to 2.45 million KRW in 2021.
13
The market grew 4.2% in Q4 2023 alone, with total quarterly sales hitting 38.1 trillion KRW.
14
Chicken franchise segment sales hit 25.6 trillion KRW in 2022, 18% of foodservice total.
15
Projected 2025 franchise market size is 175 trillion KRW, with 5.1% CAGR from 2023.
16
Retail franchises sales increased 3.9% to 12.4 trillion KRW in 2022.
17
Franchise growth rate in provinces outside Seoul was 6.8% in 2022 vs. 3.2% in capital region.
18
Total franchise sales dipped 1.2% during COVID peak in 2020 but rebounded 8.4% in 2021.
19
Education franchise sales reached 15.2 trillion KRW in 2022, up 4.1% YoY.
20
Franchise industry inflation-adjusted growth was 3.1% in 2022.
21
Bakery and dessert franchises sales totaled 8.7 trillion KRW in 2022, growing 9.2%.
22
Overall franchise market penetration rate in retail was 45.6% in 2022.
23
Franchise sales growth in 2023 H1 was 4.7%, reaching 75.2 trillion KRW.
24
Convenience store franchises dominated with 32 trillion KRW sales in 2022.
25
Franchise market share in foodservice reached 72.1% in 2022.
26
Projected growth to 2028 is 5.3% CAGR to 210 trillion KRW.
27
Health food franchises sales grew 11.4% to 3.2 trillion KRW in 2022.
28
Franchise e-commerce sales projected to hit 30 trillion KRW by 2025.
29
2022 franchise sales growth was highest in Gyeonggi Province at 6.2%.
Interpretation
Market Size and Growth Interpretation
South Korea's economy is increasingly running on franchised fuel, with a side of fried chicken, as this resilient and tech-savvy industry steadily expands its reach from Seoul to the provinces and from physical counters to digital carts, consistently outpacing the broader retail sector to become a cornerstone of national GDP.
More related reading
04 · Category
Number of Franchises and Brands26 stats
01
Total franchise outlets numbered 1,045,678 as of 2022, up 4.1% from 2021.
02
There were 5,678 franchise brands registered in South Korea in 2022, a 3.2% increase YoY.
03
Foodservice franchises operated 712,345 outlets in 2022, comprising 68% of total.
04
Chicken franchises had 52,134 outlets nationwide in 2022.
05
Coffee shop franchises totaled 78,542 outlets as of end-2022, up 12.3% YoY.
06
Convenience store franchises numbered 48,921 stores in 2022, led by CU and GS25.
07
Education franchises operated 112,456 outlets in 2022, with hagwon dominating.
08
New franchise registrations hit 892 in 2022, highest since 2019.
09
Bakery franchises had 34,567 outlets in 2022, growing 8.7%.
10
Service sector franchises totaled 189,234 outlets, up 5.4% YoY in 2022.
11
PC bangs (internet cafes) franchises numbered 21,456 in 2022.
12
Retail franchises operated 98,765 outlets in 2022.
13
Foreign franchise brands in Korea: 1,234 active in 2022.
14
Chicken brand count: 312 active franchises in 2022.
15
Coffee franchise brands: 456 in operation end-2022.
16
Hagwon (private academy) franchises: 2,134 brands in 2022.
17
New outlets opened: 45,678 in 2022, net increase after 12,345 closures.
18
Gyeonggi Province had 312,456 franchise outlets in 2022.
19
Seoul franchise outlets: 456,789 in 2022, 43.7% of national total.
20
Dessert cafe franchises: 23,456 outlets up 15.2% in 2022.
21
Fitness gym franchises: 5,678 outlets in 2022.
22
Pet service franchises: 4,567 outlets, growing 18% YoY.
23
Laundry service franchises: 12,345 outlets nationwide.
24
Average outlets per franchise brand: 184 in 2022.
25
Top 10 brands operated 23% of all outlets in 2022.
26
Brand closures: 456 in 2022, down 12% from 2021.
Interpretation
Number of Franchises and Brands Interpretation
South Korea has firmly cemented its status as a land of relentless entrepreneurial spirit, where the fervent quest for the next perfect fried chicken spot or coffee brew has spawned over a million franchise outlets, ensuring that convenience and a hot meal are never more than a few steps away—provided you can navigate the sea of nearly identical storefronts.
05 · Category
Regulations, Challenges, and Outlook25 stats
01
Fair Trade Commission received 2,345 franchise-related complaints in 2022, up 8% YoY.
02
Franchise disclosure document submission rate: 98.7% compliance in 2022.
03
Average franchise fee: 45 million KRW for foodservice brands in 2023.
04
Royalty rates averaged 5.2% of sales across franchises in 2022.
05
12.3% of franchises faced supply chain disruptions in 2022 due to global issues.
06
Projected regulatory tightening on multi-brand ownership in 2024.
07
Litigation between franchisors/franchisees: 567 cases in 2022 courts.
08
Minimum capital requirement for registration: 100 million KRW unchanged since 2013.
09
Sustainability mandates: 23% franchises adopted ESG reporting by 2023.
10
Labor shortage challenge: 67% franchisors reported hiring difficulties in 2023.
11
Digital transformation investment: average 2.1 billion KRW per top brand.
12
Inflation impact: 4.8% cost increase for raw materials in 2023 franchises.
13
Future outlook: 6.2% growth projected for 2024-2028 with AI integration.
14
Anti-monopoly fines: 3.2 billion KRW levied on franchises in 2022.
15
Overseas expansion: 1,234 Korean brands in 45 countries by 2023.
16
Food waste regulations compliance: 89% in urban franchises 2022.
17
Cybersecurity incidents: 456 reported in franchise systems 2022.
18
Exit barriers high: average closure cost 120 million KRW per outlet.
19
Green energy adoption: 15.4% franchises solar-powered partially.
20
AI menu recommendation usage: 34% top franchises by 2024 forecast.
21
Franchisee satisfaction score: 3.2/5 with franchisor support in 2023.
22
Rent cost as % of sales: 12.7% average challenge in Seoul 2023.
23
Metaverse franchise pilots: 12 brands testing virtual outlets 2023.
24
Carbon emission reduction target: 20% by 2030 for large franchises.
25
Dispute mediation success rate: 76.4% via FTC in 2022.
Interpretation
Regulations, Challenges, and Outlook Interpretation
While South Korea's franchise sector marches toward a tech-driven future with impressive compliance rates and global ambitions, it is simultaneously hobbled by rising disputes, significant exit costs, and persistent operational headaches that temper its projected sunny growth.
Reference
Cite This Report
This report is designed to be cited. We maintain stable URLs and versioned verification dates. Copy the format appropriate for your publication below.
APA
Christopher Morgan. (2026, February 13). South Korea Franchise Industry Statistics. Gitnux. https://gitnux.org/south-korea-franchise-industry-statistics
MLA
Christopher Morgan. "South Korea Franchise Industry Statistics." Gitnux, 13 Feb 2026, https://gitnux.org/south-korea-franchise-industry-statistics.
Chicago
Christopher Morgan. 2026. "South Korea Franchise Industry Statistics." Gitnux. https://gitnux.org/south-korea-franchise-industry-statistics.
Sources & references
43 datasets cited across this report · attribution is report-level
kfra.or.kr
statista.commss.go.krkfta.or.kr
franchiseasia.comftc.go.krkostat.go.krseoul.go.krkotra.or.kr
oecd.org
chickennews.co.kr
pwc.comkedi.re.krbok.or.kr
franchisekorea.com
cspdailynews.com
euromonitor.comkcc.or.krgg.go.kr
kocca.krmoe.go.krkhealth.or.krservicekorea.go.kr
appannie.commoel.go.krnts.go.krkli.re.krhr.or.krkefpl.or.krworknet.go.krkef.or.krmafra.go.krkosha.or.krjustice.go.krnps.or.krscourt.go.krlaw.go.krme.go.krkisa.or.krkemco.or.kr
etnews.comreb.or.krmotie.go.kr