The Filipino F&B group is seeking to accelerate franchised expansion for Compose Coffee, The Coffee Bean & Tea Leaf and Highlands Coffee in 2025, with South Korea, India and Vietnam key markets for growth
A customer using The Coffee Bean & Tea Leaf mobile ordering app | Photo credit: The Coffee Bean & Tea Leaf
Jollibee Foods Corp (JFC) is seeking to significantly ramp up franchised outlet growth across its coffee and tea businesses this year.
The Manila-based foodservice giant plans to open 700-800 net new stores globally in 2025 across its F&B brand portfolio. In a news briefing, Chief Financial Officer Richard Shin said the bulk of expansion over the next nine months will come from its Compose Coffee, The Coffee Bean & Tea Leaf (CBTL) and Highlands Coffee chains.
Alongside 336-store Taiwanese bubble tea chain Milksha, the café chains comprise 52% of JFC’s 9,776 global store network.
South Korea’s Compose Coffee and Vietnam’s Highlands Coffee are among the largest branded coffee chains in their domestic markets, with 2,600 and 800 stores respectively, while CBTL has a greater global reach with over 1,200 outlets across 24 countries.
JFC is seeking to add at least 360 new Compose Coffee stores in South Korea in 2025, with Shin noting increased demand from prospective franchisees since JFC acquired the brand for $238m in the second half of 2024.
“We’re building 30 stores a month just in South Korea and that is because franchisees are coming in to take this brand on,” he said.
Manila-based JFC is also aiming to double Highlands Coffee’s net outlet growth this year with 150-180 stores across Vietnam and the Philippines, currently the coffee chain’s only international market with 43 sites.
The majority of CBTL’s expansion is set to come from India after the coffee chain signed a master franchise agreement with Kolkata-based Ekaagra Ostalaritza Pvt Ltd in December 2024 to open more than 200 stores by 2030. The franchise partners expect to open at least 25 net new stores over the next 12 months.
“Master franchisees expand with speed and franchised cafés are quicker and to some extent easier to build,” Shin added.
JFC posted 10.6% year-on-year revenue growth last year to reach P270bn ($4.7bn). CBTL, Highlands Coffee and Compose Coffee contributed 16%, 13% and 8% respectively to system-wide-sales growth in the group’s international reporting segment.
JFC’s largest non-café brands include its eponymous fast-food Jollibee chain and the Greenwich Pizza, Smashburger and Chowking restaurant concepts.