The Venti’s average annual franchise sales fall 5% as coffee brands diverge

Average annual sales per franchised outlet at The Venti fell by 5.0% between 2021 and 2024. Over the same period, Compose Coffee recorded a modest rise in sales per outlet, while Mega MGC Coffee achieved double-digit growth. Although all three budget coffee brands expanded their networks, average sales at individual outlets moved in different directions.

The Venti’s average annual sales per outlet fall by KRW 9.11 million

According to a Yonhap News Agency report dated 24 September 2026, Park Sung-hoon, a People Power Party MP serving on South Korea’s National Assembly National Policy Committee, released an analysis of changes in outlet numbers and sales at major coffee franchises, using data submitted by the Korea Fair Trade Commission. The comparison covers 2021 and 2024. Although the report was published in 2026, the figures describe changes only up to 2024.

The Venti’s average annual sales per franchised outlet fell from KRW 183.14 million in 2021 to KRW 174.03 million in 2024. That represents a decline of KRW 9.11 million, or 5.0%. These figures refer to average annual sales at each franchised outlet, not total sales across the brand. They therefore do not mean that combined sales across all The Venti outlets fell at the same rate.

Over the same period, The Venti’s franchised outlet count increased by 474 to 1,230, a rise of 62.7%. In other words, the network grew while average sales per outlet declined. This divergence between network expansion and outlet-level sales is the key pattern shown by the data for The Venti.

However, these figures do not establish that every existing franchisee experienced a 5% fall in sales. The cited report does not specify whether the comparison tracks the same outlets throughout, or how performance differed between new and established outlets. The fall in the average is clear, but identifying which groups of outlets drove it requires further analysis.

Compose Coffee edges up as Mega MGC Coffee records stronger growth

Sales per outlet at the other budget coffee brands followed a different pattern. Compose Coffee’s average annual sales per franchised outlet rose from KRW 178.86 million in 2021 to KRW 180.30 million in 2024. This was an increase of KRW 1.44 million, or 0.8%. Average sales rose between the two dates, but only slightly.

Mega MGC Coffee’s average annual sales per franchised outlet increased from KRW 202.50 million to KRW 224.10 million over the same period. The rise of KRW 21.60 million amounted to 10.7%, the highest growth rate among the three brands covered in the report. Its average sales in 2024 were also the highest of the three.

All three brands expanded their outlet networks. Mega MGC Coffee added 1,732 franchised outlets, bringing its total to 3,325, while Compose Coffee added 1,364 to reach 2,649. These represented increases of 108.7% and 106.1%, respectively. Both brands more than doubled their franchised outlet counts over the comparison period.

Despite operating in the same budget coffee segment, the brands differed in both the direction and scale of changes in sales per outlet. The Venti recorded a decline, Compose Coffee a modest rise, and Mega MGC Coffee a more pronounced increase. Prospective franchisees should therefore examine outlet-level figures for the specific brand they are considering, rather than treating budget coffee chains as a single category.

This comparison is not, however, a profitability ranking. Sales represent the money an outlet takes from selling its products, not the profit left for its owner. The supplied data do not compare net profits after rent, wages, ingredients and other costs. Higher average sales alone do not establish that franchisees earn more.

Operating company revenue and outlet sales are separate measures

Revenue at The Venti’s operating company rose by KRW 39.3 billion to KRW 94.7 billion over the same period, an increase of 71.0%. The fact that company revenue grew while average annual sales per franchised outlet fell shows why the two figures should not be treated as equivalent performance measures.

Compose Coffee’s operating company recorded revenue of KRW 89.7 billion, up KRW 38.2 billion, or 74.2%. Revenue at Mega MGC Coffee’s operating company rose by 464.3%, from approximately KRW 87.9 billion to KRW 496.0 billion. These figures describe changes in the operating companies’ revenue; they do not directly measure individual outlet sales or franchisees’ income.

Franchisor revenue and franchisee sales measure different things. When reading news about a brand’s growth in franchise communities, it is important to establish whether a figure refers to the operating company, combined sales across all outlets, or average sales per outlet. In this report, interpreting the operating company’s revenue growth as growth in outlet sales would lead to conclusions that the data do not support.

It is equally important to distinguish between observed changes and causes that the data do not establish. The cited report provides no evidence proving that The Venti’s fall in average sales was caused by a particular cost policy or by new outlets opening nearby. The fact that network expansion and declining average sales occurred over the same period does not, on its own, establish a causal relationship.

Franchise assessments need to look beyond the average

These figures provide a starting point for comparing sales trends across brands, but they do not forecast the performance of a particular proposed outlet. Nationwide franchise averages must be distinguished from expected sales in an individual trading area. Using the average directly as a sales target in a business plan may fail to reflect the conditions of the proposed location.

Prospective franchisees should first ask which outlets and trading periods are included in the average sales calculation. Other useful questions include how new outlets are counted, whether data are available on regional differences, and which existing outlets offer a meaningful comparison with the proposed location. These are due-diligence questions for applying public figures to an individual investment decision, rather than findings established by the report.

For existing franchisees, the brand average is also only one benchmark. Owners need to examine their own outlet’s sales trends and cost changes over the same period to assess how a sales decline has affected operating performance. Equally, even if sales have risen, a separate calculation is needed to determine whether the result after costs has improved.

The practical takeaway is straightforward. Recognise the difference between The Venti’s falling average sales and the increases at the other two brands, but do not treat any of these figures as a forecast of an individual outlet’s future profit. Before committing to a franchise, prioritise up-to-date outlet data alongside the costs associated with the proposed location.