Jollibee Brings Compose Coffee to Manila With Five-Year Expansion Plan

First Store Opens in Metro Manila

Jollibee Group has launched Compose Coffee in the Philippines, opening the South Korean brand's inaugural store at Market! Market! shopping center in Bonifacio Global City, Taguig. The debut marks the beginning of a five-year expansion strategy designed to establish the country's most extensive Compose Coffee network beyond its home market.

The company plans to roll out stores nationwide through a franchise model that reduces capital requirements while accelerating growth. Jollibee Group, which holds a majority stake in Compose Coffee, is betting on the Philippines' growing appetite for affordable coffee to replicate the brand's rapid expansion in South Korea and Taiwan.

South Korea Track Record Informs Strategy

Compose Coffee has scaled to more than 3,000 locations across South Korea, adding 1,000 stores in approximately 18 months. Joseph Tanbuntiong, chief executive officer of Jollibee Group Philippines and head of Jollibee Brand Global, said the company's confidence stems from observing how the brand achieved consistent growth while maintaining customer focus and operational resilience.

"Our confidence in Compose Coffee's future in the Philippines is not based on projection alone. It is grounded in experience," Tanbuntiong said in a statement. The executive emphasized that Jollibee Group's understanding of local market dynamics and operational infrastructure will support disciplined expansion across the archipelago.

The Philippine rollout draws on lessons from Compose Coffee's recent entry into Taiwan, where Jollibee Group tested market strategies before bringing the brand home. The company aims to adapt those insights to Filipino consumer preferences while leveraging its established distribution and franchise management capabilities.

Franchise-Led Growth Model

Jollibee Group is pursuing a capital-light expansion approach, opening franchise opportunities to local entrepreneurs who want to participate in the coffee segment. This model mirrors the strategy that enabled Compose Coffee to saturate South Korea's market quickly, relying on franchisee investment rather than corporate capital expenditure.

The brand was founded in South Korea in 2014 with a positioning centered on accessibility, offering quality coffee at price points lower than premium chains. Jollibee Group acquired Compose Coffee in 2024 to strengthen its presence in the coffee and tea category, a segment dominated in Southeast Asia by chains like Starbucks, Coffee Bean & Tea Leaf, and regional players including Vietnam's Highlands Coffee and Indonesia's Kopi Kenangan.

Philippine Coffee Market Context

The Philippine coffee market has seen steady growth over the past decade, driven by rising disposable incomes among young urban consumers and the proliferation of café culture in Metro Manila and secondary cities. Local chains and international brands have expanded aggressively, while convenience-store coffee programs from 7-Eleven and Ministop have normalized grab-and-go coffee consumption.

Compose Coffee enters a competitive landscape where price sensitivity remains high. The brand's value proposition, tested across more than 3,000 South Korean stores, positions it between premium cafés and convenience-store offerings. Jollibee Group's franchise network and supply-chain scale could provide cost advantages that support competitive pricing.

The five-year timeline suggests Jollibee Group is targeting several hundred stores by 2031, though the company has not disclosed specific unit targets. Achieving the largest international network outside South Korea would require surpassing Taiwan's store count, which remains undisclosed but is understood to be in the early stages of growth.

Regional Coffee Expansion in Focus

Jollibee Group's move to accelerate Compose Coffee in the Philippines reflects broader regional trends. Southeast Asian conglomerates are investing heavily in coffee chains as the region's middle class expands and Western café habits take root. Indonesia's Kopi Kenangan, backed by Sequoia Capital, has opened hundreds of locations across the archipelago. Vietnam's Highlands Coffee continues to expand beyond its home market, while Thailand's Café Amazon leverages PTT gas stations for distribution.

The franchise model reduces Jollibee Group's financial exposure while enabling rapid market penetration. Franchisees assume real-estate and operational risks, allowing the parent company to focus on brand management, supply-chain coordination, and quality control. This approach has proven effective for Jollibee's core fast-food business, which operates thousands of franchised locations globally.

Tanbuntiong emphasized that the expansion will prioritize sustainable growth over speed alone. "Our goal is to build an enduring brand by earning the trust of Filipino consumers as we expand Compose Coffee across the Philippines with discipline and purpose," he said.

The Market! Market! store will serve as a testing ground for menu localization, service standards, and operational workflows before broader rollout. Jollibee Group has not announced the next batch of locations or a detailed timeline for provincial expansion, but the franchise recruitment process is expected to begin in the coming months.