A Hollys open at 7 a.m.? Japan is already lining up

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A Hollys open at 7 a.m.? Japan is already lining up

Published: 10 May. 2025, 07:00

Audio report: written by reporters, read by AI

A line forms in front of a Hollys branch in Osaka, Japan, which opened last March. [KG F&F]

In March, a long line formed at 7 a.m. outside a commercial building in Honmachi, a business district in Osaka, Japan. People were queuing for an “open run” to enter the newly opened Hollys Coffee Honmachi branch.

“I visited Hollys when I traveled to Korea,” one Japanese customer said. “I’m happy I can now enjoy a Korean-style cafe here in Japan.”

Amid the continued popularity of K-pop, fashion and beauty among Japan’s millennials and Gen Z, Korean food companies are stepping up efforts to win over Japanese consumers. Unlike in the past, when poorly executed localization led to setbacks, Korean companies are now highlighting authentic Korean flavors to establish a stronger foothold in Japan — both as a strategic entry point to expand beyond the saturated Korean domestic market and as part of broader global ambitions.

CJ CheilJedang, which established its Japanese subsidiary, CJ Foods Japan, in 2019, is building a large dumpling factory in Kisarazu, Chiba Prefecture, Honshu, to expand its presence in Japan’s dumpling market.

CJ CheilJedang said Thursday that the new facility will cover 42,000 square meters (10.3 acres) — roughly six football fields — with a total floor area of 8,200 square meters. The factory is set to be complete in July and will begin producing Bibigo dumplings for nationwide distribution starting in September.

The company initially entered the Japanese dumpling market in 2019 by acquiring local brand Gyoza Keikaku, securing production bases in Osaka, Fukuoka, Gunma Prefecture and Akita Prefecture to manufacture Bibigo products. However, facing production capacity limits, CJ opted to build its own plant.

A render of CJ CheilJedang's dumpling factory set to open in Chiba Prefecture, Japan [CJ CHEILJEDANG]

Last month, CJ Group Chairman Lee Jay-hyun visited Japan for his first overseas business inspection of the year, reviewing local operations. During his visit, he reportedly told local executives, “With Bibigo already in position, we cannot afford to miss the renewed popularity of Hallyu.”

In Japan, Bibigo dumplings, gimbap (seaweed rice rolls) and sauces are already sold through major retail channels such as Costco, Amazon and Rakuten.

“In Japan’s 1.1 trillion won [$785.37 million] frozen dumpling market, gyoza accounts for more than half,” CJ CheilJedang said, adding that the new plant will enhance both the quality and volume of its food business.

Korean chains specializing in coffee, fried chicken and burgers are also making inroads into Japan. Hollys Coffee opened its second store in Osaka this March, following its first branch in the Namba Marui department store last May. The Namba location quickly became popular, attracting about 700 daily visitors and more than 300,000 total customers. The company says it has become a go-to meeting spot for young Japanese shoppers.

The Hollys in Osaka maintains Korean-style menu items and service, offering wireless chargers and Instagram-friendly photo zones. Its yakgwa [Korean honey cookie] cream latte ranks just behind its Americano and cafe latte in popularity.

“Having successfully introduced premium Korean cafe culture in Osaka, we plan to continue expanding our presence with additional locations this year,” said Lee Jong-hyun, CEO of Hollys operator KG F&B.

A line forms in front of the Mom's Touch store in Shibuya, Japan. [MOM'S TOUCH]

Another success story is Mom’s Touch, a Korean chicken burger chain that entered Japan last April by opening a flagship store in Shibuya — in a location formerly occupied by McDonald’s for 39 years. The store generated 510 million yen ($3.5 million) in annual revenue and drew 700,000 visitors in its first year.

Korean-style seasoned boneless chicken, cheese bulgogi burgers and honey garlic chicken burgers have been particularly popular. The company plans to open a second store in Harajuku, Tokyo, with 300 seats within the first half of this year.

Harajuku, one of Tokyo’s most iconic shopping districts, was also the launch site last year for Korean fried chicken brand Kkanbu Chicken’s first Japanese store.

Meanwhile, popular Korean bakery brand London Bagel Museum established a Japanese corporation last November and is preparing for its local debut.

Korean food companies are eyeing a new wave of Korean cultural interest in Japan. Unlike the early 2000s, when the first Korean Wave focused on middle-aged women consuming TV dramas, the current trend sees younger Japanese in their 20s and 30s interested in the lifestyle featured in K-content.

Kkanbu Chicken's first Japanese store in Harajuku, Tokyo, which opened in April 2024 [KKANBU CHICKEN]

With exposure to Korean dramas and films via social media and over-the-top platforms, young Japanese consumers have developed a strong interest in Korean foods such as fried chicken and tteokbokki (spicy stir-fried rice cakes).

“As the fandom-driven consumption culture known as oshikatsu spreads across generations, the influence of Korean culture has expanded,” a CJ Group official said. “Young Japanese consumers in their 20s and 30s are leading this shift, which has extended into food, beauty, fashion and other lifestyle sectors.”

Still, industry watchers caution that Japan remains a tough market. Despite its size and rich culinary diversity, Japan has also been the graveyard for many foreign food ventures.

“Japan is filled with specialty restaurants that emphasize tradition and craftsmanship,” said one food industry insider. “If Korean companies fail to quickly respond to local consumer reactions, today’s popularity could fade just as quickly.”

Translated from the JoongAng Ilbo using generative AI and edited by Korea JoongAng Daily staff.
BY KIM KYUNG-MI [[email protected]]