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Paris Baguette: The Korean Bakery Chain Aiming for Global Domination
In Singapore’s bustling malls, the enticing scent of freshly baked goods often fills the air. Korean, Japanese, Taiwanese, and Singaporean bakeries attract long lines of customers eager to select cream rolls, milk breads, filled croissants, and fruity pastries. Among these popular establishments, Paris Baguette, while inspired by French aesthetics, is a 100% Korean brand with ambitious global expansion plans. The bakery chain aims to capture the US market and become a leading international name in the baked goods industry.
From Seoul to the World: The Rise of Paris Baguette
A Universal Appeal
“I wouldn’t limit our bread to everything from France. We are an international brand,” states Jin-soo Hur, president and chief executive of SPC Group, the parent company of Paris Baguette. He emphasizes the universal nature of baked goods like croissants.
Humble Beginnings, Global Ambitions
SPC Group’s roots trace back 80 years to a small family-owned bakery. Today, it’s a major producer of bread and pastries in South Korea, employing 20,000 people. SPC reported sales of $5.6bn last year.
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Pioneering Expansion
Founded in 1988, Paris Baguette became the first Korean bakery brand to launch an international store in China, a market that continues to be significant. The chain now operates 4,000 stores across 14 countries in Asia, Europe, and the US.
Eyes on the US Market
Paris Baguette plans aggressive overseas growth, targeting over 1,000 new international locations by 2030, with a focus on the US. A new factory in Texas, slated for completion in 2027, will be its largest overseas production facility, serving the US, Canada, and Latin America.
Food, Culture, and Global Strategy
Leveraging Sports Partnerships
Sports play a central role in Paris Baguette’s strategy. The company partners with English Premier League football club Tottenham Hotspur, and previously had a similar arrangement with France’s Paris St Germain, providing baked goods and desserts to fans during home games.
Food as a Cultural Bridge
“I think food is culture. Sports brings a lot of people into the stadium… there’s always good vibes,” says Mr. Hur, highlighting the cultural significance of food and the positive atmosphere associated with sports.
The Tottenham Connection
The fact that the captain of South Korea’s national team also captained Tottenham is an added advantage. Mr. Hur notes that being associated with a “top club” aligns with Paris Baguette’s aspiration to be “best in class.”
The K-Mania Effect and Bakery Innovation
Streamlining Production
Mr. Hur credits the company’s frozen dough delivery system for improving efficiency and extending shelf life. This system allows franchises worldwide to easily produce consistent products.
Adapting to Changing Tastes
With rapid urbanization and evolving lifestyles, demand for convenient foods is growing in Asia. Bakeries in the region offer a diverse range of items, including pain au chocolat and sandwiches, alongside Asian-inspired flavors like pandan, durian, salted egg, red bean, or matcha.
Halal-Certified Expansion
Paris Baguette is catering to this demand with a halal-certified plant in Malaysia, supplying customers in Southeast Asia and the Middle East.
Riding the Korean Wave
Experts believe the global fascination with Korean culture presents a significant opportunity for Asian bakeries. The popularity of Korean and Japanese culture could translate into increased willingness to try their baked goods, according to Saverio Busato, a chef at the Culinary Institute of America in Singapore.
Frozen Dough Under Scrutiny
However, questions remain about whether frozen dough can match the quality of artisanal baking. A blind taste test conducted with Chef Busato revealed that a croissant made with frozen dough lacked the desired honeycomb structure, lamination, butter profile, and aroma.
Practicality vs. Perfection
Chef Busato acknowledges the impracticality of achieving artisanal standards in mass production, suggesting that large players will likely continue to rely on frozen dough.
Embracing Asian Flavors
Chef Busato praised a Korean milk bread, a fluffy white bread filled with cream, suggesting its potential success in Europe due to its appealing smell, texture, and nostalgic flavor.
Navigating Economic Challenges and Adapting Tastes
Addressing the Cost-of-Living Crisis
The rising cost of living presents a major hurdle for Paris Baguette, particularly given US inflation. Mr. Hur acknowledges that many companies are adjusting their business models to maintain profitability.
Learning from Competitors
One of Paris Baguette’s main competitors, Pret A Manger, has experimented with subscription services and expanded dine-in options after suffering losses due to the pandemic. This forced the chain to close numerous locations and lay off thousands of employees.
More Than Just Profit
Despite the challenging economic climate, Mr. Hur insists that profit is not the sole objective. “If we are only trying to make profit, we’ll just stay in Korea,” he states.
A Vision for Global Bread Culture
“We want to change the bread culture around the world,” concludes Mr. Hur. “I want to find a way to keep opening up a lot of bakeries. It is good for my country, and good for people.”