Mega MGC Coffee narrows payment gap with Starbucks in South Korea

Mega MGC Coffee is rapidly closing the gap with Starbucks in the South Korean coffee market. According to data from Wiseapp and Retail, Mega MGC Coffee’s estimated monthly payment volume reached 94.9% of Starbucks’ total last month.

This represents a significant narrowing of the gap, which stood at 30.5 percentage points during the same month last year. The current difference has shrunk to just 5.1 percentage points. Analysts attribute Mega MGC Coffee’s growth to its extensive nationwide franchise network and high frequency of offline repeat purchases.

In terms of mobile app engagement, Starbucks maintains the lead with approximately 7.14 million monthly active users (MAU) in July, showing an 11.4% rebound from a June dip caused by recent controversies. Mega MGC Coffee recorded a record high of 3 million MAUs, which is roughly 42% of Starbucks’ user base.