Why Korea matters to Tim Hortons’ global future

Entering its third year in South Korea, Canadian coffee brand Tim Hortons is gearing up for a new phase of growth that reframes its Canadian roots through a Korea-centered global strategy.

At a press briefing Wednesday in Seoul, An Tae-yeol, chief business officer at Tim Hortons’ Korean operator BKR, outlined what the company calls its second phase in the Korean market, building on two years spent establishing brand awareness.

“Brand awareness has surpassed 45 percent, with particularly strong recognition among women in their 20s,” An said. “Simply settling into the Korean market is an achievement in itself. But whether we have truly satisfied Korean customers is a very different question."

According to An, Korea’s fierce competition and sophisticated consumers leave little room for complacency, which is why headquarters is closely watching the Korean business as it shapes customer experiences across menu and space centered on lasting value rather than hype.

“Korean consumers have some of the highest standards in the world. They are extremely sensitive to trends and constantly searching for something new, whether in taste, visuals or quality," An said.

The Korea-specific approach has already begun to bear fruit, with some Korea-developed products, such as city-themed items inspired by Montreal and Victoria, now adopted in overseas markets.

“That was when we realized innovations born in Korea could set global standards," he continued.

Much of the company’s effort to redefine the customer experience begins with the menu.

Tim Hortons Korea plans to move beyond its doughnut-led identity by expanding into bakery, dessert and hot meal offerings, with the strategy centering on localization, variety and freshness, anchored by an in-store preparation model to elevate quality.

An also explained that unlike in Canada, where Tim Hortons operates as a quick-service restaurant optimized for speed, its Korean business adopts a premium cafe model that requires heavier investment in interiors, service and seating.

“Rather than replicating a store in Toronto exactly, we are trying to express the Canada that exists in customers’ imaginations,” An said. “Tim Hortons has a surprisingly rich set of stories rooted in Canadian culture and literature. We are working to share those stories in a way that feels natural and engaging.”

Expansion is expected to pick up as the strategy takes hold. The company plans to double its store count to roughly 50 by the end of this year, before adding about 100 more over the following two years. By 2028, Tim Hortons expects to exceed its original five-year target of 150 stores, reaching 160 nationwide.

“Focusing on prime locations in Seoul through our first 50 stores raised the bar for site selection, but that should allow us to move faster going forward,” An remarked.

As regards speculation triggered by the closure of the Cheongna location in Incheon last year, An said the company never considered withdrawing from the Korean market and that the decision reflected a systematic testing of locations and store formats.