Paris Baguette eyes expansion in the US, Singapore
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South Korean F&B group SPC is expanding outside of its home territory as its home-based brands reach saturation point.
Plans to establish an upscale restaurant in New York-based on its Paris Baguette bakery brand, however, have been significantly impacted by the continuing US coronavirus outbreak, according to a report in the Korea Times.
“We were planning so as part of our global business expansion starting with our locations in Singapore. However, due to the COVID-19 outbreak, everything was put on hold,” said an official spokesperson for SPC. “We were going to start with Maison de PB and make our next move after watching its performance in NYC.”
The group has already successfully established Paris Baguette locations in the US, although poor brand visibility is still said to be an issue for the franchise. According to one industry source, the Maison de PB venue was intended to elevate the reputation of the brand.
“There’s a limit for its success with the confectionery business in the US and Europe,” the source told the Korea Herald. “It is very hard to break the stereotype that an Asian bakery can offer better products than French bakeries. Becoming successful with Maison de PB in NYC is also important but we can see it as part of the group’s efforts to build its brand image there.”
Questions & Answers
Q.Why is SPC looking to expand its brands outside of South Korea?
Why is SPC looking to expand its brands outside of South Korea?
The F&B group is expanding internationally because its domestic brands have reached saturation point in their home territory. This push aims to find new growth opportunities beyond the South Korean market.
Q.What was the purpose of the planned Maison de PB venue in New York City?
What was the purpose of the planned Maison de PB venue in New York City?
The Maison de PB venue was intended to elevate the brand's reputation and challenge the stereotype that an Asian bakery cannot offer better products than French bakeries. It was part of efforts to build the brand image.
Q.What challenge does Paris Baguette face with its existing US locations?
What challenge does Paris Baguette face with its existing US locations?
Despite having established locations, poor brand visibility is still reported to be an issue for the Paris Baguette franchise in the US. This affects the potential success of its confectionery business there.
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