4th Phase Already in 4th Week... Coffee Franchises Struggling
[Asia Economy Reporter Moon Hyewon]# "Who do you think you are to take pictures of our faces? Are you the police? We're already frustrated to death, so stop making us angry and mind your own business!"
On a weekend evening, a verbal altercation broke out between customers at adjacent tables in a coffee franchise store in the heart of downtown Seoul. Despite the government's social distancing measures prohibiting more than three people from sitting at one table after 6 p.m., four intoxicated customers ignored the rule, which sparked the incident. Although the caf? staff repeatedly asked them to leave to comply with quarantine rules, they paid no attention. Eventually, a customer at a neighboring table took out a phone to take pictures and threatened to report them, leading to a loud argument. The caf?, which was quieter than usual due to fewer customers, quickly turned into chaos.
As the social distancing Level 4 measures continue into the fourth week in the Seoul metropolitan area, even large coffee franchise stores are deeply troubled. The immediate drop in sales is a problem, but they also complain about the difficulty of handling the increasing customer complaints.
According to industry sources on the 4th, since the Level 4 distancing measures began on the 12th of last month until the 1st of this month, sales after 6 p.m. at most franchise cafes have dropped to about half. Typically, the highest sales periods for coffee franchises are lunchtime from 12 p.m. to 2 p.m. and around 8 p.m. in the evening.
One store owner said, "Since the COVID-19 outbreak last year, our sales have taken a direct hit. I thought customers were starting to increase a bit this spring, but with the recent surge in confirmed cases and strengthened distancing measures, it has become difficult to avoid losses. We are trying to offset the sales decline by expanding delivery promotions."
Another owner lamented, "Recently, prices of raw materials like flour and fruits have risen, and soon milk and dairy product prices will increase as well, so I worry whether we can continue operating."
Staff working at stores are also facing increasing difficulties. Industry insiders say that since gatherings of three or more people are banned after 6 p.m. in the metropolitan area, disputes frequently occur between employees and customers over entering and leaving the store. Some customers claim to be family members living together without even carrying their resident registration cards, or threaten to post complaints on the headquarters' website or social media.
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An industry official said, "From 5 p.m., we inform customers who come in groups of three or more in advance, but even when 6 p.m. arrives, they do not get up from their seats, so we have to keep urging them. It feels awkward, as if we are kicking out customers."
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