BGF Retail

What BGF Retail does

BGF Retail Co., Ltd. (주식회사 비지에프리테일) is the operator of the CU convenience store chain (씨유), South Korea's leading convenience store brand and a subsidiary of BGF Group. The company runs a nationwide franchise network across ~26 regional offices, supported by four franchise tiers (PURPLE 1/2 owner-invested, GREEN 1/2 company-invested) with franchisee profit shares ranging from 50% to 80% depending on store hours and investment structure. CU serves general Korean consumers, foreign tourists, single-person households, running-culture consumers, and franchise entrepreneurs across core convenience categories (food, beverages, snacks, daily necessities), with sub-brands including Pocket CU, CU Smart Grocery, Running Station, and Dessert Specialty formats. The company's Q1 2026 store sales reached 2.1204 trillion KRW (+5.2% YoY) and operating profit hit 38.1 billion KRW (+68.6% YoY), while the Korean top-four convenience store industry recorded its first annual store count decline (-1,586 stores YoY to 53,266) since the format arrived in 1988.

BGF Retail's underlying technology stack combines physical store operations with the Pocket CU mobile application (nationwide inventory lookup, reservations, delivery, pickup, QR-code membership), the BGF Retail Central Kitchen (365-day fresh food supply), and emerging unmanned formats such as Tech Friendly CU with facial-recognition access. A proprietary private-label program spans approximately 230 SKUs across beverages, snacks, noodles, milk products and desserts, with hit products like Yonsei Milk Cream Bread (~100 million cumulative units) and Bakehouse 405 (~27 million units) demonstrating durable brand equity. Distribution is anchored by wholly-owned BGF Logistics (BGF 로지스), which provides total logistics services to the franchise network — an asset whose strategic value was demonstrated by the April 2025 Cargo Truckers Solidarity strike that disrupted supply nationwide.

The company makes money through franchise royalties calculated as a percentage of store sales, supplemented by private-label product margin, logistics fees from intra-group and external clients, and international licensing/master franchise fees from Mongolia (#1 market share), Malaysia, Kazakhstan, and the United States (Hawaii, first store November 2025, targeting 50 outlets in three years). Additional revenue streams include quick-commerce delivery through the Baemin platform (~$100+ billion KRW run-rate, scaling from 2,000 to 4,000+ stores), online exports via Alibaba's Tmall in China through partner Ningshing Ubay, and adjacent BGF Group affiliate services (BGF Networks, BGF Humannet, BGF Eco Materials, BGF Food). The export business targets $50 million in revenue within five years across approximately 20 countries.

Name

BGF Retail

Legal name

주식회사 비지에프리테일

Website

https://bgfretail.com

Company type

Private

Founded year

1989

Operating status

Operating

Headcount range

1,001–5,000 employees

Short description

BGF Retail operates CU, South Korea's leading convenience store franchise chain and a subsidiary of BGF Group, serving Korean consumers, foreign tourists and single-person households across a nationwide store network supported by its own logistics, Central Kitchen and Pocket CU mobile platform.

Ownership category

akta.pro rank

Product category

Convenience Store Retail

NAICS

Convenience Retailers (445131), Grocery and Convenience Retailers (4451)

SIC

Retail-Convenience Stores (5412)

akta.pro primary industry

Traditional Convenience Stores (C-Stores) (CRAHABAA)

Keywords

• Convenience store retail
• Franchise operations
• Private label products
• Quick commerce delivery
• Fresh food supply

Headquarters

HQ city

Yeoksamdong

HQ country

South Korea

HQ region

Asia

Offices26 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Operations, Supply Chain, Personnel, Infrastructure, Marketing or Sales

Revenue model

1. Franchise Royalties and Store Sales: CU generates revenue through franchise royalties calculated as a percentage of store sales, with franchise models (PURPLE 1: up to 80% profit share for 24h stores, PURPLE 2: 70%; GREEN 1: 60%; GREEN 2: 68%) and total store sales estimated at 2.1204 trillion won in Q1 2026.
2. Private Label (PB) Products: CU develops and sells approximately 230 private-label product SKUs across categories including beverages, snacks, noodles, milk products, and desserts, with private-label lines like Yonsei Milk Cream Bread approaching 100 million cumulative units and Bakehouse 405 surpassing 27 million units sold.
3. International Licensing and Export: BGF Retail licenses the CU brand to master franchise operators in Mongolia, Malaysia, Kazakhstan, and the US, and exports private-label products to China via Ningshing Ubay partnership, targeting $50 million in export revenue within five years.
4. Quick Commerce and Delivery Services: CU generates revenue through delivery orders placed via platforms such as Baemin (instant coffee delivery) and the Pocket CU app, with delivery and pickup orders growing 70-104% year-on-year for major convenience store chains.

Pricing tiers

Go-to-market motion3 records

Distribution channels6 records

Marketing channels11 records

Core offering

BGF Retail operates the CU convenience store chain, South Korea's leading convenience store brand, primarily through a nationwide franchise network of PURPLE and GREEN franchise types. The company sells food, beverages, snacks, fresh foods, and approximately 230 private-label SKUs through its franchise stores, and supports these operations with an integrated logistics subsidiary (BGF Logistics), a Central Kitchen for fresh food, and the Pocket CU mobile app for online ordering, delivery, and pickup.

Product overview

BGF Retail operates the CU convenience store chain, South Korea's dominant convenience store brand, along with supporting infrastructure including a franchise system, logistics operations (BGF Logistics/Central Kitchen), and the PocketCU mobile app. The company offers private-label products across categories including food, beverages, snacks, and daily necessities. Recent product innovations include the Smart Grocery concept for fresh food retail, Running Station unmanned locker stores near parks, and the get coffee instant coffee delivery service through Baemin. CU's membership program provides point-based rewards through the PocketCU app.

Differentiator

Problem solved

Functional benefit

Brands

• 포켓CU (Pocket CU): Mobile app for online ordering, delivery, pickup, and membership services
• CU Smart Grocery
• Running Station
• CU Dessert Specialty Store

Products and services

• CU Convenience Store Chain South Korea's #1 convenience store chain offering a wide range of food, beverages, snacks, fresh foods, daily necessities, and approximately 230 private-label SKUs to general consumers across a nationwide franchise network.
• PocketCU Mobile App Mobile application connecting online and offline CU shopping, enabling users to check nationwide CU inventory, reserve new products, order delivery or pickup, and collect coupon benefits.
• CU Membership Loyalty Program Customer loyalty program offering point accumulation based on purchase amounts at CU stores nationwide, accessible through the PocketCU app and integrated with QR-code membership.
• BGF Logistics (Total Logistics Service) Wholly-owned logistics subsidiary providing total logistics services including Central Kitchen fresh food production and nationwide distribution to CU franchise stores, ensuring supply chain reliability.
• CU Franchise System Franchise offering for prospective entrepreneurs to open CU convenience stores under four franchise models (PURPLE 1, PURPLE 2, GREEN 1, GREEN 2) with profit-share rates ranging from 50% to 80% and multi-year contracts.
• CU Smart Grocery Neighborhood grocery store concept offering fresh produce, meat, and food essentials in densely populated residential areas, positioned to compete with large supermarkets by targeting underserved neighborhoods.
• CU Dessert Specialty Store Dessert-focused CU store format with approximately 30 percent more dessert items than typical CU branches, featuring DIY customization zones with air fryers and whipped cream dispensers.
• Running Station (Unmanned Locker Store) Unmanned CU locker stores near parks selling running-related products such as 'Run and Cool' ice cream, targeting the growing running culture among younger consumers.
• get coffee Instant Coffee Delivery Service Instant coffee delivery service operated through Baemin platform, allowing customers to order coffee for delivery from approximately 2,000 CU stores, with plans to expand to over 4,000 stores.

Quantifiable outcome

• CU Q1 2026 sales reached 2.1204 trillion KRW, up 5.2% year-over-year
• +8 more outcomes

Named customers4 records

Segments6 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration2 records

Feature4 records

Partnerships

Seven partnerships are on record, tiered minor and core.

• Absolut Vodka (Pernod Ricard)minorStrategic or Co-development Partner · 1 April 2026CU launched 'Absolut Vodka' Fresh Fruit Highballs in Peach and Orange varieties, claimed as the world's first products of their kind, featuring actual fruit slices. The launch targets the premium highball market with an exclusive brand collaboration.
• Ningshing Ubay (Ubay International Trade)coreChannel Partner/ Reseller/ Distributor · 1 October 2025BGF Retail partnered with Ningshing Ubay, a Chinese e-commerce firm, to export CU private-label products to China via Alibaba's Tmall platform. The partnership allows CU to test demand in China's competitive convenience store market through an 'online-first' strategy, with the distributor launching an online store and suggesting offline expansion plans that were later clarified as not yet under consideration.
• Baemin (Food Delivery Platform)coreChannel Partner/ Reseller/ Distributor · 1 September 2025BGF Retail launched its 'get coffee' instant coffee delivery service through the Baemin platform in September 2025, reaching approximately 2,000 CU stores. Sales grew 112% in four months, with iced coffee accounting for 88% of delivery orders, primarily driven by single-person households. CU plans to expand to over 4,000 stores through this partnership.
• BGF Logistics (BGF Logis)coreStrategic or Co-development PartnerBGF Logistics (also known as BGF Logis) is BGF Retail's logistics subsidiary providing total logistics services to CU convenience stores nationwide. It was central to a major labor dispute in April 2025 with the Cargo Truckers Solidarity union over freight rates and working conditions, which disrupted supplies to CU stores and resulted in a fatal accident at its Jinju logistics center.
• Master Franchise Partners (Mongolia, Malaysia, Kazakhstan, USA)coreChannel Partner/ Reseller/ DistributorCU operates internationally through master franchise agreements with local partners. In Mongolia, CU holds a dominant #1 market share position. The brand launched its first US store in Hawaii (Honolulu) in November 2025 with a target of 50 outlets over three years. CU has exported to approximately 20 countries.
• BGF Group Affiliates (BGF Networks, BGF Humannet, BGF Eco Materials, BGF Food)coreOthersBGF Retail operates as part of the BGF Group ecosystem, with affiliated companies including BGF Networks (network services), BGF Humannet (HR services), BGF Eco Materials (eco materials), and BGF Food (food production), collectively forming an integrated retail and distribution ecosystem.
• FCMM (Fashion/Clothing Collaboration)minorStrategic or Co-development PartnerCU announced a new clothing specialty store collaboration with FCMM for summer sun care and cooling apparel products, expanding its product lineup to include fashion items alongside its traditional convenience store offerings.

Scale indicators15 records

Recent moves8 records

Expansion highlights6 records

Broad incumbents

• FamilyMart: FamilyMart is one of the leading Japanese convenience store chains with international master franchise operations across Asia. Its franchise structure, fresh-food supply chain, and Asian expansion playbook make it a close structural comparable to CU's business model.
• Seven & i Holdings (7-Eleven parent): Seven & i Holdings is the global parent of 7-Eleven, the world's largest convenience store chain. It is a broad incumbent whose scale, supply chain, and private-label capabilities set the global benchmark for the category in which CU operates and competes internationally.

Others

• Lawson (Lawson Inc.): Lawson is a major Japanese convenience store chain with extensive private-label development (e.g., Uchi Cafe dessert hits) and Asian franchise operations. Its product-led growth model and Kawaii-brand collaborations are directly analogous to CU's hit-driven private-label strategy.
• Costco Korea (Costco Wholesale Korea): Costco Korea competes with CU's Smart Grocery concept for fresh-food and household-essentials spend in dense Korean catchments. While operating a fundamentally different warehouse format, it pressures CU on price perception and assortment in the fresh food category.

Emerging players

• Coupang Eats (Coupang): Coupang is South Korea's dominant e-commerce and quick commerce player, operating Coupang Eats for on-demand delivery. It is both a potential partner and competitive threat to CU's Pocket CU and Baemin-based delivery growth, shaping consumer expectations on delivery speed and pricing.
• Daiso (Daiso Korea): Daiso Korea pioneered ultra-low-price retail in South Korea and is referenced in CU's category data as the budget beauty comparator driving CU's 31.1% YoY beauty growth. Both compete for the budget-conscious Korean consumer on similar everyday-occasion spending.

Direct peers

• GS Retail (GS25): GS Retail operates the GS25 convenience store chain, CU's closest head-to-head competitor in South Korea. Both run nationwide franchise networks, pursue private-label expansion, and partner with Baemin for delivery, making GS25 the most directly comparable business model and revenue mix.
• Korea Seven (7-Eleven South Korea): Korea Seven operates the 7-Eleven franchise in South Korea under license from Seven & i Holdings. It is one of the top-four c-store chains competing directly with CU on store count, private-label development, and delivery partnerships.
• emart24: emart24 is a South Korean convenience store chain owned by Shinsegae, competing with CU in dense urban and residential trade areas. It pursues a similar franchise-plus-private-label model and overlaps on delivery and quick commerce partnerships.
• Ministop Korea: Ministop Korea operates a nationwide franchise convenience store network affiliated with the Japanese Ministop brand. It competes with CU on Korean urban locations, snack and meal offerings, and franchise-based store economics.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xtwitter.com/BGFretail
• YouTubeyoutube.com/@cu.official
• Facebookfacebook.com/CU.BGFretail.cvs
• Instagraminstagram.com/cu_official
• LinkedInlinkedin.com/company/bgf-retail-co-ltd

Compliance1 record

Revenue estimate

Valuation estimate

Number of profiles

Profiles2 records

Subsidiaries5 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about BGF Retail