Amid rising food prices, the buffet industry, known for its value dining, is strategically developing premium lines. This move aims to enhance profitability by strengthening menu and service elements as ingredient costs soar.
According to the restaurant industry on July 9, E-Land Eats plans to open the 'Ashley Queens Grand NC Department Store Songpa' on July 16. The new location will feature a 20-25% increase in menu items and introduce live grilling, an open sandwich zone, and a pairing zone.
While the weekday lunch price remains unchanged at 19,900 won, the prices for weekday dinners and weekends will rise to 29,900 won, an increase of 4,000 won and 2,000 won, respectively. An E-Land Eats representative stated, "This is a test store to explore various operational methods based on the market rather than a new model for expansion."
CJ Foodville has also opened a new 'Grill Dining' format at its Galleria Gwanggyo location. It features a 'Fresh Table' option at the same price as the existing salad bar (39,700 won for weekday lunch) and expanded premium choices, including 'Signature Grill Dining' (59,700 won) and 'Reserve Grill Dining' (89,700 won).
Earlier, in May, Auhome opened a casual buffet called 'Take' near Jonggak Station in Seoul, which includes a premium option called the 'Golden Ticket Station.' For an additional 9,900 won, customers can enjoy signature grill specialties like porchetta and chicken steak.
Kuukuu, a leader in seafood buffets, has designated certain verified franchises as 'Gold' stores, operating at a premium price 2,000 to 3,000 won higher than regular locations. This 'Gold' title was first introduced in 2023 and is currently applied to seven locations nationwide.
The industry's focus on premium lines is driven by rising costs. The buffet sector has rapidly grown by leveraging its value image amid soaring dining prices. As of the end of 2024, the number of Ashley Queens locations increased from 109 to 124 in the first half of this year, with a goal of reaching 150 by year-end. Vips has also expanded from 32 to 35 locations since 2024. Auhome's Take aims to open its third location this year, while Kuukuu plans to surpass 100 locations, including one overseas, from its current 85.
However, the burden of rising ingredient prices is significant. According to the National Data Agency's 'June Consumer Price Trends,' agricultural and marine product prices rose by 3.2% last month, pushing overall prices up by 0.24 percentage points. Notably, livestock prices surged by 6.2%, the highest increase since March, with domestic beef (7.5%), pork (4.5%), and eggs (10.3%) all seeing substantial price hikes.
Previously, the industry absorbed price increases through bulk purchasing and self-supply chains, but as inflation persists, they are now seeking breakthroughs through premium lines. By maintaining weekday lunch prices to retain value-seeking customers while enhancing profitability through higher-end models, they are employing a dual strategy.
However, the expansion of these premium lines raises concerns about overall price increases. E-Land Eats has simplified its brand by merging its previously tiered offerings, such as Ashley Classic and Ashley W, into the single 'Ashley Queens' brand, eliminating relatively cheaper options.
An industry insider noted, "In the past, price competitiveness was the most important factor in buffet selection, but now consumers are increasingly considering menu differentiation, ambiance, and service as part of their experience. Companies are expanding premium lines to meet this demand."
* This article has been translated by AI.
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