Lee Ho-seong, CEO of Seongbaek F&S
"Not a Franchise, but 'Friends' – Pursuing Shared Growth
"Dream Store" System Supports Women and Young Entrepreneurs
Riding the K-Pop Wave, Expanding into Thailand and Laos
Lee Ho-seong, CEO of Seongbaek F&S, emphasized positivity as the secret to success, saying, "Follow your passion and pursue it with positivity."
33 Tteokbokki & Small Gimbap is headquartered at Sandol Foods in Hongcheon, Gangwon Province. This location manufactures rice cakes, fresh noodles, and cooked noodles for franchises and meal kits. In addition, the company has four other subsidiaries: Aram Foods, a sauce-specializing subsidiary; Seongbaek F&S, which handles the franchise business; and Flavor Plan, a distribution and marketing company.
Lee Ho-seong, CEO of Seongbaek F&S, officially launched the franchise brand 33 Tteokbokki & Kkoma Gimbap in 2016. Seongbaek F&S also operates the soup curry restaurant "Dora Bowl" and is preparing to launch a noodle brand. CEO Lee spends two days a week at the Hongcheon headquarters and three days at the office in Songpa-gu, Seoul, spending his days hectic.
At the entrance to the office in Songpa-gu, Seoul, models of 33 Tteokbokki's signature products were on display, looking delicious even just by looking at them. Passing by the 33 Tteokbokki employees who greeted the Women's News with bright smiles, we entered the conference room. On one side of the room, 33 Tteokbokki's signature characters, "Bokhee and Mari," stood in adorable poses. On the opposite wall, a large banner read, "Not a franchise, but friends!"
Despite his busy schedule, CEO Lee Ho-seong, who remains optimistic, met with Kim Hyo-seon, publisher of the Women's News, to discuss his dreams, business, daily life, and the future.
How did CEO Lee Ho-seong become the CEO of a tteokbokki (spicy rice cake) company? Lee graduated from Korea University with a degree in agricultural chemistry. His father reportedly encouraged him to pursue graduate studies in genetic engineering just before his graduation. However, Lee, who had vaguely dreamed of becoming a businessman since middle school, disobeyed his father for the first time in his life and eventually ran away from home. He had a particular love for noodles and rice cakes, and after graduating, he joined CJ, a major Korean food company. After five years there, in his early 30s, he immediately jumped into entrepreneurship.
The Birth of 33 Tteokbokki
Having "blindly" dreamed of starting a business since childhood, Lee considered what he excelled at: tteokbokki (spicy rice cake). He beamed, "I loved noodles and rice cakes," and believing that passion comes from enjoyment, he devoted himself entirely to what he loved most.
That doesn't mean he was completely certain of success. Lee says, "I received more blessings than my hard work and ability." But behind that, he had a unique belief that ensured his success. Proactivity, positivity, speed, accuracy, and consideration. These are the five principles CEO Lee cites.
"You have to push forward with positivity. I was confident, but you never know if you'll succeed. You have to try. I've failed countless times. Some items work well, while others don't. You shouldn't dwell on what doesn't work. However, if you've decided to do something, you need to put in the effort and give it your all for a certain period of time."
Dak-galbi Tteokbokki: 6 Billion Won in Manufacturing Sales
That's how "Dak-galbi Tteokbokki" was born. With manufacturing sales of 6 billion won alone, Dakgalbi Tteokbokki captures the flavor of a famous restaurant in Chuncheon's Myeongdong Dakgalbi Alley while adding cabbage and sweet potatoes. It was a huge hit, reaching 15 billion won in sales alone on the popular online marketplace Market Kurly.
Image of "Dak-galbi Tteokbokki," the signature product of 33 Tteokbokki. ⓒSeongbaek F&S
CEO Lee's vision, ahead of his time, also played a role. During the COVID-19 pandemic, when restaurants were closing down one after another and single-digit growth was difficult for food manufacturers, 33 Tteokbokki grew by a staggering 67%. "Looking at the food trend, we were moving toward convenience foods. We were leading the food industry in developing frozen meal kits, but then COVID-19 hit. At the time, few companies were prepared, yet we achieved an incredible 67% growth in just one year. The following year, we won every award, including the Presidential Award and the Prime Minister's Award."
CEO Lee constantly studies to stay abreast of trends. He personally attended franchise representative meetings to learn about operating systems and success stories. Since then, he has also attended "Happy Management" meetings, which bring together a wider range of members, to broaden his horizons.
"It's not a franchise. It's friends!"
This is CEO Lee Ho-seong's personal catchphrase for 33 Tteokbokki. It's a testament to his dedication to franchisees. News of "Exit," where franchisees are rapidly sold off through advertising, and "headquarters abuse," where the franchisees are forced to shoulder the cost of ingredients, are endless. However, these are unacceptable at 33 Tteokbokki.
"We understand how difficult and lonely business is for our owners. Headquarters can't do that to franchisees who have invested everything in them," CEO Lee said, softly yet firmly.
CEO Lee Ho-seong poses with 33 Tteokbokki & Small Gimbap's signature characters, "Marie" and "Bokhee." Above hangs a banner proclaiming the brand's catchphrase, "Not a franchise, but a friend!"
33 Tteokbokki ranks high in sales per square meter, a data released by the Fair Trade Commission to protect franchisees. CEO Lee says he personally visited each store until the opening of the 30th branch, observing customer feedback and addressing any issues. They also regularly hold "national meetings" to listen to the stories of franchise owners and strengthen communication among franchisees. Thanks to this dedication, 33 Tteokbokki is on track to reach its 250th store by the end of this year.
They also actively support women and young people starting their own businesses. 33 Tteokbokki's "Dream Store" program provides entrepreneurial opportunities to women on career breaks, immigrant women, and young people. Employees who diligently work at a 33 Tteokbokki franchise receive training in labor, tax, and marketing, along with support for startup costs.
Franchisees complete six months of culinary training at the store, and after one year, they take an exam. This is known as the "First Graduation." Afterward, they receive an interest-free business loan to start their own business, repaying it over three years. Upon repayment, they achieve the "Second Graduation."
Successful graduates of the program make monthly donations to support the next generation of entrepreneurs, and the headquarters triples this amount to support the next Dream Store startup.
"A young man who had been preparing to become a firefighter for several years came to visit us. He had previously worked part-time at another tteokbokki franchise, but through the Dream Store program, he opened a store, became a store owner, got married, bought a house, and even had two children," CEO Lee said, a fatherly smile spreading across his face.
Secret to Competitiveness: Manufacturer Sandol Foods
33 Tteokbokki's greatest competitive edge lies in its manufacturing capabilities. 33 Tteokbokki directly distributes ingredients produced by its parent company, Sandol Foods, to franchisees. This is the secret to maintaining a low raw material cost ratio and fostering a mutually beneficial relationship with franchisees.
"No matter where you ask, our ingredients are the cheapest," CEO Lee said confidently. "All we need is for the headquarters to keep costs low. And we need to stay relevant for a long time. That way, the headquarters will grow. People who failed elsewhere will come back to us."
CEO Lee Ho-seong. ⓒWriter Yoon Sang-goo/Women's Newspaper
K-pop and Growth... Expanding into Thailand and Laos
In the past, the biggest obstacle to overseas expansion of tteokbokki was its texture. The chewy texture of the rice cakes didn't appeal to foreigners. However, trends have changed now. As K-pop's influence has spread globally, so too has local interest in tteokbokki, explains CEO Lee.
"In the past, we tried to adapt tteokbokki to local tastes, but now, many people want it to be exactly like the Korean version. I believe I've benefited from the young people who spread K-pop," CEO Lee said with a smile.
Currently, 33 Tteokbokki has signed "master franchise" agreements with countries such as Japan, the United States, Indonesia, and Mongolia. In Thailand, it has also signed a business agreement with CP Group, the largest food company, for the K-food market. 33 Tteokbokki stores will be opened in locations among CP Group's 16,000 7-11 stores that meet the requirements for food sales in front of the store.
CEO Lee plans to continue his busy schedule. "Starting with our first Dora Bowl store in Bukchon, we recently opened stores in Songdo and Yeouido. We're also planning to launch a new noodle brand, 'Myeon24,' in May. In Thailand, we've already had four or five people sign up to open their own franchises. In Laos, a neighboring country, We're also planning to open a small store, two 50-pyeong(165.3 square meters), stores, and two roadside shops simultaneously in April. Our goal is to open 1,000 stores across Southeast Asia," CEO Lee said, his eyes radiating confidence and passion.
Source: Shin Mi-jeong, Women's Newspaper
Lee Ho-seong, CEO of Seongbaek F&S, emphasized positivity as the secret to success, saying, "Follow your passion and pursue it with positivity."
33 Tteokbokki & Small Gimbap is headquartered at Sandol Foods in Hongcheon, Gangwon Province. This location manufactures rice cakes, fresh noodles, and cooked noodles for franchises and meal kits. In addition, the company has four other subsidiaries: Aram Foods, a sauce-specializing subsidiary; Seongbaek F&S, which handles the franchise business; and Flavor Plan, a distribution and marketing company.
Lee Ho-seong, CEO of Seongbaek F&S, officially launched the franchise brand 33 Tteokbokki & Kkoma Gimbap in 2016. Seongbaek F&S also operates the soup curry restaurant "Dora Bowl" and is preparing to launch a noodle brand. CEO Lee spends two days a week at the Hongcheon headquarters and three days at the office in Songpa-gu, Seoul, spending his days hectic.
At the entrance to the office in Songpa-gu, Seoul, models of 33 Tteokbokki's signature products were on display, looking delicious even just by looking at them. Passing by the 33 Tteokbokki employees who greeted the Women's News with bright smiles, we entered the conference room. On one side of the room, 33 Tteokbokki's signature characters, "Bokhee and Mari," stood in adorable poses. On the opposite wall, a large banner read, "Not a franchise, but friends!"
Despite his busy schedule, CEO Lee Ho-seong, who remains optimistic, met with Kim Hyo-seon, publisher of the Women's News, to discuss his dreams, business, daily life, and the future.
How did CEO Lee Ho-seong become the CEO of a tteokbokki (spicy rice cake) company? Lee graduated from Korea University with a degree in agricultural chemistry. His father reportedly encouraged him to pursue graduate studies in genetic engineering just before his graduation. However, Lee, who had vaguely dreamed of becoming a businessman since middle school, disobeyed his father for the first time in his life and eventually ran away from home. He had a particular love for noodles and rice cakes, and after graduating, he joined CJ, a major Korean food company. After five years there, in his early 30s, he immediately jumped into entrepreneurship.
The Birth of 33 Tteokbokki
Having "blindly" dreamed of starting a business since childhood, Lee considered what he excelled at: tteokbokki (spicy rice cake). He beamed, "I loved noodles and rice cakes," and believing that passion comes from enjoyment, he devoted himself entirely to what he loved most.
That doesn't mean he was completely certain of success. Lee says, "I received more blessings than my hard work and ability." But behind that, he had a unique belief that ensured his success. Proactivity, positivity, speed, accuracy, and consideration. These are the five principles CEO Lee cites.
"You have to push forward with positivity. I was confident, but you never know if you'll succeed. You have to try. I've failed countless times. Some items work well, while others don't. You shouldn't dwell on what doesn't work. However, if you've decided to do something, you need to put in the effort and give it your all for a certain period of time."
Dak-galbi Tteokbokki: 6 Billion Won in Manufacturing Sales
That's how "Dak-galbi Tteokbokki" was born. With manufacturing sales of 6 billion won alone, Dakgalbi Tteokbokki captures the flavor of a famous restaurant in Chuncheon's Myeongdong Dakgalbi Alley while adding cabbage and sweet potatoes. It was a huge hit, reaching 15 billion won in sales alone on the popular online marketplace Market Kurly.
Image of "Dak-galbi Tteokbokki," the signature product of 33 Tteokbokki. ⓒSeongbaek F&S
CEO Lee's vision, ahead of his time, also played a role. During the COVID-19 pandemic, when restaurants were closing down one after another and single-digit growth was difficult for food manufacturers, 33 Tteokbokki grew by a staggering 67%. "Looking at the food trend, we were moving toward convenience foods. We were leading the food industry in developing frozen meal kits, but then COVID-19 hit. At the time, few companies were prepared, yet we achieved an incredible 67% growth in just one year. The following year, we won every award, including the Presidential Award and the Prime Minister's Award."
CEO Lee constantly studies to stay abreast of trends. He personally attended franchise representative meetings to learn about operating systems and success stories. Since then, he has also attended "Happy Management" meetings, which bring together a wider range of members, to broaden his horizons.
"It's not a franchise. It's friends!"
This is CEO Lee Ho-seong's personal catchphrase for 33 Tteokbokki. It's a testament to his dedication to franchisees. News of "Exit," where franchisees are rapidly sold off through advertising, and "headquarters abuse," where the franchisees are forced to shoulder the cost of ingredients, are endless. However, these are unacceptable at 33 Tteokbokki.
"We understand how difficult and lonely business is for our owners. Headquarters can't do that to franchisees who have invested everything in them," CEO Lee said, softly yet firmly.
CEO Lee Ho-seong poses with 33 Tteokbokki & Small Gimbap's signature characters, "Marie" and "Bokhee." Above hangs a banner proclaiming the brand's catchphrase, "Not a franchise, but a friend!"
33 Tteokbokki ranks high in sales per square meter, a data released by the Fair Trade Commission to protect franchisees. CEO Lee says he personally visited each store until the opening of the 30th branch, observing customer feedback and addressing any issues. They also regularly hold "national meetings" to listen to the stories of franchise owners and strengthen communication among franchisees. Thanks to this dedication, 33 Tteokbokki is on track to reach its 250th store by the end of this year.
They also actively support women and young people starting their own businesses. 33 Tteokbokki's "Dream Store" program provides entrepreneurial opportunities to women on career breaks, immigrant women, and young people. Employees who diligently work at a 33 Tteokbokki franchise receive training in labor, tax, and marketing, along with support for startup costs.
Franchisees complete six months of culinary training at the store, and after one year, they take an exam. This is known as the "First Graduation." Afterward, they receive an interest-free business loan to start their own business, repaying it over three years. Upon repayment, they achieve the "Second Graduation."
Successful graduates of the program make monthly donations to support the next generation of entrepreneurs, and the headquarters triples this amount to support the next Dream Store startup.
"A young man who had been preparing to become a firefighter for several years came to visit us. He had previously worked part-time at another tteokbokki franchise, but through the Dream Store program, he opened a store, became a store owner, got married, bought a house, and even had two children," CEO Lee said, a fatherly smile spreading across his face.
Secret to Competitiveness: Manufacturer Sandol Foods
33 Tteokbokki's greatest competitive edge lies in its manufacturing capabilities. 33 Tteokbokki directly distributes ingredients produced by its parent company, Sandol Foods, to franchisees. This is the secret to maintaining a low raw material cost ratio and fostering a mutually beneficial relationship with franchisees.
"No matter where you ask, our ingredients are the cheapest," CEO Lee said confidently. "All we need is for the headquarters to keep costs low. And we need to stay relevant for a long time. That way, the headquarters will grow. People who failed elsewhere will come back to us."
CEO Lee Ho-seong. ⓒWriter Yoon Sang-goo/Women's Newspaper
K-pop and Growth... Expanding into Thailand and Laos
In the past, the biggest obstacle to overseas expansion of tteokbokki was its texture. The chewy texture of the rice cakes didn't appeal to foreigners. However, trends have changed now. As K-pop's influence has spread globally, so too has local interest in tteokbokki, explains CEO Lee.
"In the past, we tried to adapt tteokbokki to local tastes, but now, many people want it to be exactly like the Korean version. I believe I've benefited from the young people who spread K-pop," CEO Lee said with a smile.
Currently, 33 Tteokbokki has signed "master franchise" agreements with countries such as Japan, the United States, Indonesia, and Mongolia. In Thailand, it has also signed a business agreement with CP Group, the largest food company, for the K-food market. 33 Tteokbokki stores will be opened in locations among CP Group's 16,000 7-11 stores that meet the requirements for food sales in front of the store.
CEO Lee plans to continue his busy schedule. "Starting with our first Dora Bowl store in Bukchon, we recently opened stores in Songdo and Yeouido. We're also planning to launch a new noodle brand, 'Myeon24,' in May. In Thailand, we've already had four or five people sign up to open their own franchises. In Laos, a neighboring country, We're also planning to open a small store, two 50-pyeong(165.3 square meters), stores, and two roadside shops simultaneously in April. Our goal is to open 1,000 stores across Southeast Asia," CEO Lee said, his eyes radiating confidence and passion.
Source: Shin Mi-jeong, Women's Newspaper