“There are so many cafes in the Yeonnam-dong commercial area, how have you managed to survive for a year?”
“I think it's the same no matter what commercial area you enter. The key is to differentiate from other stores. Many people start a cafe thinking simply about wanting to create their own space, but I believe it’s important to clearly determine what kind of drinks you want to sell and what kind of cafe you really want to create.”
On May 28, in a small cafe called Teb Coffee House located in Yeonnam-dong, Mapo District, Seoul, 25-year-old Min-soo Choi asked a question, and 32-year-old Hah Cheong-bi, the owner of Teb Coffee House, answered. Choi diligently took notes of every word Hah said. Choi noted, “I was vaguely thinking about starting a business, but by joining this, I'm starting to shape a clearer picture of what my startup will be.”
The cafe that Hah established a year ago will serve as a 'training ground' for aspiring cafe entrepreneurs like Choi for some time. Hah willingly opened the space to create another virtuous cycle as part of the Shinsegae Central real estate company's social contribution program, the Youth Coffee Lab 5th term.
The Youth Coffee Lab is a social contribution program initiated by Shinsegae Central in 2019 at the Gangnam Famille Station, aimed at supporting young entrepreneurs. It claims to lead the growth of young people preparing to open cafes. The results have been quite good. In addition to Teb Coffee House operated by Hah, Coffee Sniffer, located in Shinsegae's Gangnam department store, was also created by a participant of the Youth Coffee Lab.
Hah also mentioned that thanks to this program, he was able to safely open his cafe. In fact, matching earnings and expenditures was the most significant aspect of operating the cafe. Hah stated, “I paid 20% of my monthly sales as rent, and in the process of matching this, I gained a lot of operational know-how.” He was able to resolve the initial funding needed to launch his cafe without any issues because he operated a cafe at the Gangnam Famille Station, paying 20% of the sales as rent, and later used all the rent paid as initial funding when starting his business.
Recently, there was a change as the social contribution program was reorganized into Coffee Lab Season 2. The Seoul Metropolitan Youth Center, an organization under the Seoul city government, collaborated with the coffee specialist El Cafe Tall to design the program with the aim of benefiting more young people.
In Season 1 of the Youth Coffee Lab, which ran from 2019 to 2024, only six individuals benefited from the program, but starting in February of this year in Season 2, six beneficiaries will be selected each semester. The Youth Coffee Lab Season 2 plans to recruit more participants in the upcoming second half of the year.
A representative of Shinsegae Central noted, “We plan to provide comprehensive education about coffee and cafe startups to 12 individuals annually,” adding, “We will also recruit more participants targeting youth aged 19 to 39 in Seoul in the second half of the year.”
Aspiring entrepreneurs participating in the Youth Coffee Lab can learn about coffee, desserts, and startup-related know-how. The educational fees and practice space are fully supported by Shinsegae Central. Additionally, a monthly activity incentive of 100,000 won is provided, along with the opportunity to receive a scholarship of 1 million won.
Shinsegae Central plans to continue the Youth Coffee Lab social contribution project and develop this program into a representative youth initiative of Seoul. A representative from Shinsegae Central remarked, “It is uncommon for real estate development companies to engage in social contribution activities,” adding, “However, we have early on organized a team to carry out activities and plan to focus on activities that can spread rather than one-off events.”