I. Market Overview
- The global 'Refill Station' market is growing at an average annual rate of +24% , and the domestic market is expected to reach approximately KRW 110 billion (+31% YoY) in 2025 .
- Along with the expansion of plastic reduction and carbon neutrality policies, the Ministry of Environment's "Packaging-Free Product Sales Special Exception" pilot project will continue → Expand to convenience stores, large marts, and local governments.
- Factors driving the expansion of franchises: ① Retail space miniaturization ② Establishment of a refill certification system ③ Expansion of sustainable consumer base (MZ + high-income class).
- Representative examples: 'Almang Store', 'Market Zero', 'Ecover', 'Yes. NoChemiLife Campaign Refill Zone'.
Ⅱ. Customer Segments and Demand Structure
division | Key customer groups | Consumption characteristics and motivations |
|---|---|---|
| MZ eco-friendly consumers | Women in their 20s to 40s, 1-2 person households | ESG · Zero Waste Lifestyle Practice |
| Local residents and families | Commercial areas close to the apartment complex | Practicality · Refillable containers available, value for money |
| Local governments, schools, and institutions | Public refill zone operation | Combining ESG indicators and environmental education |
| Corporate welfare B2B | In-house cafeteria, cafeteria, and welfare center | Operation of a “refillable gift/CSR program” |
Ⅲ. Supply Chain and Partner Network
division | Key Partners | role |
|---|---|---|
| Product supplier | Natural detergent, vinegar, and grain small-scale company (Market Hub, Organic Farm) | OEM · Refill unit delivery |
| Containers/packaging materials | Reusable container company, glass and aluminum manufacturer | Supply of circular packaging materials |
| IT/Payment System | QR weight counter POS, IoT refill scale | Unmanned payment and container tracking |
| Local governments/organizations | Seoul Metropolitan Government and Gyeonggi Province Environmental Policy Office | Store opening subsidies and ESG support |
| platform | NoChemiLife · MarketHub ESG | Data collection and consumption pattern analysis |
IV. Refill Product Categories and Market Share
Product family | Main items | specific gravity(%) |
|---|---|---|
| Daily detergents | dishwashing detergent, laundry detergent, fabric softener | 34 |
| personal items | Shampoo, body wash, hand soap | 22 |
| Food products | Grains, nuts, seasonings, coffee beans | 18 |
| cosmetics | Toner, cleanser, skincare base | 12 |
| Other daily necessities | Cleaning solutions, diffusers, kitchen supplies | 14 |
V. Franchise Operation Model
Subject | Major revenue items | Average Margin (%) | note |
|---|---|---|---|
| Headquarters (HQ) | Brand royalty of 5-8%, OEM supply margin of 20% | Brand and ESG certification management | |
| Affiliate store | Refill product sales, container deposits, and memberships | 25~35 | Small 10-20 pyeong type |
| Partners | Container cleaning and recovery service | 5~10 | Circular Economy Partner |
| Local government/B2B | Store opening subsidy/CSR sales | Variable | Public works combined type |
VI. Technology and Operational Innovation Points
- IoT refill scale: Automatic weight and unit price calculation, container QR authentication.
- AI demand forecasting: Inventory management based on visit patterns by day of the week and weather.
- Unmanned payment station: POS + card + QR payment all-in-one.
- Carbon Data Loop: Automatically calculates CO₂ savings per refill and plastic weight.
- Subscription Refill Box: Regular delivery + empty bottle return + point accumulation program.
VII. ESG, Regulatory, and Certification Environment
division | detail |
|---|---|
| Environment (E) | Aiming for a 20% increase in plastic reuse, and discussions are underway to mandate a container warranty system. |
| Society (S) | Community Recycling Centers and Senior Employment Linkages |
| Governance (G) | New standards for refill origin and mixing labeling (effective January 2025) |
| Certification system | Ministry of Environment's "Packaging-Free Product Sales Certification" and Carbon-Neutral Product Mark |
Ⅷ. Market Trends and Competitive Landscape
flow | detail |
|---|---|
| 1. Expansion of convenience store-type refill zones | CU·GS25 Expanding the Ministry of Environment Pilot Project (Focusing on Urban Areas) |
| 2. Brand collaboration type | Innisfree and LG Household & Health Care refill station opening |
| 3. Refill + Repair Combination | Detergent + Repair Complex Store |
| 4. Expansion of the B2B model | Linking local government and school ESG procurement projects |
| 5. Mobile subscription | The launch of an integrated app for container collection, delivery, and points. |
Ⅸ. Growth Forecast (2025-2027)
characteristic | Δ(prediction) | analysis |
|---|---|---|
| Market size | +28%/year growth | Expanding public refill zones and expanding the MZ consumer base |
| Refill product types | +35% increase | Expansion into the food and beauty sectors |
| Subscription refill usage rate | +20%p | Expanding O2O app linkage services |
| ESG participating brands | +40% | Influx of corporate CSR programs |
| Plastic reduction | +2,500 tons per year | Expanding Zero Plastic Certification |
Ⅹ. Risk and Response Strategies
risk | influence | react |
|---|---|---|
| Hygiene and quality issues | Declining trust in refill products | Standardizing QR Tracking and Sterilization Processes |
| Initial investment cost | Obstruction of franchise entry | Utilizing local government subsidies and CSR funding |
| Location constraints | Limited commercial area | Small format for apartments and public buildings |
| Lack of customer education | churn rate ↑ | Expanding the Experience and Rewards Program |
| Delay in legal revision | New business hold risk | Preemptive participation in the Ministry of Environment's pilot project |
Ⅺ. Investment and Return Indicators (Example)
item | Number (average) | note |
|---|---|---|
| Initial investment cost | ₩80 million ~ ₩180 million | Facilities · POS · Equipment |
| Average monthly sales | ₩30 million ~ ₩60 million | Subscription included |
| Net profit margin | 22 ~ 30% | Upward trend in public support |
| Payback period | 18 to 24 months | CSR revenue in parallel |
| ESG subsidies | Local governments up to ₩30 million | Pilot project type |
Ⅻ. Conclusion and Implications
1️⃣ Key Success Factors: Trust (Hygiene and Labeling) + Convenience (Unmanned and Mobile) + ESG Branding.
2️⃣ Market Expansion Axis: Public Refill Zone → Commercial Area → Corporate Welfare and CSR Transition.
3️⃣ Business Opportunity: Combining Refill + Repair + Subscription-Based O2O Services.
4️⃣ Franchise Strategy: Standard Refill Equipment Package + Local Government Partnership + Data ESG Reporting.
One-line summary:
The eco-friendly refill station franchise is an “ ESG data-based, lifestyle-oriented retail innovation ,” and
unmanned operations, B2B expansion, and subscription models will drive growth from 2025 to 2027 .
