Franchise Owners Unhappy About BTS V’s Brand Deal

Compose Coffee has sent franchise owners a consent vote to re-sign BTS V as its brand ambassador for a third consecutive year.

However, franchise owners are voicing serious concerns over who's footing the bill. According to reports, Compose Coffee is planning to share the advertising costs with the franchise owners.

Under the proposed contract, 40% of ad costs, approximately ₩2.94 billion KRW (about $1.92 million USD), would be passed on to franchise owners.

Franchise owners are unhappy about being forced to bear the cost of the brand deal, with one owner stating, 'Most owners feel zero BTS effect. If the advertising really worked and we felt V's genuine love for the brand, the pushback wouldn't be this strong.'

Another owner expressed concern about the potential for legal action, stating that the monthly fees for the celebrity endorsement were 'suffocating.'

Franchise owners have also raised transparency concerns, requesting that Compose Coffee reveal which stores voted for or against the deal.

Despite the backlash, Compose Coffee notes that V's involvement has meaningfully boosted brand awareness and preference, with a 11.3% reduction in the monthly per-store burden compared to last year.

The company also emphasized that it bears 60% of total ad costs, above industry standard.

This is the third year in a row that Compose Coffee has used V as its face, having spent ₩6.00 billion KRW (about $3.92 million USD) in 2024 and ₩10.0 billion KRW (about $6.54 million USD) in 2025.

V's popularity and influence have been a significant factor in the success of Compose Coffee, but the issue at hand is the unequal sharing of the costs, which has led to controversy and disagreement among the stakeholders.

The proposed deal has sparked a heated debate about the value of the celebrity endorsement and the role of advertising in the success of Compose Coffee.

As the franchise owners decide whether to approve the deal, questions about the effectiveness of the advertising and the fairness of the cost-sharing arrangement remain.

The outcome of the deal will have significant implications for Compose Coffee and the broader fast-food industry, highlighting the complex relationship between celebrity endorsements and business success.

The controversy surrounding BTS V's brand deal serves as a reminder that even the most successful marketing efforts can backfire if not executed with care and consideration for all stakeholders involved.

As Compose Coffee looks to continue its successful partnership with BTS V, it will be crucial to address the concerns of the franchise owners and ensure that the benefits of the partnership are shared fairly.

The case of BTS V and Compose Coffee highlights the importance of effective stakeholder management and transparency in business partnerships.

The future of the partnership between Compose Coffee and BTS V will be closely watched, with many expecting the deal to continue despite the controversy.