Kyochon Chicken Faces Backlash Over “Shrinkflation” Tactics and Declining Consumer Trust

Reporter Paul Lee / approved : 2025-09-22 05:20:30
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Photo courtesy of Yonhap News

 

[Alpha Biz= Paul Lee] Seoul, September 2025 – Kyochon Chicken, one of Korea’s leading fried chicken franchises, is under fire from consumers after secretly reducing the portion size of its boneless chicken menu while maintaining prices, a move widely criticized as a deceptive case of “shrinkflation.”



Recently, Kyochon reduced the weight of its boneless chicken from 700g to 500g—a 30% cut—without lowering prices. Making matters worse, the company shifted from using only chicken thigh meat to a cheaper blend that includes chicken breast, resulting in what consumers perceive as a downgrade in quality.



The practice, which effectively raises prices by offering less for the same amount, has been denounced as a classic example of shrinkflation and consumer deception. Criticism intensified after it was revealed that Kyochon did not inform customers in advance of the changes.



Public reaction has been overwhelmingly negative. Customers voiced frustration online, saying: “Kyochon was already criticized for leading the industry in price hikes, and now it has cut portions too,” “If consumers don’t push back, other brands will follow,” and “I occasionally bought Kyochon despite higher prices for its soy sauce chicken, but hiding the reduction feels like a betrayal.” Some even declared, “There’s no reason to choose Kyochon anymore—it’s expensive and offers less.”



The controversy follows Kyochon’s recent introduction of a “flexible pricing system” on delivery apps, which allowed franchise owners to raise menu prices beyond the company’s suggested levels. In some cases, store prices were set KRW 2,000–3,000 higher, leading to the so-called “chicken lottery” phenomenon, where customers found prices differed significantly between neighboring districts. Critics argue this erodes brand consistency and damages consumer trust.



Kyochon, which dominated Korea’s fried chicken market from 2014 to 2021, fell to second place behind BHC in 2022 and slipped further to third place behind BBQ in 2023. Its steep KRW 3,000 price increase that year—the largest in the industry—accelerated customer defection, exposing limitations in the company’s recovery efforts.



Industry experts warn that Kyochon’s short-term profit focus is undermining its long-term brand value. “Kyochon risks alienating loyal customers by prioritizing immediate financial gains over sustainable trust and brand equity,” one food service analyst noted.

 

 

 

 

Alphabiz Reporter Paul Lee(hoondork1977@alphabiz.co.kr)

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