China Coffee Craze: In a caffeinated coup, China has officially claimed the title of the world’s largest market for branded coffee shops, surpassing the United States, reveals a report from World Coffee Portal. Over the past year, China witnessed an astounding 58% surge in the number of branded coffee shops, reaching an impressive total of 49,691 outlets, according to the research firm.
Starbucks, a prominent player in this Chinese coffee surge, contributed to the phenomenon by opening 785 outlets during this period. However, stealing the limelight is Luckin Coffee, the Chinese startup that weathered a fraud scandal and now stands tall as the nation’s coffee monarch with a staggering 13,000-plus outlets.
World Coffee Portal’s survey offers a glimpse into China’s growing coffee culture, with over 90% of surveyed consumers enjoying hot coffee weekly and 64% indulging in iced coffee at least once a week. The aroma of coffee seems to have captivated Chinese taste buds, as nearly 90% of respondents revealed they visit or order from a coffee shop at least once a week.
Also Read: Luckin Moutai Latte Sales Skyrocket, Setting New Record for Chinese Coffee Chain
China’s ascent in the global coffee scene is nothing short of remarkable, even amid economic challenges. Starbucks, recognizing the potential brewing in China, invested over $200 million in a cutting-edge campus in the eastern part of the country earlier this year the largest investment ever made by the beverage giant for a coffee manufacturing and distribution center outside the United States.
While China has long been a crucial growth driver for Starbucks, holding the position of its second-largest market worldwide and the top overseas market, CEO Laxman Narasimhan insists that the company is just getting started in China. Despite China now reigning supreme in the global coffee shop hierarchy, there’s still ample room for growth in a nation historically associated with tea-drinking traditions. The coffee revolution in China is far from over, and Starbucks is setting its sights on a whopping 9,000 stores in China by 2025, according to World Coffee Portal. The aroma of success is unmistakable, as China’s love affair with coffee continues to percolate.
Our Reader’s Queries
Why has coffee become so popular in China?
As China opened up its economy in the 1980s, it was introduced to western influences, including the love for coffee culture. This sparked a rapid growth in the coffee industry in China, fueled by the changing lifestyles of the country’s rising middle class. Today, the industry continues to thrive at an unprecedented pace.
What coffee is popular in China?
In Chinese coffee shops, milk-based coffee drinks reign supreme as the top choice among consumers. To add a little extra sweetness, many customers opt for syrups and sweeteners infused with fruity or floral flavors.
Do people in China like coffee?
In April 2023, a survey conducted among Chinese coffee enthusiasts revealed that a quarter of the respondents consume a cup of coffee every day.
What is the famous Chinese coffee chain?
Luckin Coffee has officially taken the lead as the top coffee chain in China, surpassing Starbucks in revenue for the first time. While Luckin has already surpassed Starbucks in terms of geographic reach, this latest announcement solidifies their position as the dominant player in the Chinese coffee market. With their innovative approach and commitment to quality, Luckin Coffee has proven to be a formidable competitor in the industry.