Luckin coffee, the Xiamen-based fast-rising coffee chain, said on Feb 12 they plan to get into 18 new cities including Shijiazhuang, Shenyang, Guiyang and Zhuhai by the end of April, making it present in a total of 40 cities this year…Full Article: ECNS.cn Feb 2019

Key Point

  • By the end of 2018, Luckin Coffee reportedly had 2,073 stores located across 22 cities in the mainland including Beijing, Shanghai, Guangzhou, and Shenzhen.

ChinaAg Comments

  • In December 2018, it was reported that Luckin Coffee would team up with Meituan Dianping (via its delivery app Meituan Waimai) in a bid to expand its coffee delivery service. During the same month, Luckin Coffee announced it has suffered USD 124 million in financial losses during January to September 2018. The losses primarily stemmed from the company’s rapid expansion. Meituan Dianping also reported losses of USD 12.1 billion during Q3 (ending in September 2018).
  • In July 2018, Luckin Coffee announced it had raised USD 200 million in its Series A round of financing. Investors included the Government of Singapore Investment Corporation (GIC) and Legend Capital, a venture capital firm that is a subsidiary of China’s Legend Holdings (HKG:3396).
  • By early May 2018, Luckin Coffee had 525 stores (located across 13 cities), 231 of which were delivery stores. At the times, a large latte was CNY 24 (USD 3.70) per cup, which was roughly 20% cheaper than those sold in Starbucks.
  • Founded in October 2017 (in Beijing) and headquartered Xiamen, Fujian Province, Luckin Coffee (aka Ruixing Coffee, 瑞幸咖啡) is a coffee chain that operates sit-down cafés, carryout only stores, and delivery only stores. By the end of 2017, Luckin Coffee had approximately 300 stores in mainland China. The coffee chain was founded by the chairman and CEO of UCAR Group, a riding sharing app that managed 300,000 cars across 300 cites (as of June 2018). Both UCAR Group and Luckin are headquartered in Siming District, Xiamen. As of mid-2018, Luckin Coffee used the delivery company, SF Express (HQ in Shenzhen).

Hong Kong Trends

Similar Posts by ChinaAg

Spread the word. Share this post!