Caixin Global – Latest China News & Headlines

Home >


CX Tech is Caixin Global's real-time tech news portal, featuring 24-hour news, short-form analysis, and roundups from business and tech media in China.

Chinese Electric Vehicle Startup Xpeng Receives Investment to Build Production Base in Guangzhou
Video Site Operator Mango Plans to Raise $660 Million to Expand Content Library
Chinese Biotech Firm Creative Biosciences Raises $88m From IDG, CDH, Others
Alibaba’s Ant Group Launches Blockchain-Based Platform to Streamline Cross-Border Trade
Trending in China: Mission Impossible? Young Environmental Hero Tries To Clean Up Tibet
Chinese Online Travel Agency Sees Revenue Plummet As Covid-19 Fallout Lingers
Chinese Supply Chain Provider Xingyun Closes $200m in a Series C Round
Chinese EV Charging Operator Star Charge Nabs $125m Co-Led by Schneider, CICC
Trending in China: One of China’s Weirder Poverty Alleviation Programs Goes Viral with 100m Plus Views
Chinese Carmaker Geely Signs Driver-Assistance System Deal with Mobileye
Chinese Genomics Company BGI to Provide Ethiopia with Coronavirus Testing Kits Made at African Plant
Trending in China: Autumn Milk Tea – Cynical Marketing Strategy or True Friendship?
IFC Mulls $80m Loan to Chinese Pig Rearing Firm Guangxi Yangxiang
Short Video Firm Kuaishou Optimizes Its E-Commerce By Connecting Livestreamers With Quality Products
Segway Owner Set to Make History With Shanghai IPO
BMW’s Use of High-Density Batteries Raises Safety Concerns
ByteDance Applies for Chinese Tech Export License as TikTok Negotiations Continue
Trending in China: Macau Eases Travel Restrictions but Will Covid-19 Tests Kill People’s Travel Bug?
Alibaba Subsidiary Cainiao Pushes Into Malaysia With Cross-Border Delivery Service
Trending in China: School Throws Away Students’ Food Deliveries To Force Use of Canteen
Luckin Now Has More Coffee Shops in China Than Starbucks, Data Shows

By Ding Yi / Dec 25, 2019 01:14 PM / Business & Tech



Insurgent Chinese café chain Luckin Coffee appears to have fulfilled a pledge made at the start of 2019 and edged ahead of Starbucks to become the country’s biggest coffee chain.

Beijing-based Luckin, which only launched in January last year and has yet to turn a profit, now has around 4,500 stores in China, outnumbering its American rival by roughly 200 locations, according to research firm Thinknum Alternative Data and information supplied to Caixin by Luckin.

Starbucks, for which China is the company’s second-largest revenue stream after the U.S., has 4,300 locations in the East Asian nation.

Luckin’s rise to the top of China’s hyper-competitive coffee industry has been on the cards since early November, when its total number of outlets drew level with Starbucks on 4,200 locations each. Since then, the techy Chinese coffeemaker has opened nearly 300 new cafés while its U.S. counterpart has lagged behind with around 100 new locations, Thinknum said.

According to Thinknum, Luckin’s growth over the last several months owes much to opening stores in China’s more remote areas where Starbucks continues to lack a solid presence. That trend contrasts with its initial strategy of focusing on the country’s large, coastal cities.

Luckin, which began trading on the Nasdaq stock exchange in May, posted revenue of 1.5 billion yuan ($214.3 million) in the third quarter, up more than sixfold year-on-year. But its losses also widened by 9.7% to 531.9 million yuan over the same period.

As Luckin’s rapid store expansion may foretell an increase in both sales and revenue, some industry analysts remain cautiously optimistic about the company’s future growth prospects. To date, Luckin has largely depended on huge product discounts as a means to attract customers, a practice that the company has said will continue in the long term.

Last month, Luckin reportedly withdrew a lawsuit against Starbucks, ending a yearlong spat triggered when it sued the U.S. company for allegedly violating Chinese antitrust laws.

This story has been updated to correct the number of Luckin locations in China. According to the company, it had 4,500 at the end of 2019.

Contact reporter Ding Yi (

Related: Luckin Withdraws Lawsuit Against Starbucks As Sales Surge

Share this article
Open WeChat and scan the QR code