Luckin Coffee Launches Its First High-End Flagship Store – CoffeeTalk
China’s Luckin Coffee has launched its first flagship store, Luckin Coffee Origin, in Shenzhen, directly competing with Starbucks’ upscale roastery chain. This marks a significant shift from Luckin’s previous model of budget coffee kiosks, which enabled it to surpass Starbucks in the number of outlets in China. The new store features premium drinks with sourced beans from Brazil, Ethiopia, and China’s Yunnan province, reflecting an “origin” theme akin to Starbucks. In contrast to Luckin’s typical low-priced offerings, the flagship store has elevated prices for specialty drinks, resulting in high demand and long wait times reported on social media.
Luckin’s aggressive expansion strategy continues as it opened this flagship store, its 30,000th location, after achieving remarkable revenue growth, and now has over 29,200 stores globally compared to Starbucks’ 8,000 in China. Luckin generated $1.55 billion in revenue for the quarter ending September 30, 2025, showing a 48% increase year-on-year. Starbucks, meanwhile, reported $831.6 million in net revenue for its China operations and plans to sell a majority stake in its China business, indicating its challenges amidst rising competition and changing market dynamics.
Luckin’s ongoing recovery from past fraud allegations has positioned it for potential re-listing in the U.S. market, and the company is also pursuing global expansion, having opened stores in New York City, Singapore, and Malaysia. Luckin continues to distinguish itself through its mobile ordering app, reflecting a shift towards digital convenience and innovative marketing collaborations that engage younger consumers seeking unique experiences.
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Source: Coffee Talk
