From CNBC: 2024-11-01 09:10:35

Starbucks’ new CEO, Brian Niccol, plans to spend more time in China after the company’s same-store sales dropped 14% due to decreased foot traffic and spending per customer. Chinese upstart coffee chains like Luckin, Cotti, and Manner are aggressively pricing their drinks, undercutting Starbucks by half with basic stores and limited seating.

Chinese consumers are looking for quality coffee at lower prices, leading to the popularity of local coffee chains offering unique drinks like fruit and flower-infused coffees. Starbucks faces competition not only from Chinese coffee chains but also from local tea shops selling similar drinks for a fraction of the price. Despite fierce competition, Starbucks remains a popular meeting spot in China with its consistent quality and comfortable atmosphere.



Read more at CNBC: A fast-changing Chinese coffee market awaits Starbucks CEO Niccol