Starbucks launches coffee shop all day in China

SHANGHAI (Reuters) – Starbucks Corp. announced Friday the opening of a new cafe open all day in China, which will serve a menu for brunch and badtails, the largest coffee chain in the world seeking to expand its retail offering in an increasingly competitive market.

The opening of the coffee in the city of Shanghai comes as Starbucks is facing a slowdown in sales growth in its second market because of the pressure exerted by a growing number of independent coffee shops and Chinese start-ups such as Luckin Coffee. , which offer cheap delivery and significant discounts.

"Today is another important step, as we use everything we've learned about coffee and our never-ending quest for food innovation to create a new exciting coffee all day and an Italian appetizer experience. Said Belinda Wong, CEO of Starbucks China.

The Starbucks Reserve Bakery Cafe, which will open this weekend, is the first store of its kind in China. It offers high-end coffees, freshly baked dishes from the Italian bakery Princi and alcoholic drinks from the mixology bar.

The company also has similar cafés in the United States, where it pursues a high-end strategy.

Starbucks took advantage of the growing coffee culture in China, but this trend has also led to a host of ambitious local competitors, including Luckin Coffee, which has said it wants to open 2,500 new stores this year and surpbad Starbucks as its first channel. of coffee in China. .

Analysts said Starbucks' efforts to improve sales are gaining momentum, with quarterly sales in China surpbading last month's estimates, driven by new store openings and the delivery program launched with the US giant. Alibaba Internet last year.