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Home Eats

Chinese Coffeehouse Chain Luckin Coffee Reportedly Opening First Malaysian Outlet

by Adleena
June 23, 2024
SOURCE: BLOOMBERG

SOURCE: BLOOMBERG

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The Malaysian coffee industry is booming, with multiple coffee chains popping up every other week. Rumour has it that another big-name brand is entering the scene, hoping to give chains like Starbucks and ZUS Coffee a run for their money.

According to The Edge, Luckin Coffee will reportedly open its first outlet in Malaysia through a local partner. The media outlet reported that the Chinese coffeehouse chain will partner with a Bursa Malaysia-listed firm to enter the local coffee market, with an ambitious expansion plan in the next five years. A letter of intent will reportedly be signed soon, with a master agreement finalising by July 2024.

SOURCE: THE EDGE

Luckin Coffee is a coffeehouse chain from China founded in 2017. It is one of the country’s biggest beverage chains, with over 18,000 stores in China alone. It also operates in Singapore as its only international market, with 32 stores. Last year, the company went viral with its Jiangxiang-flavoured latte, which combines coffee and Chinese spirit baijiu. The unique drink sold more than 45 million cups by the end of 2023, with total sales exceeding RMB900 million (approximately RM585 million).

Despite their domestic success, experts have mixed opinions on Luckin Coffee’s possible entry into Malaysia. Some said the chain could do well, given its affordable pricing and unique menu. Meanwhile, others argued that Luckin Coffee might not find as much success with local coffee fans since homegrown companies like ZUS Coffee, Gigi Coffee and Baskbear Coffee are already filling the gap left by Starbucks, which is facing a long-term boycott from many Malaysians.

China's Luckin Coffee Opening First Malaysian Outlet In 2025

In addition to local brands, Luckin Coffee will have to compete with other international cafe operators, including Indonesian coffee chain Kenangan Coffee, US speciality roaster Reborn Coffee and French-Japanese boutique cafe Cafe Kitsune. Luckin Coffee’s “rival”, Cotti Coffee, has also entered the local coffee scene, with several stores currently operating.

SOURCES: WORLD COFFEE PORTAL, MID VALLEY MEGAMALL, GIGI COFFEE & COTTI COFFEE

What are your thoughts on Luckin Coffee entering Malaysia? Will you give their coffee a try?

Sources: The Edge, World Coffee Portal

Coffee chain MalaysiaLuckin Coffee
https://lomp.at/kmats
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