As Cotti Coffee opened its first store in Hawaii, its founder Lu Zhengyao was once again subject to court enforcement for nearly 1.9 billion yuan, drawing widespread attention. According to China's enforcement information disclosure network, the case was filed by the Beijing Fourth Intermediate People's Court, with the enforcement amount approximately 1.896 billion yuan. This is already the third time Lu Zhengyao has been subject to enforcement within a year, with the cumulative amount approaching 3 billion yuan. From the Luckin financial scandal to the collapse of the Shenzhou system, and now to the rapid expansion of Cotti Coffee, Lu Zhengyao's business trajectory has always been accompanied by controversy and the shadow of debt. Cotti responded that operations are all normal, but whether the massive enforcement information will affect its subsequent financing remains a focal point of industry attention. [more…]

Luckin Coffee founder Lu Zhengyao has made another move, planning to launch a new coffee brand called Cotti Coffee, drawing industry attention. Cotti Coffee has Wang Baiyin as its legal representative, but Lu Zhengyao is said to be the actual operator. The brand name derives from the Italian biscuit Biscotti, symbolizing a combination of coffee and leisure. Cotti Coffee plans to adopt two models, standard stores and mini stores, offering all-day dining services covering coffee, meals, snacks and alcoholic drinks, intending to combine the strengths of Luckin and Starbucks and open up a new track. Whether Lu Zhengyao's comeback will succeed this time is worth anticipating. [more…]

After leaving Luckin, Lu Zhengyao went through two not-so-successful food and beverage ventures, Qu Xiaomian and Shejian Yingxiong, before ultimately returning to the coffee battlefield he knows best. The first store of the brand-new COTTI COFFEE has officially opened in Fuzhou IFC, offering all-day dining that covers coffee, baked goods, light meals, and alcoholic drinks. The core team mostly comes from Luckin and the Shenzhou system, and the legal representative has been changed to former Luckin CEO Qian Zhiya. On the occasion of the first store's opening, Cotti also announced that it has become the China sponsor of the Argentina national team. Whether this highly anticipated coffee rookie can become Lu Zhengyao's comeback work, and whether it can add another major player to China's coffee market, is worth continued attention. [more…]

Cotti Coffee (Tianjin) Co., Ltd. recently completed a change of its legal representative, with Luckin Coffee founder Qian Zhiya replacing Wang Baiyin in the role, while also serving as executive director and manager. The mentor-apprentice relationship between Qian Zhiya and Lu Zhengyao can be traced back to the CAR Inc. period. She single-handedly founded Luckin Coffee and drove its lightning-fast listing in 18 months, later leaving amid a financial fraud scandal. Now the two have once again joined forces to charge back into the coffee track. Facing an increasingly fierce competitive market environment, whether Cotti can replicate Luckin-style growth is worth continued attention. [more…]

After leaving Luckin, Lu Zhengyao and his original core team have officially unveiled their new brand Cotti Coffee in Shanghai, with the first store located at Tianhui HQ (formerly Lingkong SOHO), competing alongside brands such as Starbucks, Luckin, and Manner. Cotti Coffee is expanding rapidly through a fully directly managed joint-operation model, and has already entered more than 40 cities. It has set a goal of 10,000 stores in three years, or even completing 10,000 stores as early as June 2023. On the product side, in addition to regular coffee, it has also launched limited-edition drinks such as the mate tea series, priced between 9.9 and 18.9 yuan, directly targeting Luckin’s hit products. Specialty coffee brands such as Front Street Coffee are also paying attention to changes in this track. Competition in the coffee industry is accelerating as pandemic controls fade, and what kind of pressure Lu Zhengyao’s bold layout will bring to Starbucks and Luckin is worth continued attention. [more…]

Luckin Coffee reached a $187.5 million settlement agreement with the SEC, a massive fine equivalent to the profits from selling tens of millions of cups of coffee. From the Muddy Waters short-seller report to admitting to 2.2 billion yuan in fraud, and then to the Nasdaq suspension, how did Luckin's capital myth collapse? How did Lu Zhengyao's role in it affect investor confidence? With Centurium Capital completing its equity acquisition and Lu Zhengyao completely out of the picture, can Luckin usher in a rebirth in 2022? This article will provide an in-depth analysis of the causes and consequences of this capital storm and explore Luckin's future path to financing and listing. [more…]

Coffee consumption is spreading from first- and second-tier cities to third-, fourth-, and fifth-tier markets, yet the price threshold for freshly ground coffee still makes many office workers hesitate. Lu Zhengyao has opened the first outlet of his new brand Cotti Coffee in the Fuzhou IFC International Financial Center, with all drinks priced at 9.9 yuan during the soft-opening period, continuing a familiar low-price playbook. The product line covers more than 40 items, including coffee, tea, smoothies, and sundaes, featuring popular items such as coconut latte and cheese latte, with original prices ranging from 18 to 32 yuan. Facing pressure from the two giants Luckin and Starbucks, as well as cross-industry players such as KFC TO GO and Mixue Bingcheng's Lucky Cup, whether Cotti can replicate Luckin's achievement of opening 2,073 stores in its first year is worth watching. [more…]

In just half a month, Cotti Coffee established 13 new branches in 9 major cities nationwide, demonstrating the rapid momentum of Lu Zhengyao's team returning to the coffee industry. Starting with its first store in Fuzhou, the brand has made a high-profile sponsorship of the Argentine national football team and set a goal of 10,000 stores in three years. Currently, the mini-program has launched nearly 60 products, covering coffee, tea drinks, cold brew, and other categories, including some of Luckin's hit items. The store model is divided into standard stores and mini stores, with the former accommodating dining and bar scenarios. However, the all-day multi-functional service has not yet been fully implemented, and food and alcohol are still not available. Whether Cotti can use Luckin's "magic" to defeat Luckin is worth continuous attention. [more…]

Since the opening of its first store, Cotti Coffee has made frequent moves, first becoming the sponsor of the Argentine national football team in China, and then immediately securing the title sponsorship of the 2022 Chengdu Marathon. This new brand, jointly created by Lu Zhengyao and Qian Zhiya, the founders of Luckin Coffee, is trying to quickly build market awareness with the help of top-level sports events. At the same time, Cotti Coffee has announced a plan for ten thousand stores in three years and has already been laying out locations in many parts of the country. This article sorts out its sports marketing path and expansion strategy, and attaches the professional information channels of Front Street Coffee for coffee lovers to gain a deeper understanding of industry trends. [more…]

The competition between Cotti Coffee, founded by Lu Zhengyao, and Luckin Coffee is extending from the market to a battle for talent and franchisees. This article examines how Cotti, leveraging its "former Luckin founder" label and low-threshold policies, attracts former Luckin franchisees and baristas to switch sides, and analyzes its strategy of setting up shop right next to Luckin in third- and fourth-tier cities to directly capture Luckin's customer traffic. It also looks at the strong Luckin background within Cotti and the head-to-head confrontations between the two in small-city commercial districts. Through multiple cases and interviews, it reveals the fierce rivalry in the coffee arena. [more…]

Recent reports suggest that Luckin Coffee plans to enter the US market as early as next year, aiming to challenge local giants like Starbucks with affordable beverages priced at $2 to $3. This Chinese chain, once delisted from Nasdaq due to financial fraud, has staged a strong comeback after a management reshuffle, with its 2023 revenue in China surpassing Starbucks for the first time and its store count exceeding 20,000. Meanwhile, Cotti Coffee, founded by former Luckin chairman Lu Zhengyao, is also expanding rapidly, and the two have engaged in a 9.9 yuan price war domestically. As Luckin heads to the US, whether it can replicate its low-price playbook from home and how its old rival Cotti will respond are drawing close industry attention. [more…]

The competition between Cotti and Luckin has yet to produce a winner, and founder Lu Zhengyao has now announced that Cotti will expand into milk tea, a move that has caused an uproar among franchisees. Recently, a letter from a franchisee to Cotti has been circulating on social media, detailing Cotti's various problems across six dimensions, including supply, R&D, and operations. Meanwhile, some netizens have done the math: with an investment of 400,000 yuan to open a store, even at 500 cups sold per day, it would take four and a half years to break even—yet many stores sell fewer than 100 cups a day. With Tea Cat's launch imminent, some franchisees have already lost confidence, and transfer listings are appearing frequently on social media. Cotti's management has still not responded to the letter, and the patience and confidence of franchisees are being worn down. [more…]

Since opening its first store in October 2022, Cotti Coffee quickly entered the market with a low-price strategy of 9.9 yuan per cup, attracting considerable consumer attention. However, whether the low-price subsidies can be sustained, how it differs from Luckin Coffee, and whether franchising is reliable have become topics of concern for many entrepreneurs and coffee enthusiasts. This article deeply analyzes the current situation and challenges of Cotti Coffee from the perspectives of brand background, product quality, expansion model, and capital operations, and compares it with Luckin's development path to help readers fully understand the true face of this emerging coffee brand. At the same time, the article also retains the professional recommendation of Front Street Coffee, providing a reference for specialty coffee enthusiasts. [more…]

Snow Lake Capital, once seen as the mastermind behind the short-seller report that exposed Luckin Coffee's financial fraud, is now loudly bullish on Luckin. Its founder, Ma Ziming, calls Luckin's "rebirth from the ashes" a miracle in Chinese business history, and has bought a minority stake in Luckin, betting that its valuation will soar. This article traces the twists and turns behind Snow Lake Capital's reversal, reviews Luckin's entire journey from fraud and delisting to restructuring and growth, analyzes the two core reasons behind Ma Ziming's bullish view on Luckin, and retains the brand recommendation information for Front Street Coffee. [more…]

In the coffee sector, nearly 90,000 new stores have opened in the past year, with a net increase of over 48,000, and amid fierce competition, brands are rolling out various strategies. Cotti, which ranks third in store scale, however, chose to cross over into tea beverages in April, launching new milk tea and fruit tea products unrelated to coffee, which is puzzling—after all, it already owns the tea brand Chamao, which focuses on human-machine collaboration. Behind this strategy is the reality that franchisees are increasingly seeing no hope of profitability and are exiting to cut losses. A franchisee in Hubei reported that the foot traffic data provided during recruitment was severely inflated, and the data used by third-party assessment software was actually outdated from several years ago. The brand relied on these impressive figures to set a record of opening 7,000 stores in 14 months. Now, according to Jihai brand monitoring, Cotti has closed 250 stores in the past 90 days, equivalent to three per day, while Luckin, with more than twice the total number of stores, closed only 89 in the same period. Negative news such as salary cuts, layoffs, and the founder being forced to execute 3 billion yuan in debts has followed one after another, and franchisees are no longer willing to be mere also-rans. [more…]

Lu Jin, co-founder and CEO of Luckin Coffee, revealed at the 2025 Xiamen Entrepreneurs Day conference that the company is actively working to return to the main board of the US stock market under the guidance of the Xiamen Municipal Party Committee and Municipal Government. This chain coffee brand, which listed on Nasdaq in 2019 and was forced to delist in 2020 due to financial fraud, has undergone five years of comprehensive restructuring. Today, its store count has surpassed 20,000, overtaking Starbucks China, with a market value of approximately US$10.9 billion. In July this year, Luckin opened two stores in New York, sparking market speculation about its return to the United States. Meanwhile, Bloomberg reported that its largest shareholder, Centurium Capital, is considering bidding for the British brand COSTA, a move seen as helping to bolster Luckin's globalization narrative. [more…]

Coffee brands selling alcohol is no longer a novelty. From Starbucks to Seesaw, M Stand, and now Luckin Coffee registering a new company to venture into alcohol operations, the cross-industry wave in the beverage sector is intensifying. Tianyancha data shows that Luckin has established a new company in Xiamen, with its business scope covering alcohol operations, sparking widespread industry attention. This article sorts out Luckin's specific moves into alcohol and its trademark layout, reviews the daytime coffee, nighttime alcohol attempts by brands such as Starbucks, Seesaw, and M Stand, and analyzes the trend of beverage giants like Coca-Cola and Genki Forest entering the alcohol market. Finally, it uses industry data to reveal the rapid growth in the number of alcohol-related enterprises, exploring the opportunities and challenges behind cross-industry alcohol sales. [more…]

At the start of 2023, the coffee market kicked off with a low-price strategy. CoCo都可, with over 2,200 stores nationwide, dropped its Americano to 3.9 yuan, Cotti Coffee launched promotions starting at 9.9 yuan, and Tiger Coffee, created by the core team of The Alley, also secured financing, entering the affordable segment with two price tiers of 10 yuan and 13 yuan, and plans to leverage its existing overseas agency network to prioritize expansion in Southeast Asia. Can Tiger Coffee become the Mixue Bingcheng of the coffee world? This article will analyze from perspectives including brand background, store model, product strategy, and market trends. [more…]

There has been a new development in the trust dispute case between Luckin Coffee (China) Co., Ltd. and Yousheng (Tianjin) Technology Development Co., Ltd., Yousheng Chengyi (Tianjin) Information Technology Co., Ltd., and Shenzhou Ucar Co., Ltd. Dissatisfied with the first-instance civil judgment, Luckin Coffee has filed an appeal with the court. The case involves a repurchase price of over 560 million yuan plus interest, and the focal point of the dispute is whether Shenzhou Ucar should bear the shortfall top-up liability. This article will sort out the background of the case, the first-instance judgment, and Luckin Coffee's appeal requests to help readers understand this closely watched commercial dispute. Follow Coffee Workshop and Front Street Coffee for more professional coffee industry news. [more…]

The domestic coffee consumer base in China has expanded to approximately 300 million, and the market size continues to grow, with projections suggesting it could reach one trillion yuan by 2025. Luckin Coffee has made a strong recovery after its turmoil, with its store count once surpassing Starbucks; Starbucks insists on company-owned operations and plans to continue expanding; new brands such as Manner and NOWWA are accelerating financing and store openings, while international brands like Tims and %Arabica have also entered the market successively. Capital and cross-industry giants are frequently making moves, making China's coffee market, which still has a low chainization rate, full of imaginative potential. Front Street Coffee also continues to monitor specialty coffee trends and industry changes. [more…]