Search Results for: business district format adjustment
Starbucks Reserve at Parc Central in Guangzhou Confirmed to Close: Why Do Stores in Core Commercial Districts Also Struggle to Survive?
Recently, news emerged that the Starbucks Reserve store at Guangzhou's Parc Central is set to close, with official confirmation that it will officially cease operations in the coming days. This store, which opened in 2017, was created by Starbucks to celebrate its 15th anniversary of entering the South China market and was once hailed as "one of Guangzhou's most design-forward stores." Unlike previously closed old stores located in declining foot traffic commercial districts, this closure is in a core commercial area of Tianhe District, surrounded by luxury brands, and the store was almost always full on a daily basis. However, high rent, low table turnover caused by the open-plan space, and phenomena such as "people only checking in for photos without consuming" may have made it difficult for the store to be profitable after deducting costs. Starbucks stated that the reason for the closure is adjustments to the business mix in the commercial district and said there are still more than 10 nearby stores for consumers to choose from. [more…]
Manner's first Xiamen store will withdraw from MixC after its lease expires, with the brand shifting to a second store to continue its expansion.
Manner Coffee's first store in Xiamen MixC is about to close. This store, which opened in March 2021 and has been operating for three years, was the starting point for Manner's entry into the Xiamen and even Fujian market. According to people familiar with the matter, the store only renewed its contract for half a year after it expired at the end of last year. Now the renewal period is about to end and there is no intention to continue, so the closure is a foregone conclusion. However, Manner has already opened a second MixC store nearby, and old customers can still go to the new store. Behind this adjustment are both factors related to the mall's business planning and possible cost considerations brought about by rent changes. Although opening stores in core commercial districts can bring foot traffic and visibility, high costs such as rent, utilities, and labor also force brands to weigh the pros and cons. [more…]
Peet's Coffee's first Guangzhou location is closing at the end of the month, drawing attention after shutting down two highly popular stores within a single month.
Recently, netizens reported that the Peet's Coffee store located on the first floor of Teemall in Guangzhou will cease operations on March 31. This store was Peet's first outlet after entering Guangzhou at the end of 2021 and also its second store in South China. Surprisingly, the store had been doing well since opening, often fully occupied, and the sudden closure notice caught many fans off guard. At the same time, Peet's also closed a popular store in Hangzhou's West Lake earlier this month. With two high-traffic stores shut down within a month, it has sparked discussions about the brand's development prospects. What exactly caused these closures? Is it due to adjustments in the business district's format, or challenges facing its high-end positioning? This article will review the sequence of events and various perspectives. [more…]
After nearly eight years in operation, Starbucks' first Reserve flagship store in South China has announced its permanent closure, and the standalone store in Shenzhen MixC World will change hands.
Starbucks' first Reserve flagship store in South China—the two-story standalone store at Shenzhen MixC World—will officially close permanently after business hours on October 12. This iconic store, which had been open for nearly eight years, was once the largest standalone Starbucks in Shenzhen, and it now comes to an end due to the expiration of its contract and adjustments in the business district's tenant mix. After the news spread, many regular customers felt deep regret. At the same time, Starbucks has also been closing stores at multiple locations in Shenzhen, sparking speculation about adjustments to its market layout. This article will review the store's history, customer reactions, the reasons for its closure, and Starbucks' response, along with related recommendations from Front Street Coffee. [more…]
%Arabica stores closing across multiple cities in succession—can the coffee cart model sustain the brand's character? A heated debate.
Recently, the chain coffee brand %Arabica has quietly closed stores in several cities including Xiamen and Shenzhen, sparking widespread attention and discussion online. Among them, the Xiamen MixC store, the brand's first store in the city, ceased operations on May 15 after nearly five and a half years in business; in Shenzhen, the Bao'an Airport store and the Xinghe COCO Park store also closed one after another. The company has not explained the reasons for the closures, and netizens speculate they may be related to mall business adjustments, rising costs, and profitability. Notably, branded coffee trucks have appeared in some areas where stores closed, and the brand's first store in Fuzhou also adopted the coffee truck model. Longtime customers have mixed views: some see it as a flexible adjustment in response to the "buy and go" consumer habit, while others lament that the brand's design-forward store characteristics are being weakened. [more…]
Zhengzhou BRT stations introduce Mixue Bingcheng outlets, sparking concerns over planning permit disputes and occupation of tactile paving
Zhengzhou Bus Group has teamed up with Mixue Bingcheng to open a store inside a bus rapid transit station, with the first pilot located on the west side of the intersection of Huayuan Road and Nongye Road. This attempt is seen as an extension of bus services, allowing passengers to buy drinks while waiting for their bus and even enjoy discounts with their ride records. However, the store's construction is alleged to have proceeded without a construction land planning permit. The Jinshui District Urban Comprehensive Law Enforcement Bureau posted a notice to deliver enforcement documents, but no one signed for them, leaving the procedure at an impasse. Meanwhile, netizens have questioned whether the store occupies the sidewalk and tactile paving, potentially affecting passage. Zhengzhou Bus responded that the station passage is wide enough and promised to make dynamic adjustments. The incident has sparked discussion about the boundaries of commercial development in public spaces and provides a new case of cross-industry collaboration for the coffee and tea beverage industry. [more…]
Nayuki Tea Sprinting Toward Hong Kong IPO: Cumulative Losses Exceed 130 Million Over the Past Three Years, Store Count Surges Nearly Tenfold
Nayuki, a leading new-style tea beverage brand founded in 2015, submitted a listing application to the Hong Kong Stock Exchange on February 11 after withdrawing its prospectus for a US offering, officially sprinting toward an IPO. The joint sponsors are JPMorgan, CMBI, and Huatai International. As of September 30, 2020, Nayuki had established 420 stores across 61 cities nationwide and expanded to Hong Kong and Japan. However, while the number of stores has grown nearly tenfold in the past three years, the company remains in a loss-making state, with a loss of 27.51 million yuan in the first three quarters of 2020. The funds raised this time will be used for store expansion, digital operations, and supply chain development. If the listing succeeds, Nayuki will become the first new-style tea beverage stock in China. [more…]
Shanghai's New Food Business Regulations Take Effect in May: Mixed Operations of Coffee and Catering Allowed, Site Area Threshold Abolished
Shanghai recently issued the "Implementation Measures for the Administration of Food Business Licensing and Filing in Shanghai," effective from May 10, 2024. The new regulations abolish secondary-category licensing items and support mixed multi-format operations, allowing coffee shops, bars, and others to coexist in the same storefront, while non-catering stores such as bookshops and clothing stores can also apply for a business permit to make beverages on-site. At the same time, "made and sold on-site" has been adjusted to "made and sold on the premises," the 19 business catalog items have been simplified into 4 categories—hot food, cold food, raw food, and self-made beverages—and the 6-square-meter production site restriction has been removed. In response to the long-disputed "smashed cucumber" issue, the new regulations allow a dedicated area only. Whether the policy benefits can activate the market and ensure food safety still needs time to be tested. [more…]
Lee Hyori's Jeju Island coffee shop opening sparks discontent among peers—how to balance star power and local livelihoods?
Korean singer Lee Hyori and her husband Lee Sang-soon opened a café on Jeju Island, and within just three days of opening, it sparked discontent among nearby café owners as fans queued for hundreds of meters and products sold out in 12 minutes. Former ruling party lawmaker Jeon Yeo-ok publicly criticized their star effect for squeezing the survival space of local cafés. Lee Sang-soon later responded that opening the shop was purely a personal decision, and that they would switch to a reservation system and step back into a behind-the-scenes role. The incident reflects the double-edged effects of celebrity side businesses in the coffee industry: they can boost the surrounding commercial area, but may also struggle to last due to excessive enthusiasm and a gap in quality. This article sorts out the whole course of the incident and explores the operational dilemmas and possible paths forward for celebrity coffee shops. [more…]
Within half a month, 14 subsidiaries were established, as Lu Zhengyao leads Cotti Coffee's rapid expansion to rival Luckin.
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…]
Heytea officially opens business partner franchising: investment within 500,000 yuan, focusing on small stores of about 50 square meters—can it leverage this to break through into lower-tier markets?
Following the closure of the last store of its sub-brand Xixiaocha, Heytea confirmed on November 3 that it will open franchising, with partnership fees kept under 500,000 yuan and franchise store formats primarily under 50 square meters. Heytea stated it will leverage a decade of accumulated experience and resources to develop its partnership business in non-first-tier cities with suitable store formats, providing partners with comprehensive support in branding, products, quality control, food safety, operations, training, and supply chain. In recent years, Heytea has accelerated its expansion into lower-tier markets, successively adjusting prices, launching IP collaborations, and shutting down its budget sub-brand. Opening franchising is now seen as a key step to further capture market share in third- and fourth-tier cities. Whether the new tea beverage sector will face a new round of involution, and whether direct-operated brand Nayuki will follow suit, remains worth watching. [more…]
The first Starbucks store at Wuyi Square in Changsha has closed for business, ending a fourteen-year history.
The Starbucks store at Wangfujing Department Store in Changsha's Wuyi Square, the brand's first location in Hunan Province, has recently been reported to be permanently closing. Having operated for fourteen years, this store not only witnessed Starbucks' expansion in Changsha but also carried the coffee memories of countless residents. However, with intensifying competition among tea and coffee brands in the Wuyi commercial district, adjustments to commercial leasing policies, and changes in Starbucks' market strategy, this iconic store has ultimately reached its end. This article will review the store's glorious past, analyze the possible reasons for its closure, and present the regret expressed by local residents. [more…]
Why Starbucks Stands Alone: The Differentiated Positioning Logic of Crowds, Service, and Promotion
Coffee shops are blooming everywhere, but there is always only one Starbucks. Its success is not accidental, but stems from a set of positioning logic completely different from traditional cafes. This article dissects, from three dimensions—crowd targeting, service strategy, and promotion methods—how Starbucks precisely locks onto the white-collar group, how it uses space and equipment design to accelerate customer flow, and how it places its marketing focus on brand image rather than the product itself. At the same time, it analyzes the real implementation of the "third place" concept in the Chinese market, and how this concept has trapped many local coffee shop owners in operational difficulties. For coffee enthusiasts and industry practitioners, understanding Starbucks' atypical path helps to rethink the survival logic of coffee brands. [more…]
38-yuan latte paired with celebrity-face marshmallows: coffee shop's creative marketing goes viral, portrait rights risk sparks heated debate
Recently, a "I Want to Soak" latte series launched by a coffee shop in Beijing has drawn attention on social media. The series features marshmallows printed with the faces of male celebrities, priced at 38 yuan each, with the option to add more marshmallows for an extra charge, and even offers a 48-yuan two-person option and an 88-yuan five-person option. This novel format has attracted many fans to visit and post about it, but it has also sparked controversy: some consumers find the face-printed marshmallows unappetizing, and more people question whether the shop's use of celebrity likenesses as a promotional selling point without authorization may constitute infringement. Innovation in the coffee industry is worth encouraging, but it must be done within the legal framework. [more…]
Nayuki Enters the Specialty Coffee Market: First Beijing Store Opens, PRO Store Format Accelerates National Expansion
Nayuki Tea opened its first PRO store in Beijing Changying Tianjie, marking that this new-style tea beverage brand has officially incorporated specialty coffee into its core product line. Unlike regular stores, the PRO store format has undergone a comprehensive upgrade in space design, product structure, and service scenarios, offering seven specialty coffees, over thirty bakery products, and more than twenty kinds of self-produced snacks. Coffee is priced at 15 to 24 yuan, positioned as everyday specialty coffee. Previously, the PRO store format had been successfully validated in Shenzhen. Nayuki plans to open about 200 PRO stores in 2021, and has already established more than ten in Nanjing, Chengdu, Xi'an, Guangzhou, Harbin, and Beijing. This move not only fills Nayuki's gap in the specialty coffee market but also demonstrates its strategic intent to deepen its presence in new retail and expand business consumption scenarios. [more…]
China Post's Coffee Trademark Application Rejected: An Analysis of China Post's Cross-Industry Layout and the Industry Boom
China Post's application for the "邮局咖啡 POST COFFEE" trademark was recently rejected, sparking widespread attention. Since the first store opened in Xiamen in February 2022, Post Coffee has expanded to four cities—Xiamen, Nanjing, Quanzhou, and Beijing—with six stores, focusing on a blend of postal nostalgia and cultural creativity. The co-founder had planned to open a hundred stores by the end of the year, but the trademark registration setback has led to widespread discussion online. Meanwhile, giants from various industries such as Li-Ning, Xtep, Tongrentang, and East Buy have entered the coffee sector. What are the prospects for cross-industry coffee ventures? This article reviews Post Coffee's expansion journey, product features, and trademark controversy, and takes stock of cross-industry dynamics in the industry. [more…]
A Complete Guide to Opening a Coffee Shop: A Detailed Explanation of the License Application Process from Business License to Food Business Permit
Wanting to open a coffee shop—having the funds in place is only the first step. What really gives many entrepreneurs a headache is the complicated and cumbersome licensing procedures. From business registration and food business permits, to health, tax, and fire safety, and then to the special approvals for alcohol and roasted coffee, every single item determines whether the shop can operate legally. This article will systematically sort out the various certificates and application processes required to open a coffee shop, helping you clarify your thinking and avoid detours. At the same time, we will also discuss practical points such as site selection strategy, startup capital estimation, and equipment procurement. At the end of the article, Front Street Coffee's contact information is attached; you are welcome to exchange ideas on specialty coffee bean selection and shop-opening experience. [more…]
Heytea's first store in Chongqing suddenly closes, brand's suspension of franchise expansion sparks industry discussion
The first Heytea store in Chongqing's Beicheng district has suddenly closed. This store, which had been highly popular since opening in 2018, was once regarded as a landmark presence for the brand in the Chongqing market. The closure surprised many loyal customers, and Heytea's subsequent internal email announcing the suspension of business partnership applications caused even more waves in the tea beverage industry. From the end of its first Chongqing store to the successive closures or suspensions of stores in Zibo, Xuecheng, Binhu and other places, and then to the company's proactive halt of franchise expansion, Heytea's series of moves have sparked widespread discussion about brand strategy adjustment, store quality control, and the competitive landscape of the industry. [more…]
The highest unit price for coffee training courses reaches a thousand yuan, and market demand is driving new industry growth points.
As coffee consumption becomes increasingly routine and a daily necessity, the number of coffee shops continues to grow, and the coffee training market is heating up along with it. From latte art experiences to advanced specialty drinks, course prices range from 300 to 1,000 yuan, and some popular courses require booking half a month in advance. Search data shows that interest in coffee training has risen 77% year on year, with people aged 20-35 making up the main group. The coffee industry is rising across the board, from the consumer end to the talent end, and brands such as Front Street Coffee continue to provide professional support for enthusiasts. [more…]
Starbucks in the Vegetable Market: Can Traditional Markets Become a New Scene for Coffee Consumption?
In recent years, Starbucks has continued to adjust its store layout strategy, gradually extending from core commercial districts to surrounding communities, and even setting its sights on traditional wet markets. A newly opened wet market in Minhang District, Shanghai, has brought in a Starbucks, and a Starbucks store has also appeared in a long-established comprehensive wholesale market in Seoul, South Korea. The heavy foot traffic, relatively low rents, and considerable repeat-purchase potential of wet markets have prompted coffee brands to re-examine the commercial value of traditional bazaars. This article focuses on the phenomenon of Starbucks choosing wet market locations, analyzing the logic behind this strategy, the feasibility of selling coffee in wet markets, and the significance of affordable pricing for the expansion of the coffee market. [more…]