What Luckin Coffee Inc. does

Luckin Coffee Inc. (NASDAQ: LK) is a publicly listed Chinese coffee chain founded in 2017 and headquartered in Xiamen, Fujian Province. It operates a mobile-first 'new retail' model in which customers order via the Luckin app or WeChat mini-program for self-pickup or delivery, with new-user acquisition pricing of 9.9 yuan per cup and signature drinks priced in the 20-25 yuan band. As of June 2023 the company had become the first chain coffee brand in China to exceed 10,000 stores, distributed across 252 cities through a franchise partner program called 'New Retail Operating Partners' that charges no upfront franchise fee and shares profit only above agreed thresholds. Luckin also operates a dedicated corporate/B2B channel (corp.lkcoffee.com) supplying professional coffee equipment and beverage services to large enterprises and mid-to-high-end office buildings.

The core product portfolio spans core espresso-based drinks (Americano and Latte series), a high-velocity signature Coconut Latte family (生椰拿铁) that the company claims has sold 20 billion cups globally, fruit-coffee hybrids such as Orange C Americano and Calamondin C Americano, cold-brew and specialty offerings including a Geisha White Cold Brew, and a wide non-coffee portfolio of milk teas, iced teas, light teas, fruit-vegetable teas, and smoothies. Underlying the menu is a vertically integrated supply chain anchored by the Xiamen roasting factory (210 million RMB, 15,000 tons of annual capacity, operational since 2021) and the planned Kunshan production base ($120 million USD, 30,000 tons planned capacity signed in 2022). Luckin's proprietary technology stack includes the Ristretto short-extraction process, 1-Hour Rapid Fresh-Keeping Cold Press technology for coconut, HPP ultra-high-pressure processing for juices, a first-generation tea extraction machine, and the published 'Three 100' Light Milk Tea Enterprise Standard; the company has also won the IIAC International Coffee Tasting Gold Award for 8 consecutive years (2018-2025).

Revenue is generated primarily through direct retail beverage sales to individual consumers via company-owned and franchise stores, with a secondary stream from corporate enterprise accounts. The franchise model functions on a profit-sharing basis in which partners bear store operating costs, receive 100% of gross margin after raw material costs, and pay Luckin a service fee share only after surpassing agreed profit thresholds. Geographic presence is concentrated in mainland China with a stated Singapore beachhead, and source materials do not disclose a revenue figure for the company.

Name

Luckin Coffee Inc.

Legal name

Luckin Coffee (China) Co., Ltd. (瑞幸咖啡（中国）有限公司)

Website

https://lkcoffee.com

Company type

Public

Founded year

2017

Operating status

Operating

Short description

Luckin Coffee (NASDAQ: LK) is a publicly listed Chinese coffee chain founded in 2017, operating 10,000+ stores across 252 cities via a mobile-first new retail model and franchise partner network, serving mass-market individual consumers and corporate clients with coffee, latte, and fruit-coffee beverages anchored by the signature Coconut Latte.

Ownership category

akta.pro rank

Product category

Coffee Chain Retail

NAICS

Coffee and Tea Manufacturing (311920), Convenience Retailers (445131)

SIC

Retail-Eating & Drinking Places (5810)

akta.pro primary industry

Coffee Chains & Franchise Cafes (THAFADAB)

akta.pro secondary industry

Breakfast & Coffee QSR (THAFAAAI)

Keywords

• Coffee chain retail
• Specialty coffee beverages
• Coffee bean roasting
• Franchise coffee stores
• Mobile coffee ordering

Headquarters

HQ city

Xiamen

HQ country

China

HQ region

Asia

Offices4 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Supply Chain, Infrastructure, Operations, Marketing or Sales, Personnel, Technology or R&D

Revenue model

1. Retail Beverage Sales: Luckin Coffee generates primary revenue from direct sales of coffee and non-coffee beverages to individual consumers through company-owned and franchise stores. The app-based ordering system facilitates direct customer transactions.
2. New Retail Partner Franchise Model: Luckin operates a profit-sharing franchise model where 'New Retail Operating Partners' bear store operating costs. No franchise fee is charged upfront. Partners receive 100% of gross margin after deducting raw material costs, with Luckin only taking a service fee share when profits exceed agreed thresholds.
3. Corporate/B2B Enterprise Sales: Luckin Coffee provides professional coffee services for large enterprises and mid-to-high-end office buildings through dedicated corporate accounts.

Pricing tiers

Go-to-market motion2 records

Distribution channels4 records

Marketing channels5 records

Core offering

Luckin Coffee operates a technology-enabled "new retail" coffee chain that sells freshly prepared coffee and non-coffee beverages directly to consumers through 10,000+ stores across China. Customers order via the Luckin mobile app or WeChat mini-program for self-pickup or delivery, with new-user pricing starting at 9.9 yuan per cup. The company supplements direct retail with a franchise partner network (New Retail Operating Partners) and dedicated corporate coffee service accounts for enterprises and office buildings. Signature products include the Coconut Latte (20 billion cups sold globally), Butter Latte, and a rotating lineup of lattes, Americanos, milk teas, iced teas, and specialty drinks.

Product overview

Luckin Coffee Inc. operates as a new retail coffee platform offering a comprehensive portfolio of coffee and non-coffee beverages through its extensive store network. The product portfolio includes: (1) Core coffee beverages - Americano series (Standard Americano, Double Americano, Butter Americano, Orange C Americano, Apple C Americano, Queen Apple C Americano, Calamondin C Americano, Colorful C Americano, Passion Fruit C Americano, Lemon C Sparkling Americano, Watermelon Coconut Cold Brew, Iced Dark Chocolate Americano), Latte series (Standard Latte, Butter Latte, Coconut Latte, Light Coconut Jasmine Latte, Velvet Latte, Mini Cheese Latte, Thai Milk Tea Latte, Jasmine Flower Latte, Salted Caramel Latte, Geisha Dream, Green Smoothie Latte, Coconut Trio Latte, Qiantang Longjing Latte, Queen Apple Latte), Cold Brew series (Geisha White Cold Brew); (2) Non-coffee beverages - Thai Milk Tea series (Classic Thai Milk Tea, Salted Cheese Thai Milk Tea), Light Tea series (Fresh Brewed Jasmine Light Tea, Osmanthus Fermented Rice Oolong), Fruit Vegetable Tea (Kale Fruit Vegetable Tea), Yogurt Smoothie (Avocado Kale Yogurt Smoothie), Coconut Mango Pomelo Sago; (3) Iced Tea series - Apple C Iced Tea, Grape Iced Tea, Passion Fruit C Iced Tea, Calamondin Jasmine Milk Tea, Lychee Jasmine Milk Tea, Hello Apple Jasmine, Apricot Lucky Qilan Apple Iced Tea, Fresh Orange Jasmine Iced Tea, Flamenco Popping Iced Tea, Watermelon Jasmine Milk Tea, Queen Apple C Iced Tea; (4) Specialty drinks - Tabby Orange, Apple Punch. Key differentiators include: IIAC gold award coffee beans (8 consecutive years), proprietary Ristretto precision extraction, high-quality ingredient sourcing (New Zealand dairy, Indonesian coconut, Hengzhou jasmine), and innovative product development with seasonal limited offerings.

Differentiator

Problem solved

Functional benefit

Brands

• 瑞幸专属生椰原产地 (Luckin's Exclusive Coconut Origin): Luckin's dedicated coconut plantation in Bonte Island, Indonesia - source of coconuts for their coconut-based beverages

Products and services

• Coconut Latte (生椰拿铁) Luckin's original signature coconut latte featuring cold-pressed coconut from Southeast Asia (Indonesia's Banggai Island) with 1-hour rapid fresh-keeping, paired with IIAC gold award 100% Arabica coffee beans. Globally exceeded 20 billion cups sold.
• Butter Latte (小黄油拿铁) Luckin's original butter coffee latte containing New Zealand imported butter, caramel flavor from butter and coffee combination, described as 'a cup of liquid popcorn'. Became the Top 1 repurchase item among 2024 new products.
• Orange C Americano (橙C美式) Fruit coffee Americano featuring NFC orange juice with 0 fat, ~128kcal per cup. Cumulative sales exceeded 300 million cups, known as Luckin's top fruit coffee product.
• Butter Americano (小黄油美式) Luckin's original butter Americano combining butter-flavored milk with espresso, featuring popcorn aroma. Contains ~173kcal and ~212mg caffeine per cup.
• Standard Americano (标准美式) Classic Italian espresso Americano with 0 sugar, 0 fat, ~11kcal per cup. Features nutty and caramel notes with a woody finish. Made from 100% Arabica beans, 8-year IIAC gold award winner.
• Double Americano (加浓美式) High-caffeine Americano with double espresso shots, ~198.9mg caffeine per cup, 0 sugar 0 fat, ~14kcal per cup.
• Standard Latte (拿铁) Classic Italian latte featuring espresso and fresh milk with toffee and white chocolate notes, ~268kcal and ~98.6mg caffeine per cup.
• Velvet Latte (丝绒拿铁) Velvet latte featuring velvet-flavored thick milk with 20.99% improvement in smoothness compared to regular lattes. 2021 Autumn Favorites List Top 1. ~376kcal per cup.
• Iced Coconut Latte (冰吸生椰拿铁) Luckin's original iced coconut latte (First Creator certified by Shangpu Consulting Group) featuring an original cooling formula with ice-cold factors combined with 1-hour fresh-keeping coconut.
• Light Coconut Jasmine Latte (轻椰茉莉拿铁) Light coconut latte featuring cold-pressed coconut with fresh jasmine tea, jasmine aroma upfront followed by coconut richness. ~120kcal, ~179.1mg caffeine per cup.
• Fresh Brewed Jasmine Light Tea (鲜萃轻轻茉莉) Light jasmine tea following Luckin's 'Three 100' standards: 100% real tea freshly brewed, 100% animal dairy fat, ~100kcal per cup. Jasmine flowers from Luckin's exclusive Hengzhou production area.
• Classic Thai Milk Tea (经典泰奶) Classic Thai milk tea featuring Thai-style black tea with rich honey fragrance, New Zealand cheese. ~137.3mg caffeine per cup.
• Coconut Mango Pomelo Sago (生椰杨枝甘露) Non-coffee coconut mango pomelo sago featuring Baise mango (national GI product), red pomelo, 0-fat crystal bubbles, coconut milk pudding, cold-pressed coconut milk. ~176kcal per cup.
• Avocado Kale Yogurt Smoothie (牛油果羽衣酸奶奶昔) Avocado and kale yogurt smoothie, hearty with ingredients. ~284kcal, <0.2mg caffeine per cup. Suitable for students and yogurt lovers.
• Kale Fruit Vegetable Tea (羽衣轻体果蔬茶) Fitness-friendly fruit vegetable tea featuring kale (superfood), 4 types of fruits and vegetables, 190+ ingredient tests. ~94kcal per cup, 0 fat.
• Grape Iced Tea (葡萄冰茶) Grape iced tea featuring seasonal grapes with 24h rapid refrigeration fresh-keeping, combined with freshly brewed Hengzhou jasmine tea. ~115kcal per cup.
• Passion Fruit C Iced Tea (百香果C冰茶) Passion fruit iced tea featuring NFC passion fruit juice with purple and golden passion fruit seasonal blend, freshly brewed jasmine tea.
• Queen Apple Latte (皇后限定苹果拿铁) Premium apple latte featuring Aksu apple juice (national GI product with ice sugar heart from 10°C temperature difference), ~202kcal per cup.
• Geisha White Cold Brew (瑰夏白冷萃) Geisha cold brew with cheese featuring Ethiopian Geisha coffee (SCA 80+), quick cold brew process. Sweet orange acidity, hazelnut cocoa notes. Recommended by coffee master Sun Lei.
• Calamondin C Americano (小青桔C美式) 2026 flagship fruit Americano featuring Hainan calamondin, 24h fresh-pressed NFC juice, Ristretto precision coffee. ~115kcal, ~154mg caffeine per cup. Took 371 days to develop.
• Queen Apple C Americano (皇后限定苹果C美式) Premium apple Americano featuring 24h freshly squeezed NFC apple juice from Aksu apples (national GI product), paired with Ristretto precision coffee from 2025 IIAC gold award beans. ~131kcal per cup.
• Thai Milk Tea Latte (泰奶鸳鸯拿铁) Thai milk tea latte featuring Thai-style black tea combined with Ristretto precision coffee and New Zealand cheese, dual caffeine sources. ~143.1mg caffeine per cup.
• Tabby Orange (虎斑橘) Specialty coffee featuring Ethiopian Yirgacheffe coffee, fresh orange peel topping with caramel butter cream. ~182mg caffeine per cup.
• Coconut Trio Latte (生椰三重奏拿铁) Premium coconut latte featuring coconut cream top, cold-pressed coconut milk, and coconut milk pudding - three layers of coconut flavor. ~470kcal, ~147.6mg caffeine per cup.
• Corporate/B2B Enterprise Coffee Service Dedicated corporate account system (corp.lkcoffee.com) providing professional coffee equipment, bulk beverage service, and employee coffee benefits programs for large enterprises and mid-to-high-end office buildings in China.
• New Retail Operating Partner Franchise Program Franchise partner program for entrepreneurs aged 25–50 to operate Luckin Coffee retail stores under three modes — store-with-store franchise, targeted location franchise, and fixed-point new partner franchise — across 252 cities in China. No franchise fee charged; profit-sharing only after agreed profit thresholds.

Quantifiable outcome

• Coconut Latte achieved 20 billion cups global cumulative sales, averaging 23 cups per second
• +4 more outcomes

Named customers2 records

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature6 records

Partnerships

One partnership is on record.

• Kunshan Economic and Technological Development ZonemajorStrategic or Co-development PartnerLuckin Coffee signed agreement with Kunshan Economic and Technological Development Zone in 2022 for a full automated production base. Planned investment of USD 120 million for integrated coffee R&D, roasting production, sales, and logistics distribution. Expected annual capacity of 30,000 tons of coffee beans.

Scale indicators7 records

Recent moves9 records

Expansion highlights5 records

Direct peers

• Manner Coffee: Shanghai-based specialty coffee chain that has expanded aggressively across China. Competes directly with Luckin in urban Chinese coffee markets with comparable focus on affordable high-quality coffee, though with smaller store footprint and more premium positioning.
• Heytea: Chinese new-retail tea beverage brand that has expanded into coffee and adjacent categories. Operates similar technology-enabled, mobile-first business model with strong product innovation pipeline, often targeting the same young Chinese consumer demographic.
• Tim Hortons China: Chinese arm of Canadian coffee chain Tim Hortons. Directly competes with Luckin in the China coffee market with similar mid-tier pricing and broad geographic expansion strategy across major Chinese cities.
• % Arabica: Japanese-origin specialty coffee chain with strong Asian market presence including China. Competes in the Chinese coffee market with a premium positioning and design-led store experience, serving a more niche but overlapping customer segment.
• Cotti Coffee: Chinese value coffee chain founded in 2022 by Luckin's former CEO. Operates a similar digital-first, low-priced coffee model with mobile ordering and aggressive promotional pricing, directly competing for the same mass-market Chinese coffee consumer.

Broad incumbents

• Costa Coffee: UK-based coffee chain with significant operations in China. Operates as a broader incumbent in the Chinese coffee market with both company-owned stores and franchise operations, overlapping with Luckin's target customer base in tier-1 cities.
• McDonald's McCafé: Coffee program operated by McDonald's globally including China. Provides quick-service coffee at competitive prices through McDonald's extensive store network, competing for the same mass-market daily coffee occasion.
• Blue Bottle Coffee: Specialty coffee chain with presence in Asian markets. Competes in the coffee category with a focus on specialty/premium positioning and freshly brewed offerings, providing relevant competitive context for Luckin's premium product extensions and SOE single-origin lines.
• Starbucks: Global coffee chain incumbent with significant presence in China. While operating at a higher price point with different store experience, Starbucks competes for the same daily coffee occasion and is a benchmark for premium Chinese coffee consumption.
• KFC K-Coffee: Coffee offering within KFC China's extensive quick-service restaurant network. Provides affordable coffee through established QSR locations, competing for mass-market coffee occasions in the same consumer segment with broad geographic coverage.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks5 records

Key highlights7 records

Customer concentration

Revenue estimate

Valuation estimate

Number of profiles

Profiles1 record

Subsidiaries1 record

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Luckin Coffee Inc.