On Friday, Chinese company Luckin Coffee closed a $200m funding round, giving the young company a $1B valuation, as they attempt to steal Starbucks’ bean crown in the area.
With over 3k stores, ‘bucks is currently the largest coffee slosher in China (the frappe giant’s 2nd largest market after the US), but Luckin is coming in hot and steamy.
The Beijing-based startup has grown at an insane rate, opening 525 outlets across China’s major cities less than 9 months after its launch.
As part of their “new retail” strategy, the company makes their customers download their app to order coffee, where they can pay for the Joe using WeChat or Luckin’s own “coffee wallet.”
Meanwhile, Luckin’s also trying a new legal strategy: suing Starbucks in May for “monopolistic behavior.”