In a previous post about Starbucks, we talked about its potential in China.
China’s coffee consumption will explode, even considering major cities alone. Younger generations will consume more coffee and they will represent an increasing proportion of the overall urban population.
China coffee consumption potential | Source: Starbucks 6/19 Presentation
The expansion in terms of coverage & number of stores is very impressive: 9 stores by the end of 2017 and 2,370 stores by the end of 2019Q1, although most (91.3 %) of them are pick-up stores (see above).
By comparison, in May 2018, Starbucks announced that it is planning to build nearly 3,000 new stores in mainland China over the next few years (from 3,300 in 2018Q1 to 6,000 before the end of 2022).
