Coffee big biz in China

#1


Luckin Coffee? Never heard of them. Have to lose big money to get big money I guess. Hoping to sell 500 plus million bucks worth of IPO in USA, losing over 130 mil in China . ? This new math is weird huh?

Get backers to back your biz. open up 2300 plus stores to compete with Starbucks 3700 stores in China. Lose big bucks while doing so but you are attractive to investors? Huh?

Amazon made loses for years too but had big backers who believed in them and now they are the biggest company in the world bigger than Apple.

new math

#2

what kind of a name is that, is luckin even a word?

#3

TBF Starbucks isnt a word

#4

is too…Starbuck was an important Quaker name on Nantucket and gave it’s name to a little island in the Pacific. OK, it needs an apostrophe but still…

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#5

I’m sure there will soon be knockoff cafes in China called Fuckin Coffee.

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#6

Jesus, Starfucks opens a new store in Zhongguo every 16 hours…

#7

Yeah man new math.

It works for a couple of companies, most companies fail miserably though but it doesn’t matter because the founders make off like bandits with their IPOs and fourth and fifth round investments etc etc.

The thing about coffee and tea is there is no exclusive access to this market from scale like you get with something like Amazon.

It’ll be like those share bike companies.

#8

Will work in China once local company starts getting preference

#9

But not only one local company will get preference that’s the thing.

There’s a huo guo chain some guy has in China and he’s a billionaire from it …So maybe…Maybe…
No way I would invest in these coffee bubble guys though.

#10

For 30 years I’ve been saying Krazy Golf. I can’t see why it doesn’t take off here.

#11

Losing double the amount of your revenue with only small revenue growth. Then after their ipo they drop another billion of losses on the retail investors who are dumb enough to slide their money into this…

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#12

https://www.facebook.com/worldeconomicforum/videos/2263218997339494/

#13

I never saw them until visiting China last month, when I spotted Luckin Coffee stores in three out of the five cities I visited. They tend to be in crappier locations than the average China Starbucks, and are more visible in the smaller cities. Didn’t check one out, so no idea what they’re like.

#14

These are very shitty numbers for an IPO of a coffee chain.
So the bigger they get the more money they lose. Genius. In fact their losses accelerated in the 1st qtr.

The company reported a net loss of US$241 million for last year, on total revenue of US$125 million. It lost US$82 million on revenue of US$71 million during the first quarter.

#15

An IPO mostly serves early investors to cash out, leaving retail investors with overvalued stocks. And then they still need to prove they can be profitable. The more media hype they need, probably the worse the performance will be. Long for a week on the hype; then short until they actually show they can make money.

#16

luckin coffee just sounds like crap. its like if peter better cafe said it was going to take on star bucks. these people deserve to be laughed at.

#17

maybe the chinese name sounds better?

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#18

you could say the same about peter better coffee. if you are going to be that ambitious then get a decent name in chinese and english please.

#19

Who here’s been to Titty Tea in Zhubei? That was a good name…

#20

Do they specialize in 波霸奶茶?