Want to make profits from coffee in China? It’s actually a grind

first_imgAnd while a regular-sized latte costs around 30 yuan ($4.24) in China, it can be as cheap as 4.5 yuan ($0.60) at some places with the use of discount vouchers.This year’s admission by delivery-focused and coupon-reliant Luckin Coffee that it fabricated $310 million in sales underscores how the coffee opportunity in China has been exaggerated, analysts said.”Luckin’s fraud proved that even though coffee in China is almost free, the Chinese still don’t drink much of it,” said Beijing-based independent analyst Keso Hong.Tea countryTea is China’s main source of caffeine and outside of China’s biggest cities, buying a branded caffeinated drink to get through the day is not part of everyday life.Bubble tea, which contains tapioca pearls, is also giving coffee a run for its money. Food delivery giant Meituan Dianping received 210 million orders for bubble tea in 2018, “far more than” coffee, it has said without elaborating.Like Luckin, other domestic chains are struggling to fulfill big dreams.Coffee Box, which focuses on coffee deliveries and raised some $56 million in funding, has shut or suspended business at dozens of its stores. Grey Box, which offers specialty coffee, said in 2018 it wanted 12 stores in Beijing by end of that year, but has just four. Bruno Caffe has closed most stores and only two remain.Among western firms, Britain’s Costa Coffee, which is owned by Coca-Cola, has 300 China stores according to its website, despite earlier ambitions to have had 2,500 by 2018.The chains did not respond to Reuters requests for comment.Starbucks, the first big Western brand in the market and now with 20 years in China under its belt, appears to be the only resounding success, having carefully cultivated its image as a premium cafe for young professionals. Some estimates put the US giant’s share of China’s coffee market at as much as 80%.Just this week, Starbucks expanded its Chinese ordering services to multiple Alibaba apps.The newcomers have, however, wisely decided not to go it alone.Lavazza has formed a venture with Yum China, the owner of KFC restaurants in China. Restaurant Brands International’s Tim Hortons said last year it wanted 1,500 stores in China and has gained backing from Tencent Holdings. Wayne’s Coffee signed a 15-year deal with a Chinese master franchisee.The chains did not respond to requests for comment on their prospects.But even teaming up with a partner is no guarantee of success given the extreme competition, analysts said.”Undoubtedly the coffee market in China will continue to grow and consumers are becoming more habitual coffee drinkers but it is still a hard market to win,” said Ben Cavender at China Market Research.Topics : As a coffee market, China exerts a magnetic pull for Western brands keen to emulate the success of Starbucks Corp which has over 4,400 stores in China and is still expanding. Since last year, Canada’s Tim Hortons has opened about 60 stores in China while Italy’s Lavazza and Sweden’s Wayne’s Coffee have also made forays into the market.Much of the optimism about China’s coffee market potential stems from just how little its consumers drink – just 5.4 cups per capita last year, compared to 341 in the United States and 591 in Western Europe, according to consultancy Euromonitor.Chinese coffee consumption is growing at an estimated rate of around 5% annually, but coffee shop proprietors like Huang say it is more important to take note of the huge jump in outlets and cut-throat pricing.Store openings of specialist coffee and tea shops surged 50% in 2018 and 2019, and China now has some 18,350 stores, more than triple the number in 2014, according to Euromonitor. Coffee is also now sold at many convenience stores and fast-food restaurants. Looking outside her Beijing coffee shop where seven other nearby cafes including a Starbucks compete for customers, Huang Ying is simply glad to still be in business.In the 17 years since opening her cafe in the trendy 798 Art Zone district, making money has gotten harder – even before the coronavirus. Rent and labor costs have increased while rival after rival waded into a market that has failed to live up to expectations.”Our profit can’t compare with the old days,” she said. “I raised prices by 10% in 2017 but that has done little to offset the jump in costs.”last_img read more

Monuments Men being played at the Wellington Regent Friday, Saturday and Sunday

first_imgRated: PG-13. Time: 1 hour 52 minutes. When: Friday 7 p.m. Saturday and Sunday, 2 p.m. and 7 p.m. Movie Synopsis: Based on the true story of the greatest treasure hunt in history, The Monuments Men is an action drama focusing on an unlikely World War II platoon, tasked by FDR with going into Germany to rescue artistic masterpieces from Nazi thieves and returning them to their rightful owners. It would be an impossible mission: with the art trapped behind enemy lines, and with the German army under orders to destroy everything as the Reich fell, how could these guys – seven museum directors, curators, and art historians, all more familiar with Michelangelo than the M-1 – possibly hope to succeed? But as the Monuments Men, as they were called, found themselves in a race against time to avoid the destruction of 1000 years of culture, they would risk their lives to protect and defend mankind’s greatest achievements. From director George Clooney, the film stars George Clooney, Matt Damon, Bill Murray, John Goodman, Jean Dujardin, Bob Balaban, Hugh Bonneville, and Cate Blanchett. The screenplay is by George Clooney & Grant Heslov, based on the book by Robert M. Edsel with Bret Witter. Produced by Grant Heslov and George Clooney. (c) Rotten Tomatoes rating (movie critics collective approval ratings): 34%. Audience review: 52% approval.Movies ahead at Regent Theater:Mr. Peabody and Sherman.Son of GodMuppets Most Wanted.center_img This week at the Regent Theater: “Monuments Men” (Movie trailer is below). Close Forgot password? Please put in your email: Send me my password! Close message Login This blog post All blog posts Subscribe to this blog post’s comments through… RSS Feed Subscribe via email Subscribe Subscribe to this blog’s comments through… RSS Feed Subscribe via email Subscribe Follow the discussion Comments Logging you in… Close Login to IntenseDebate Or create an account Username or Email: Password: Forgot login? Cancel Login Close WordPress.com Username or Email: Password: Lost your password? Cancel Login Dashboard | Edit profile | Logout Logged in as Admin Options Disable comments for this page Save Settings You are about to flag this comment as being inappropriate. Please explain why you are flagging this comment in the text box below and submit your report. The blog admin will be notified. Thank you for your input. There are no comments posted yet. Be the first one! Post a new comment Enter text right here! Comment as a Guest, or login: Login to IntenseDebate Login to WordPress.com Login to Twitter Go back Tweet this comment Connected as (Logout) Email (optional) Not displayed publicly. Name Email Website (optional) Displayed next to your comments. Not displayed publicly. If you have a website, link to it here. Posting anonymously. Tweet this comment Submit Comment Subscribe to None Replies All new comments Comments by IntenseDebate Enter text right here! Reply as a Guest, or login: Login to IntenseDebate Login to WordPress.com Login to Twitter Go back Tweet this comment Connected as (Logout) Email (optional) Not displayed publicly. Name Email Website (optional) Displayed next to your comments. Not displayed publicly. If you have a website, link to it here. Posting anonymously. Tweet this comment Cancel Submit Comment Subscribe to None Replies All new commentslast_img read more

Scorpions seek revenge

first_imgCaptain of Jamaica Scorpions, John Campbell, believes playing their best cricket will be key in overcoming Trinidad and Tobago Red Force in their WICB-NAGICO Insurance Super50 Tournament top-of-the-table clash at Shaw Park, Trinidad and Tobago, today.The encounter, set to get under way at 9:30 a.m. (Jamaica time), will see the hosts (12 points) looking to hold on to their narrow two-point lead over the Scorpions in Group A.Jamaica have won two and lost one of their three matches, while the Red Force have so far recorded two wins and a no-result from their rain-affected fixture.”They are playing well at the moment and are at the top of the table,” noted Campbell. “But we have not played our best cricket yet and if we do, I believe we will win.”A return-leg fixture of the round-robin group stages, the matchup will see Jamaica looking to turn the tables by 84 runs in the tournament opener.Led by solid batting from Andre McCarthy and accurate bowling from leg-spinner Damion Jacobs and fast-bowler Sheldon Cottrell, Jamaica have since gone on to record back-to-back wins in their next two outings. They defeated ICC Americas by 184 runs, before turning back the challenge of Barbados Pride by two wickets on Monday.The results, according to Campbell, have lifted the spirit of the team and he is anticipating the momentum to carry over into today’s match.”We just need to go out there and play positive cricket,” he said.Both teams, favourites to advance from the group as winners or runners-up, are set to welcome the return of their West Indies players.Campbell said batsman Jermaine Blackwood was set to join the team in time for the clash, while it is understood that the Red Force are likely to feature batsman Darren Bravo and wicketkeeper Denesh Ramdin.Blackwood, Campbell pointed out, should help to bolster the batting, which struggled against Trinidad and Barbados with scores of 137 and 139 for eight.”We have a problem with losing cluster of wickets,” Campbell confessed.”Getting in on these (Trinidad) wickets is hard, so moving forward … one of the set bats will have to look to bat as deep as possible for the team.”Trinidad’s Red Force, in addition to Bravo and Ramdin, are expected to pivot their hopes on batsmen Narsingh Deonarine and Jason Mohammed, plus all-rounder Rayad Emrit.last_img read more