Is anyone opening canteens from supermarkets to coffee shops?

As the second month of 2025 comes to an end, coffee and tea franchises, as well as supermarkets and fast-food restaurants, are extending their operations.

Both tea and coffee and retail stores in the last few years saw competition in both tea and coffee shops and supermarkets, as well as hot food in supermarkets and convenience stores from coffee chains.

The last few years saw competition in both tea and coffee and retail stores heating up.

However, this did not prevent over 12,000 offline stores and restaurants from closing down in 2024, as well as “race-to-bottom” price wars in several a market segments.

Cotti began as what some commentators jokingly refer to as "a personal vendetta against luckin," by former employees from the leading chinese coffee chain.

At a large branch in late january, it was first reported that cotti had introduced breakfast and lunch, as well as braised meat, to its menus.

Cotti's set menus are priced about two-thirds of the price of shaxian delicacies, a popular inexpensive fast-food restaurant chain chain, but with similar portions and taste, as well as comparable portions and taste on february 13. this time into convenience stores, the new project convenience stores would be distinctly coffee-centric, with a range of items common to convenience stores such as ice cream and pastries, as well as chinese-style buns and bento.

The new ventures came after cotti halted its "shop-in-shop" branches, which are cornerstones of established restaurants and convenience stores, due to quality control and compliance issues.

However, with the brand still famous for its (1.36 usd) coffee in luckin's price war, branch expansion, and sku extension, the most common ways of increasing sales are price cut, branch expansion, and sku extension.

Although cotti is expanding into both retail and hot food, supermarket stores are opening dining corners or canteens in-store, including , part of sun art retail group, which was recently launched by alibaba.

Freshly cooked dishes are also available in canteens in beijing, one of the prime examples.

Competitors freshippo, wumart, and yonghui superstores are all serving freshly cooked dishes in their canteens.

Not only are supermarkets using canteens to distinguish themselves from competitors like cotti, but they are also using inexpensive and delectable meals to attract shoppers back to brick-and-mortar stores amid the rise of instant delivery.

Mcdonald's and yum china, the operator of kfc and pizza hut, and mcdonald's and yum china, the operator of kfc and pizza hut, have both published their annual financial results for 2024. it can be seen in the reports that both companies are planning large-scale and "local life" services from e-commerce giants.

Kfc's k coffee and mccafé from mcdonald's will be a rage in china this year, with plans to open 1,300 new locations in 2025. mccafé's coffee business in china increased to nearly 7,000 locations last year, up from 3,500 in may.

Mccafé is pushing its breakfast menu and upgrading its coffee to freshly filtered coffee with free top-ups, and naixue, formerly nayuki, is the first chinese tea chain to go public and has a premium location.

In fact, a naixue branch in shenzhen was spotted to have been converted into a "light meal" () café, with superfoods and a healthy diet menu.

Differentiation appears to be the primary catalyst behind all the explorations from these stores, be it tea and coffee, or chapanda's "super veggie" series of drinks.

Against the backdrop of "involution" and homogeneity among competitors, market leaders such as luckin can afford to raise prices, and major stores like goodme and mixue can raise funds for further expansion.

2025 dao insights & dash; for those that are not related or even not adjacent categories, expanding into adjacent or even not related categories could be the fastest way to maintain growth.

2025 dao insights ‐ for those, expanding into adjacent or even not related categories may be the fastest way to maintain growth.

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