Leidi.com Lei Jianping August 7th
When Ruixing Coffee’s single-quarter revenue exceeded 6.2 billion and the total number of stores reached 10,836, its new rival Cudi Coffee continued to make efforts. As of August 4, 2023, the number of Cudi Coffee stores has reached 5,000.
In many places, the stores of Cudi Coffee and Ruixing Coffee are next to each other. Recently, Leidi found in a Wanda mall in Jiangning District, Nanjing that the stores of Cudi Coffee and Ruixing Coffee were open facing each other.
Since Ruixing Coffee launched the "9.9 yuan" campaign, in the summer of 2023, Ruixing's stores have exploded orders.
There is also an endless stream of consumers at this Ruixing store in Nanjing. In the past, it might take 5 minutes to wait for a cup of coffee, but now it often takes more than 10 minutes. There are about 5 to 6 staff members in the Ruixing Coffee store, who are constantly busy, and consumers holding Ruixing Coffee can be seen everywhere in the Wanda mall.
There are only two staff members at Cudi Coffee opposite, and they are busy all the time. Consumers who do not want to wait for Ruixing Coffee choose Cudi Coffee, which makes the business of Cudi Coffee next to it look not bad.
In fact, Cudi Coffee has a deep "blood" relationship with Ruixing, and the core team of Cudi Coffee comes from Ruixing Coffee. Li Yingbo, chief strategy officer of Cudi Coffee, said in an interview a few months ago that 50% of Cudi Coffee’s core team comes from the former Ruixing Coffee founder and CEO Qian Zhiya’s team, and the remaining 50% comes from newly recruited young people. The chairman of the strategic committee of Cudi Coffee is Lu Zhengyao, the founder of Shenzhou Car Rental. Lu Zhengyao does not participate in the daily operations of Cudi Coffee, but is mainly responsible for some large-scale strategic planning.
Li Yingbo said, "This is not the first time we have started a coffee brand. The mission of the company or the brand has not changed since we started the coffee brand. We all want to provide consumers with affordable and good coffee."
Moreover, Cudi Coffee adopts the style of the founder of Ruixing Coffee. It comes up with a low-price strategy, adopts a small store model, and orders online, which is close to the initial strategy of Ruixing Coffee, and even Cudi Coffee launched The signboard is: "The founder of Ruixing invites you to drink coffee for 8.8 yuan", which can be said to be playing against Ruixing.
A person from Cudi Coffee revealed to Leidi.com that Cudi Coffee does have an activity of buying coffee for 8.8 yuan a week, saying that it is not a problem for the founder of Ruixing to invite consumers to drink Cudi Coffee for 8.8 yuan. Moreover, Cudi Coffee The coffee itself has its own method and logic in terms of location selection, which has been verified. It is not a problem for Cudi Coffee to open next to Ruixing Coffee.
A person from Ruixing Coffee once revealed to Leidi.com that many industries will have a hard time in 2023, and some young people have the idea of opening a store and starting a business. Luckin Coffee opened a lot of new stores in 2023, and many young people were attracted by Cudi Coffee and chose to open Cudi Coffee when they were unable to meet the requirements of opening Ruixing franchise stores.
"Lu Zhengyao and Qian Zhiya's team have a successful story of starting coffee. Under the brand name of Ruixing Coffee, they have attracted many people to open stores. This is also an important reason why Cudi Coffee can open so many stores in such a short period of time."
Cudi Coffee only opened its first store in October 2022. By May 2023, the number of stores has reached 2,500, and only three months later, the number of stores has reached 5,000. The speed of opening stores can be described as rapid. You know, as of July 2023, Starbucks only has nearly 6,500 stores in China, and it has been in business for so many years.
In July 2023, Cudi Coffee also held the unveiling ceremony of the East China Supply Chain Base, which will be officially put into operation in the second half of 2023. Cudi Coffee East China Supply Chain Base consists of two parks, with a total construction area of about 110,000 square meters and a total investment of about 200 million US dollars.
The base will build supply chain projects including coffee roasting and other supporting facilities. Among them, the coffee roasting base has an annual production capacity of 45,000 tons, and the Kudi Coffee East China base will be built into a full-featured closed-loop base integrating R&D, production and quality control to support the rapid development of Kudi Coffee.
Of course, behind Cudi Coffee PK Ruixing Coffee, Ruixing Coffee already has enough volume, the cost can be controlled, and does not affect profitability; while Cudi Coffee is due to the team’s past Ruixing Coffee fraud incident, leading to financing There will be obstacles, and the financial level will be under greater pressure.
However, Cudi Coffee PK Ruixing Coffee is not good for third parties, and business may be affected. At the current level, the biggest beneficiaries are naturally consumers who like coffee.
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Lei Di was founded by Lei Jianping, a senior media person. If you reprint, please indicate the source.
