The latest financing news the boutique coffee brand Yingji Coffee gets three rounds of financing in half a year.

The trillion coffee market is really fascinating! Yesterday, coffee brands completed a new round of financing, and importantly, they got three rounds of financing in half a year.

Following the financing process of Shanghai's new coffee brand "MANNER" in six months, the coffee brand "Yingji Coffee" has also received three rounds of financing in half a year.

According to the information on APP's official website, Yingji Coffee, a boutique coffee brand, completed its latest round of A round of financing on June 7, with EVERYI Yiyuan Capital, bilibili and bilibili as the investors, and Qingsen Capital as the exclusive financial adviser.

It is worth noting that this is the third round of financing that Eagle set Coffee has received in half a year.

So far, the boutique coffee brand "Yingji Coffee" has received a total of 5 rounds of financing.

On March 4, 2021, Eagle set Coffee completed the Pre-A round of financing, with Lemeng Pictures as the investor.

On October 30, 2020, "Eagle set Coffee" completed the angel round of tens of millions of RMB financing, invested by individual investor Euro Group, which has rich marketing resources and offline chain operation enabling ability. after financing, Eagle set Coffee mainly exports its own supply chain, trend entertainment and flow resources. And "Eagle set Coffee" has previously responded: this round of financing will be mainly used for product research and development, brand building and marketing communication, supply chain integration and so on.

The above three rounds of financing is the financing process obtained by "Eagle set Coffee" within half a year.

On October 19, 2018, "Eagle set Coffee" completed the strategic financing, and the investor is the joint capital.

On September 22, 2016, Eagle set Coffee completed its strategic financing, with Ruisheng Capital as the investor, which was the first round of financing for the brand.

According to public data, the boutique coffee brand Yingji Coffee was founded in 2016. Founder Wang Juntao, whose English name is S.engine, headquartered in Shanghai, is a boutique coffee chain. It can also be seen from the financing process that Yingji Coffee has received its first round of financing in the first year of its establishment.

In recent years, "Eagle set Coffee" quickly broke through the trend in the coffee market through unique space design, innovative products and joint cross-border actions, and once became the focus of attention. (more introduction to "Eagle set Coffee" can see this article: how does Eagle set Coffee seize the coffee market? )

According to 36 Krypton, Eagle set Coffee, which has obtained three rounds of financing in a short period of time, will focus on online and offline simultaneous promotion in the future, mainly in the form of "Pocket Cafe + supply chain + offline Cafe". Build the whole product supply chain system of the brand.

In fact, since the fall of Luckin Coffee, domestic coffee brands have begun to accelerate the attack on the coffee market.

The coffee workshop reported not long ago that the new local coffee brand MANNER has obtained three financing times in just five months. At that time, we said: this kind of financing speed is relatively rare in the coffee industry, and just a week later, another local coffee brand has obtained three rounds of financing in half a year. People can not help but sigh: the trillion coffee market is really fascinating. So that all the major coffee brands have gathered here.

So how did the coffee market become a good business?

01

With the intervention of capital, the coffee market ushered in a bright moment.

The trillion-dollar coffee market brings unlimited space and imagination for capital and coffee brands, and the intervention of capital also ushered in a highlight moment for the coffee market.

After the domestic chain coffee brand Ruixing caffeine was delisted due to financial fraud, new coffee brands began to emerge as a new force, such as three and a half meals, Yongpu, Shizui, Sumitagawa, M stand and chain coffee brand MANNER have announced a large amount of financing, and some coffee brands have raised two or three rounds of investment in half a year.

So far, there have been nearly 10 financing incidents in the coffee market this year.

I will not review it here. For more information, please see this article, "another Coffee Brand gets $8.5 million in financing!" What does capital like coffee for? "

Public data show that the new coffee brand "three and a half" has received five rounds of financing in the past two years, while coffee brands "MANNER" and "Eagle set Coffee" have received three rounds of financing in six months respectively.

Among them, the latest round of financing of "MANNER" has also attracted top institutions such as Sequoia and Hillhouse, as well as Internet giants such as Byte Jump, Tencent, Ali, Meituan and other collective financing competition, and finally MANNER was "exclusively" invested by Meituan Dragon Ball Capital, which shows how much the capital values the coffee market.

The coffee brands "MANNER" and "Eagle set Coffee" have not made their debut for a long time. "MANNER" was founded in 2015 and focused on 10 yuan high-cost boutique coffee in the early form of stalls. "Eagle set Coffee" was founded in 2016 and started as an offline cafe and was well known as a flagship store opened by Xintiandi in Shanghai at the beginning.

From this point of view, these two brands are not as outstanding as many coffee brands, but they have received three times of capital financing in six months, and the capital is focused on: nothing more than because the coffee market is still profitable.

On the one hand, coffee has always been the darling of capital, which can be seen from the news of Lucky's financial fraud. Although the earlier scandal of Luckin Coffee's withdrawal shocked the capital market, what is interesting is that despite this, the capital never exited. Instead, it entered the coffee market more actively, and finally raised a new round of financing for Luckin Coffee, totaling 250 million US dollars. Needless to say, the new coffee brands. Three and a half, Yongpu, Shizui, Sumida, M stand and chain coffee brand MANNER have all received considerable financing one after another.

On the other hand, the coffee market is still profitable. Although the coffee market started relatively late, it is developing rapidly, and it is still growing continuously. It is expected that the coffee market will exceed 330 billion yuan by 2024. In addition, the new coffee market with lower threshold is brewing, and capital has more investment opportunities. At the same time, with the blessing of capital, the coffee market has ushered in a highlight moment. For example, various industries are laying out the coffee field more closely, whether it is Tongrentang who sells traditional Chinese medicine, Sinopec that sells oil or luxury brand LV, or brands in various other industries have begun to layout the business of the coffee market. These brands have also promoted the development of the coffee market while increasing the competitiveness of the coffee market. "capital" has become an important link that can not be ignored in the development of the coffee market.

02

The business model of the coffee market has changed.

For a long time in the past, the business model of the coffee market showed a "cold" style, even giving people a feeling of "out of reach". According to Penguin Intelligence's research data, consumers drank 76.8% of over-instant coffee and 37% of freshly ground coffee in 2019. The information behind the data shows that instant coffee is more popular among consumers. Another data also shows that only 13% of consumers are willing to pay more than 30 yuan for a cup of coffee, largely because the price of coffee is too high, and in recent years, especially in 2020, with the emergence of boutique cafes, low-cost boutique coffee has gradually become a daily drink for consumers.

At the same time, coffee brands are no longer limited to a single business model, but make it easier for consumers to accept through a more fun and approachable model, such as the "easy Coffee" launched by Sinopec together with Coffee. Another example is the shabby "Shaxian Coffee" which is decorated, but has achieved an annual sales rate of 4 million in selling coffee. In our understanding, most cafes sell the third space. Many cafes pay great attention to the environment and decoration, but Shaxian Coffee does the opposite. Through a simple Slogan: "Shaxian Coffee, Big Rich and expensive" has become a sign-in icon in many people's moments. From emphasizing the "third space" scene to paying more attention to reaching "resonance" with consumers is a relatively obvious change in the business model of the coffee market in recent years.

03

There are more "new" categories in the coffee market.

After the continuous intervention of capital, the domestic boutique coffee track has a relatively large space for development, but also the emergence of more "new" categories, while coffee is also getting better.

In the whole coffee market industry, whether instant coffee, instant coffee or freshly ground coffee is only a branch of coffee category, among which data show that instant coffee accounts for 72%, instant coffee accounts for 10%, and freshly ground coffee accounts for 18%. It shows that instant coffee occupies a very important position for the whole coffee category, but after the sudden epidemic last year, the category of coffee experienced a great reshuffle. The categories of coffee in the coffee market have become rich and varied.

For example, there are more hanging-ear coffee, cold-extracted coffee, new portable coffee, coffee liquid and creative coffee on the market, and the position of instant coffee in the market has also begun to change.

Relevant data show that in terms of instant coffee, coffee liquid and hanging-ear coffee, the market share of "new" category coffee liquid and hanging-ear coffee has increased in a small range, while new domestic coffee brands (such as Yongpu, three and a half meals, etc.) have also rectified the name of instant coffee in recent years by using high-quality raw materials and technology.

We have mentioned in the article before that: in 2020, three and a half meals of instant coffee with convenient packaging, Yongpu coffee with portable boutique instant coffee products, and Sumida Kawakawa, who specialize in hanging ear coffee, respectively landed on the list of brands in all categories of Tmall in 2020. Among them, he got the good results of blending and coffee category sales during the three-and-a-half double National Day holiday, and reached a sales volume of over 100 million on the same day. Yongpu Coffee also achieved sales of 21 million yuan on Singles Day, ranking first in Tmall's coffee liquid category, with a total of 4.35 million cups of coffee and annual sales of more than 100 million yuan.

In addition, the brands that focus on creative coffee have also achieved good results. the advantage of creative coffee is that it can occupy the user's memory point with "creativity" and consumers have a high degree of recognition and acceptance of creative coffee.

For example, the coffee brand Seesaw, which frequently releases new signals of creativity, brings continuous surprises to the market. From 2019 to 2020, Seesaw's sales of creative coffee alone increased by 300% and the repurchase rate was 35%. For example, Yingji Coffee's slightly tipsy Maotai Coffee, "Bang Bang Coffee" and so on, the product design idea of Yingji Coffee pays more attention to "store classic drink re-engraving + creative product extension". Previously, Yingji Coffee became the focus of consumers' attention after it was put on the shelves by innovating the taste of its "Little Jasmine Tea Cold extract Coffee Powder" coffee, and quickly entered the top three stores.

Thus it can be seen that the coffee industry is becoming more and more refined while coffee categories are becoming more and more abundant.

Last

No matter how the final coffee market changes or how favored by capital, it is certain that the final winners of the coffee market must be brands that focus on making a cup of coffee. what consumers want: just a cup of coffee that tastes good.

* Image source: Internet

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