Costa Plans 250 New Stores in China Within 3 Years

While global economies slow, international coffee giants aren’t pulling back — they’re pushing deeper into China. Major players like Costa, Starbucks, and Pacific Coffee are expanding aggressively despite cutting back elsewhere. But why now, and where exactly are they putting their money?

Costa aims to open 250 new stores in China over the next three years, accelerating its already rapid rollout. Meanwhile, Starbucks plans 1,500 stores by 2015, and Pacific Coffee hit 100 stores nationwide, with 50 more slated for 2013 alone in major cities. Western China is also seeing significant investment, with both Costa and Starbucks expanding in Chengdu and Chongqing.

Why China’s Coffee Market Is Booming

Coffee isn’t just a drink in China — it’s become a symbol of a modern, urban lifestyle. Cities like Beijing and Shanghai have seen explosive growth in cafes. Despite global economic pressures, investors see China’s coffee sector as a rising star. “The coffee market in mainland China is on an upward trend,” said Li Xianglu, director of Accor Coffee China. The industry consensus is clear: demand is growing fast.

Major Chains Race to Expand

Starbucks remains the most aggressive, targeting 1,500 stores across China by 2015. Howard Schultz, Starbucks’ CEO, has repeatedly voiced strong confidence in the Chinese market. Costa, often seen as Starbucks’ biggest competitor in China, is moving even faster. Since opening its first mainland store in 2006, Costa has grown to around 200 locations and plans to hit 2,500 by 2018. Its new goal is 250 new stores in just three years — currently the fastest-expanding major coffee chain in China.

Pacific Coffee, backed by China Resources, marked its 100th store in Beijing’s Silk Market area. CEO Tang Guojiang announced plans to open 50 more stores in 2013 across Shanghai, Beijing, Guangzhou, Shenzhen, and Hangzhou. “We’re expanding where the customers are,” he noted.

Western China: The New Frontier

The coffee boom isn’t limited to Tier 1 cities. International chains are also heading inland. In Chengdu and Chongqing alone, Starbucks operates over 30 locations. Costa entered western China in 2011, five years after its initial mainland launch, and now has six stores in Chongqing and one in Chengdu. Pacific Coffee opened its first Chongqing outlet in August 2012 at Jiefangbei and planned further expansion that year. Even Italy’s historic Lavazza has a presence, opening its first Chongqing store in 2010 and adding another in Beicheng Tianjie in August 2012.

“Investors prefer putting money into sunrise industries, and China’s coffee market is one of them,” said Bai Fang, secretary-general of the Beijing Coffee Association. The trend is clear: China’s coffee consumption is shifting from coastal metropolises to inland cities, and the big players are following the growth.

Frequently Asked Questions

How many new stores is Costa planning to open in China over the next three years?

Costa plans to open 250 new stores in China within the next three years, accelerating its expansion significantly to reach a total of 2,500 stores by 2018.

What is Starbucks’ store expansion target for China?

Starbucks has set a goal to open 1,500 stores across China by 2015, demonstrating its strong long-term commitment to the Chinese market.

How many stores does Pacific Coffee have, and how many more is it opening in 2013?

Pacific Coffee opened its 100th store in 2013 and plans to open 50 additional locations in major cities including Shanghai, Beijing, Guangzhou, Shenzhen, and Hangzhou during the same year.

When did Costa enter the western China market, and where are its stores located?

Costa entered western China in 2011, opening stores in Chongqing and Chengdu. By recent counts, it has six locations in Chongqing and one in Chengdu.

Which other international coffee brands are expanding in western China?

Besides Costa and Starbucks, Italy’s Lavazza has also expanded into western China, opening its first Chongqing store in 2010 and a second in Beicheng Tianjie in August 2012.

Why are international coffee chains investing in China despite global economic challenges?

Investors view China’s coffee market as a high-growth, emerging industry. Despite slower global growth, domestic demand for coffee is rising, particularly in inland cities, making it an attractive market for expansion.

FrontStreet Coffee Picks for China’s Growing Coffee Market

For fans of China’s booming coffee scene, FrontStreet Coffee recommends its Ethiopia Humbera for bright, fruity notes reminiscent of Yirgacheffe’s terroir; the PWN Golden Mandheling for a classic, full-bodied Indonesian profile; and the Kenya Little Tomato for winey acidity and bold berry flavours. These beans reflect the diverse tastes driving China’s specialty coffee growth. Freshly roasted within 5 days · Orders placed before 17:00 ship the same day · Next-day delivery across most of Guangdong Province.