Haagen-Dazs Enters China’s Coffee Market With New Blends

When rumors swirled that international ice cream giant Haagen-Dazs was stockpiling coffee ingredients for a major push into China’s coffee scene, many dismissed them as speculation. But recent moves—like free in-store cappuccinos for members and a new coffee product launch—prove the rumors were true. The brand isn’t just testing the waters; it’s diving in.

Yes, Haagen-Dazs is entering China’s coffee market in earnest. The company has launched a new coffee line blending its ice cream flavors with Illy coffee, introduced dedicated coffee stations in stores, and plans further expansion, including possible standalone coffee shops. Multiple sources confirm this multi-pronged strategy.

Why Haagen-Dazs Is Betting on Coffee Now

Despite being known for ice cream, Haagen-Dazs has been quietly preparing for a coffee push for years. A senior executive, speaking anonymously, revealed that the company has been searching for the right partners, ingredients, and teams. “We’ve been planning this for a long time,” the source said. “Coffee marks a new chapter for our business.”

The brand has already upgraded many of its stores with dedicated coffee counters, premium espresso machines, and trained baristas. Future plans may include standalone Haagen-Dazs coffee shops where coffee, not ice cream, takes center stage. The infrastructure is being built, and the commitment is real.

Partnering With Illy to Appeal to Younger Consumers

Haagen-Dazs didn’t go it alone. The new coffee line, dubbed “Colored Latte” by consumers, blends Haagen-Dazs’s dessert-inspired flavors with Illy’s Italian roasted coffee. The initial six flavors—matcha, vanilla, chocolate, strawberry, macadamia, and espresso—are vibrant and youth-oriented, reflecting input from extensive research into Gen Z and millennial preferences.

“We’re creating a high-quality coffee experience with a unique twist,” the executive said. “The collaboration with Illy ensures we’re working with one of the most respected coffee brands globally. Our ice cream expertise helps us deliver a rich, flavorful cup that stands apart.” The coffee cups themselves are also part of the experience: transparent, vacuum-insulated glass tumblers designed to showcase the drink inside—a bold move to capture attention.

Targeting China’s Young Coffee Drinkers

China’s per capita coffee consumption is still low—just four cups annually, rising to 20 in major cities like Beijing and Shanghai. But growth is strong: 15% annually, compared to 2% globally. Among younger demographics, interest is surging. Haagen-Dazs is positioning itself not as a traditional coffee brand, but as a cultural disruptor.

Brand experts note that Gen Z consumers, often called the “90s generation” in China, value authenticity and reject pretension. “They want something fun, colorful, and expressive,” said one marketing analyst. Haagen-Dazs’s response? A playful, flavor-rich “Colored Latte” series that leans into sensory appeal and social sharing. The brand aims to resonate with a group that “if you act too serious, they’ll walk away.”

What This Means for China’s Coffee Landscape

While ambitious, Haagen-Dazs faces stiff competition. Starbucks already operates nearly 1,500 stores in China, Costa has over 300, and newer entrants like South Korea’s Mangbucks have surpassed 100 locations. Haagen-Dazs has some catching up to do—but sources indicate standalone coffee shops are already in the works. If successful, this could reshape expectations for what a coffee brand can look like.

The broader Chinese coffee market is poised for explosive growth, with projections estimating a 300 billion yuan ($40+ billion) industry by 2020. Whether Haagen-Dazs can carve out a lasting space remains to be seen—but its entry signals a new era of experimentation and cross-industry competition.

Frequently Asked Questions

Is Haagen-Dazs really getting into the coffee business in China?

Yes. Haagen-Dazs has introduced a new coffee line blending its ice cream flavors with Illy coffee, added dedicated coffee areas in stores, and plans to potentially open standalone coffee shops. Multiple sources confirm this is part of a broader strategic push into China’s coffee market.

What is the Colored Latte, and who is it for?

The “Colored Latte” is a consumer nickname for Haagen-Dazs’s new flavored coffee series, which includes matcha, vanilla, chocolate, strawberry, macadamia, and espresso. It’s aimed primarily at younger consumers, especially those in their 20s and 30s, who respond to vibrant flavors and shareable experiences.

Is Haagen-Dazs working with a well-known coffee brand?

Yes. Haagen-Dazs has partnered with Illy, the Italian coffee company, to supply the espresso base for its new coffee products. Illy is known for its high-quality roasted beans and global presence in the specialty coffee sector.

How much coffee does the average Chinese person drink?

The average Chinese person consumes just four cups of coffee per year, though in major cities like Beijing and Shanghai, that number rises to around 20. Annual growth in coffee consumption is 15% in China, compared to just 2% globally.

What kind of coffee cups is Haagen-Dazs using for its new drinks?

Haagen-Dazs has introduced unique transparent, vacuum-insulated glass coffee cups for its new line. The design allows drinkers to see the coffee inside and is part of the brand’s effort to create a visually distinctive and modern coffee experience.

Are there plans for standalone Haagen-Dazs coffee shops?

Yes. According to sources, Haagen-Dazs is considering opening standalone coffee shops where coffee, rather than ice cream, is the main product. This would mark a significant shift in the brand’s retail strategy in China.