Why Milk Coffee Is Still Popular in China’s Booming Cafe Market

In the small city of Haining, Zhejiang province, coffee shops have multiplied from just three in 2012 to over twenty today. Local resident Cui Yun, who became one of the first regulars at the area’s first Starbucks two years ago, is now opening his own café. This boom isn’t limited to big cities—across China, from Beijing to fourth-tier towns, coffee shop culture is rapidly taking root.

China’s coffee consumption is growing at 15% per year, compared to the global average of 2%, making it the fastest-growing coffee market in the world.

A Rapidly Expanding Coffee Culture

Coffee shops are booming nationwide. While once a novelty, they’re now a common sight even in smaller cities. This growth mirrors a broader shift as Chinese youth embrace Western lifestyles. International chains like Starbucks and Costa are expanding aggressively, with Starbucks planning to double its China outlets to 3,000 by 2019, and Costa aiming for 900 by 2020. Meanwhile, Shanghai has become home to China’s largest coffee trading center.

The Milk Coffee Preference

Despite the boom, most Chinese coffee drinkers favor milk-based drinks such as lattes and mochas. Sweet, milky coffee is currently more popular than black coffee, with many customers drawn to the atmosphere of cafés rather than the coffee itself. “The most popular drinks are sweetened milk coffees,” industry insiders note. For many, the experience is as much about socializing as it is about the drink.

Shifting Tastes and Emerging Sophistication

Experts believe preferences are beginning to evolve. Guatemalan coffee grower Alejandro Quan jokes that “once Chinese people start drinking coffee seriously, they might drink more than water.” Training and exposure are helping consumers discern quality. “In a couple of years, people will know what’s good and what’s not,” Quan predicts. Similarly, a Brazilian coffee executive notes that while customers once approached coffee with curiosity, many now drink it regularly—but still prefer sweeter, milk-forward flavors.

What This Means for Coffee Roasters and Retailers

The current taste for milk coffee influences product offerings and retail strategies. International and domestic chains prioritize accessible, milky drinks to cater to mainstream preferences. However, as education spreads, there’s growing potential for specialty coffee appreciation. Roasters and baristas targeting the Chinese market often focus on blends and profiles that perform well with milk, ensuring balance and sweetness in popular drinks like lattes.

Frequently Asked Questions

Why do Chinese consumers prefer milk coffee over black coffee?

Most Chinese coffee drinkers currently favor milk-based drinks like lattes and mochas because they are sweeter and smoother. The appeal is as much about the café experience and social atmosphere as it is about the taste of coffee itself. Milk coffee is seen as more approachable, especially for those new to the beverage.

How fast is China’s coffee market growing compared to the rest of the world?

China’s coffee consumption is growing at 15% annually, which is more than seven times the global average of 2%. This makes China the fastest-growing coffee market in the world.

Are tastes in China’s coffee market starting to change?

Yes. Industry experts and international coffee growers report that as training and exposure increase, Chinese consumers are beginning to distinguish between good and poor-quality coffee. Within a few years, it’s expected that more people will develop a taste for less sweet, higher-quality brews.

Which coffee chains are expanding most aggressively in China?

Starbucks plans to double its number of stores in China to 3,000 by 2019, while UK chain Costa aims to grow from 344 to 900 locations by 2020. Both brands are targeting rapid expansion in response to rising demand.

What types of coffee drinks are most popular in China right now?

The most popular coffee drinks in China are milk-based beverages such as lattes, cappuccinos, and mochas. These sweet, creamy drinks are preferred over black coffee by the majority of consumers.

Recommended FrontStreet Beans for Milk Coffee

For milk-based coffee in China, FrontStreet Coffee offers several blends that excel when combined with steamed milk. The FrontStreet Black Cocoa Blend, made with Brazilian beans as the base, highlights complex nutty tones like almond and walnut, resulting in a smooth and rich latte. For extra crema and body, try the FrontStreet Classic Blend or Commercial Blend, which include a touch of Robusta to boost golden foam and deliver bold caramel sweetness. All three blends are ideal for crafting classic milk drinks like lattes and cappuccinos. Freshly roasted within 5 days · Orders placed before 17:00 ship the same day · Next-day delivery across most of Guangdong Province.