Vietnam is the convenience-focused operator’s sixth international debut in the last five months following South Korea, Indonesia, Japan, Canada and Hong Kong
A Cotti Coffee store in Aviation Business Square, Xiamen, China | Photo credit: Cotti Coffee
Chinese coffee chain Cotti Coffee has entered Vietnam with an outlet at the Pearl Plaza commercial centre in Ho Chi Minh City.
Founded by former Luckin Coffee executives Charles Lu and Jenny Qian in August 2022, Cotti Coffee has rapidly scaled to surpass 6,000 outlets across China.
Vietnam is the convenience-focused coffee chain’s sixth international market following recent debuts in South Korea, Indonesia, Japan, Canada and Hong Kong.
In August 2023, Cotti Coffee said it was developing coffee and raw material supply chain bases in Vietnam, South America and Ethiopia to support its international expansion plans.
The Beijing-based coffee chain offers both single-store and regional franchise models in international markets – the latter of which includes regional exclusivity – and forgoes franchise-related fees, instead opting for a profit-sharing arrangement.
World Coffee Portal data shows Vietnam is the fifth largest branded coffee shop market in East Asia by outlets with approximately 5,750 stores. The market has a strong domestic brand segment led by Milano Coffee and Highlands Coffee with 2,000 and 727 stores respectively.
Project Café East Asia 2024 forecasts the total Vietnamese market will exceed 8,170 outlets by November 2028.