Beans distributor reveals plan to tap into China’s coffee-shop culture

By RJ Whitehead

- Last updated on GMT

© iStock
© iStock

Related tags: Marketing, Southeast asia

Gourmet coffee wholesaler DTS8 Coffee Company has plans to expand into the world’s fastest growing coffee-shop market by acquiring existing coffee chains. 

The Canadian company, which was originally founded in Nevada in 2009 and moved its base to Shanghai as a “wholly owned foreign subsidiary entity​”, has until now focused on roasting and distributing artisan coffees in China. 

Douglas Thomas, DTS8’s chief executive, called the move its next expansionary step in a market that has added 1,462 retail coffee shops in the last year, according to research by Allegra Strategies.

With an estimated 5,391 branded coffee-shop outlets, China is the current market leader in American-style chains in Southeast Asia​,” Thomas said. 

Four new coffee cafés open in China every day. In order to capitalise on the competitive edge of having our own roaster, DTS8 is moving into its second phase of expansion and plans to create a network of coffee cafés through acquisitions and mergers. These coffee shops will enhance the DTS8 brand in China, help build a direct link to retail consumers, and contribute to long-term revenues​.” 

Until now, the company’s coffees have been sold through distribution channels reaching consumers at restaurants, multi-location coffee shops and offices.

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