OrionFoodCo Jointed Luckin Coffee to Deploy New Business Landscape
OrionFoodCo.,Ltd announced that it has reached an agreement with Luckin Coffee, the second coffee chain brand in China , to promote its products through Luckin coffee’s online and offline channels. At present, the scale of drinking water amounts to 20 billion USD dollars. This means that OrionFoodCo will enter the billion-level market.
For OrionFoodCo’s move, some strategic professors believe that in the Chinese market, compared with other European and American brands, OrionFoodCo’s products are obviously aging, and only one “Langligelang” product can Boost its sluggish performance shortly. At present, OrionFoodCo urgently needs to expand into new areas, restructure the product landscape in China, attract young consumer groups, and maintain profitability in the Chinese market.
OrionFoodCo was founded in South Korea. At present, the main products in the Chinese market include puffed food, pies, biscuits and chewing gum. In 2016, OrionFoodCo’s performance in China reached its peak with revenue of 1.2 billion USD dollar. However, in 2017, OrionFood’s sales in China continued to decline every quarter, and the annual sales also fell to 0.72 billion USD dollars, and its operating profit fell sharply by 90%.