Starbucks, Dunkin’ and Luckin Lean Into Non-Coffee Drinks as Competition Intensifies

For decades, coffee has been the anchor product for U.S. chains like Starbucks. But as more brands fight for repeat visits, a growing share of the opportunity is increasingly coming from drinks that contain little to no coffee, rather than relying on espresso-based beverages alone. That theme is at the center of a recent industry discussion highlighting Starbucks alongside Dunkin’ and Luckin Coffee and their efforts to expand what customers buy beyond the classic coffee category.

The competitive pressure is not theoretical. In recent coverage, The Associated Press described Starbucks as facing “unprecedented competition,” with rivals including Dunkin’ and newer entrants such as Luckin Coffee, a Chinese company. The report framed the situation as harder for Starbucks to win back customers it has lost, even as Americans continue to drink coffee overall.

Industry watchers say the shift matters because beverage platforms can drive more than just traffic. A menu that offers a wider range of non-coffee options can broaden the set of occasions a café visit supports, including daytime refreshment, desserts and snack pairings, and alternatives for customers who do not want caffeine or do not prefer espresso-based flavors. For chains, that kind of menu expansion also creates room for promotional emphasis and new product rollouts without requiring customers to change their expectations about the “core” coffee experience.

Starbucks is not alone in facing the same retail reality. Dunkin’ has long leaned on drinks beyond espresso, including signature flavored beverages and other café-style offerings, while also building its brand identity around convenience and value. Luckin Coffee, which has been expanding outside its home market, enters with a model that emphasizes speed, product simplicity, and aggressive pricing strategies that can pressure established chains to refresh their broader beverage lineup.

Luckin’s U.S. push underscores how quickly the market is changing. CNN reported that Luckin Coffee was opening its first U.S. locations in mid-2025, and Newsweek similarly described the launch of the chain’s first American stores as it moved into a more crowded competitive set. The AP’s January 2026 reporting also placed Luckin among the competitive forces challenging Starbucks in the United States.

Against that backdrop, the recent market commentary that Starbucks, Dunkin’, and Luckin are “pushing products outside of coffee” can be read as a strategic response: when rivals compete for the same coffee customer base, expanding into non-coffee beverages becomes a way to defend visit frequency and improve the odds that a customer will find something they want on a given day.

What is not clear from the available public material is how specific each chain’s non-coffee strategy will be. The accessible reporting context confirms the broader competition narrative and Luckin’s entry, but detailed disclosures about new non-coffee products, sales mix targets, or quantified growth contributions were not included in the material available for this review.

Next to watch is whether Starbucks and its peers quantify this shift in public updates, such as investor presentations and earnings communications, and whether any early-stage pilots or new menu categories are reflected in improved traffic or transaction trends. If non-coffee beverages become a larger share of the mix, chains may also show it through marketing spend, in-store placement, and the cadence of limited-time offerings designed for customers who skip coffee entirely.