RLG (ASX:RLG) takes a sip of China’s booming coffee market

Australia’s RooLife Group (ASX: RLG) has taken its latest leap into the Chinese consumer sector with the official launch of its proprietary RLG Coffee brand, a move that positions the Perth-based e-commerce player squarely in one of the world’s fastest-growing beverage markets.

For a country long synonymous with tea, China’s transition to coffee culture is remarkable. Consumption has been expanding at an annual clip of more than 21 per cent since 2011, dwarfing the global growth rate of 1.8 per cent.

Forecasts point to revenues exceeding US$20 billion this year, underpinned by rising disposable incomes, a digitally savvy middle class and government policies that encourage consumer-sector growth.

Key highlights

RLG Coffee launched in China with distribution across online and offline channels
First-month sales orders exceed $110,000, revenues anticipated in Q1 FY26
Partnerships secured with Zhongshan Runlian and Ausmeiyoupin for flagship stores on JD.com, Tmall and Douyin
Strategic alignment with Eternal Asia, extending reach to 320 cities and 1 million retail outlets

The playbook

RLG has appointed two strategic partners to power its market entry.

Zhongshan Runlian Commercial and Ausmeiyoupin International E-Commerce will oversee flagship online stores and provide the promotional backbone, while RLG maintains control of its brand and supply chain integrity.

Management points to the strong early traction, with first-month orders already surpassing $110,000, as evidence of pent-up demand.

“Launching RLG Coffee marks an important milestone in our strategy to own and scale high-demand products in fast-growing markets,” said Bryan Carr, RLG’s Managing Director. “The strong first-month sales orders are a clear validation of both the demand profile and our model”.

The bigger canvas

The launch dovetails neatly with RLG’s recently inked supply agreement with Fortune China 500 heavyweight Eternal Asia.

With a network spanning over 320 cities and one million retail outlets, Eternal Asia offers the infrastructure to push RLG’s portfolio well beyond cross-border e-commerce.

RLG is not just betting on coffee. Its growth model is predicated on identifying high-margin categories—food, beverage and wellness in particular—and scaling them rapidly into China’s mainstream retail channels.

The addition of coffee provides a gateway to lifestyle-driven consumer products, while health and wellness SKUs are flagged for the next wave.

Outlook

As the Chinese consumer continues to shift towards premium and convenience-driven purchases, RLG’s ability to blend data-driven demand analysis with strategic distribution partnerships sets it apart from traditional exporters.

Coffee may only be the first serving; the bigger play lies in leveraging its platform across categories where margins and demand converge.

For investors watching from Australia, the company’s early traction in China’s high-octane consumer space signals that RLG is now firmly moving from concept to execution.

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