The Rise of Malaysia's ZUS Coffee
In just six years, Malaysia’s ZUS Coffee has transformed from a modest kiosk into Southeast Asia’s fastest-growing coffee chain. With plans to open nearly 200 new outlets across the region in 2025, ZUS is not only challenging global giants like Starbucks but also redefining the coffee experience for a new generation of consumers.
From Startup to Market Leader
Founded in late 2019 by Ian Chua and Venon Tian, ZUS Coffee began as a delivery-focused kiosk in Kuala Lumpur. Leveraging a tech-first approach, the company introduced a mobile app for seamless ordering and delivery even before opening its first store. This strategy proved prescient during the COVID-19 pandemic, as demand for online food and beverage delivery surged.
By early 2024, ZUS had surpassed Starbucks to become Malaysia’s largest coffee chain, operating 743 outlets compared to Starbucks’ 320. The brand’s emphasis on convenience, affordability, and quality resonated with consumers, leading to rapid expansion across the region.
Strategic Expansion Across Southeast Asia
In 2025, ZUS Coffee is accelerating its regional growth with plans to open nearly 200 new stores:
Malaysia: 107 new outlets
Philippines: Approximately 80 new outlets
Singapore: 6 new outlets
Thailand and Indonesia: First-ever outlets in these countries
This expansion follows a significant investment of RM250 million (approximately $57.5 million) in September 2024 from KV Asia Capital, Kumpulan Wang Persaraan, and Indonesia’s Kapal Api Group. The funding aims to support ZUS Coffee’s growth in existing markets and entry into new ones.
Tech-Driven Model and Localized Offerings
ZUS Coffee’s success is rooted in its tech-enabled business model and commitment to localizing its offerings:
Digital Integration: The ZUS Coffee app facilitates easy ordering, delivery, and loyalty rewards, accounting for approximately 70% of sales.
Localized Flavors: The brand tailors its menu to regional tastes, offering palm sugar-flavored drinks in Malaysia and purple yam-flavored coffee in the Philippines.
Affordable Pricing: Positioned between convenience store coffee (around RM5) and premium offerings (RM11 and above), ZUS provides quality coffee at accessible prices.
This approach has not only driven customer loyalty but also contributed to a threefold increase in net income to RM37 million in 2024.
Leadership and Vision
In April 2025, ZUS Coffee appointed Preman Menon, a former EY senior executive, as Group Chief Financial Officer to steer its financial strategy amid rapid expansion. The leadership team remains committed to making specialty coffee accessible and affordable, with a vision to become a dominant player in the Southeast Asian market.
As ZUS Coffee continues its aggressive expansion, the brand is poised to further disrupt the coffee industry in Southeast Asia. With a focus on technological innovation, localized offerings, and strategic investments, ZUS is well-positioned to meet the evolving preferences of the region’s consumers.
