Luckin's dream of 10,000 stores has finally come true!
Remember in May, the catering O2O was in the article "Crazy Profit 4.43 Billion|Luckin, only "the last step" away from surpassing Starbucks China? has said that if the speed of store development in the first quarter is followed, Luckin is expected to become the first 10,000-store brand in the coffee track in the Q2 quarter.
Sure enough, according to relevant news, just today, June 5, Luckin's 10,000th Xiamen store opened, and Luckin officially stepped into the ranks of the 10,000-store chain and became China's first 10,000-store coffee brand.
From its birth in 2017 to its listing in 2019 to its current 60,000 stores, Luckin Luckin has interpreted what "Luckin Speed" is with strength. So, what's different about Luckin's 10,000th store? Follow the restaurant O2O to find out!
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Luckin officially stepped into the ranks of 10,000 stores
On June 5, under the attention of many people, Luckin's 10,000th store in the Chinese market was officially opened. Before this, Luckin had already announced this shocking news on brand APP, Douyin and other channels, and directly launched the relevant 10,000 stores check-in to win the weekly 9.9 yuan coffee coupon activity on Douyin to celebrate this moment.
According to relevant news, the 10,000th store of Luckin is set up in Xiamen, Fujian, in the same city as the brand headquarters, and the address is located in the most popular scenic spot in Xiamen, Siming District Zhongshan Road Pedestrian Street, whether it is the store city or the address selection, obviously after in-depth consideration.
It is reported that in order to open this store, Luckin directly took 10 bunks in one go, with two floors of 600 square meters. Therefore, this store is completely different from Luckin's standard store, whether it is the scene style, products or otherwise, but a bit like the style of the competitor Starbucks.
1. The scene is more cultural
Although it is Luckin's flagship store, this time the 10,000th store, Luckin completely abandoned the blue VI style of Luckin brand, but mainly industrial style, while incorporating Chinese carvings, arcade columns and other elements, ancient culture and young coffee blended and collided.
However, the interior furnishings in the store are all aspects of the Luckin coffee brand, not only the creative wall composed of Luckin's iconic "Little Blue Cup", the distribution wall of the number of stores in various provinces and cities of Luckin, the "lucky window" filled with hundreds of small blue cups, but also the glass jar to fully display some of the single-origin espresso specialty coffee beans that Luckin has listed...
At the same time, at this critical moment, Luckin also officially announced the brand's new proposition, "luck is in hand". Luck does not fall from the sky, and only by being down-to-earth and working hard can we truly grasp luck. Luckin Coffee will continue to work hard to create lucky moments for customers.
In line with the brand's new proposition, the store has also set up a "lucky bell" that can be shaken, and a small device "lucky in hand" that can be used for interactive sensing in the store.
2. More diversified products
It is reported that the Luckin 10,000 store, as a new starting point for Luckin, not only has Luckin's traditional coffee format, but also adds a dessert section and new coffee categories, including (automatic) hand brewing and roasting parts. The most eye-catching thing in the middle of the store is the roundabout bar, where three state-of-the-art hand-brewed coffee machines are used to make hand-brewed coffee.
With the opening of the 10,000 store, Luckin has specially prepared exclusive new products, three kinds of Guixia coffee beans from different well-known production areas, including Panama Guixia, Guatemala Guixia and Colombia Guixia. At the same time, the cup sleeves and paper bags of the "Ten Thousand Stores Celebration" model were also launched, which really pulled the atmosphere value to the full.
Why did Luckin build one of these stores?
In the view of catering O2O Luo Huashan, "the best brand strategy is to build a brand in a "religious" way, and to achieve this goal, it must need a "church" to establish a brand height."
For chain brands, a flagship store that exceeds the area of the standard store several times or even more than ten times, can present the core value of the brand, create a greater voice, greater brand influence, and occupy higher brand potential, is such a brand "church".
Obviously, Luckin's 10,000 store is such a brand image flagship store. "For Luckin Coffee, the brand image significance of the 10,000th store is obviously greater than the actual profit of the store.
At the same time, it is also the beginning of a new beginning.
As CEO Jinyi Guo said at Centurium Capital's annual investor conference, Luckin Coffee is now a brand new company compared to three years ago, in addition to retaining its original name.
Today's Luckin is no longer the original Luckin, the rebirth of Nirvana Luckin needs a declaration, and "Ten Thousand Stores" is a milestone for Luckin, but also a new starting point, and the most memorable and inscribed moment since Luckin's rebirth.
"Today's glory and achievements will be turned into the driving force to continue to move forward tomorrow." Guo Jinyi said, "What we need to do next is to go all out to build Luckin Coffee into a century-old brand with evergreen foundation." ”
02■
9.9 yuan coffee, Luckin's new weapon
With the opening of the store, Luckin did not announce the brand's next phased expansion target.
However, the catering O2O noticed another important information, in order to celebrate the realization of the dream of 10,000 stores, Luckin launched the "10,000 stores celebrate" activity. During the event, Luckin clearly wrote: let high-quality coffee enter the "9.9 yuan era".
This means that 9.9 yuan may not only be Luckin's promotion strategy, but may become the brand's long-term strategy in the future.
As we all know, the price of Luckin coffee is around 15-20 yuan, what does it mean to announce that it will enter the era of 9.9 yuan coffee?
Some believe that this is a way to deal with the competition of "know-it-all" competitor Coody Coffee.
As we all know, as the biggest threat of Luckin, the development of Cudi Coffee is too rapid, only opened its first store in Fuzhou in October 2022, and now it is only about half a year, the brand has opened 3,000 stores, and the speed of opening stores can no longer be described as crazy, it is simply a rocket.
On top of that, Couddy has been copying the Luckin model, which is undoubtedly more threatening to Luckin than Starbucks.
In order to open the market, Kudi Coffee has been in the product price war and launched a lot of 9.9 yuan coffee coupons. At present, with the help of Douyin as a traffic channel, the 8.8 yuan Douyin coupon activity has begun. Through such price promotions, Kudi really grabbed a lot of Luckin Coffee's consumer groups.
Under such circumstances, Luckin launched a 9.9 yuan coffee discount campaign to defeat magic with magic, which is really a good strategy. Moreover, according to relevant statistics, if the current Kudi coffee store wants to achieve profitability, 14 yuan is the ideal price of brand coffee.
According to Luckin's insiders, "Luckin is confident of fighting a protracted price war, and the internal price war time has been set at 2-3 years." Obviously, for the already large-scale Luckin, 9.9 yuan coffee still has a good profit.
Moreover, not long ago, Luckin also proposed a new franchise strategy, the "franchise with store" model, that is, if your store operation is not ideal, you can directly bring your own coffee machine and store to the Luckin brand.
In the eyes of many people, Luckin is actually conveying a message, "If you can't continue to join Cudi Coffee, you can directly transfer to Luckin."
(Luckin Branch Franchise Area)
Another view is that this is Luckin Coffee preparing for the sinking.
According to the "New Consumption Research Coffee Series Report" released by An Securities at the end of 2021, the penetration rate of coffee in first- and second-tier cities reached 67%, which is close to the "red sea" status. At the same time, according to the "China Freshly Ground Coffee White Paper" data, in third-tier cities, boutique cafes account for less than 1%.
Obviously, the sinking market is a new "blue ocean" for chain coffee brands to achieve rapid development in the next step.
After 10,000 stores, Luckin will pay more attention to the sinking market, and the brand wants to capture the target young customer group in the sinking county market, and the price war is the best stepping stone. Even if milk tea is the favorite county market for young people, the coffee price of 9.9 yuan is still very attractive to young people in the county.
However, in the view of catering O2O, Luckin has entered the 9.9 yuan era, and there may be another meaning, that is, it wants to lead the second wave of coffee equality movement again.
We are all well aware that Luckin's rapid development is largely due to the first wave of coffee equalization dividends. At that time, when the price of coffee products was generally about 30 yuan, Luckin directly hit the price of coffee below 20 yuan, and it was as low as 12-15 yuan in the early stage, directly expanding the entire coffee consumption market.
But as the catering O2O once wrote in the article "As low as 3.9 yuan / cup, comparable to selling Chinese cabbage, what are these coffee brands?" As mentioned in the article, coffee more affordable is becoming the mainstream trend of the category, the current Chinese coffee price is rolling from about 20 yuan to less than 10 yuan, and even to 5 yuan, 4 yuan, 3 yuan.
At that time, the catering O2O believed that this time Luckin would become the "equal rights". But obviously, Luckin doesn't want to be this cannon fodder.
After eating the dividends of the first coffee equalization and realizing the dream of 10,000 stores, Luckin threw a new weapon "9.9 yuan coffee", wanting to play the leading role of the second Chinese coffee equalization, and win the hearts of more users by once again breaking through the existing low price of coffee, and eat the second wave of coffee equalization dividends.
Based on Luckin's current scale and brand potential, this goal may not be unattainable.
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