By: Manuel

Paulo

Luckin Coffee
Business Plan
 ▪ Introduction
▪ History of the Company
Effective ▪
▪
Leadership
Vision and Mission
Communicatio ▪
▪
Strategy
SWOT
n SKills ▪
▪
5’P Marketing
Conclusion
 ● Luckin Coffee Inc. is a chinese based coffee company and

Introductio coffeehouse chain store.

n ● Luckin Coffee Inc. was established in 2017 and its

headquarters are in Beijing.

● By early 2020, Luckin Coffee had opened up over 4,500

stores. Most of the opened stores can be found in office

buildings or institutions. Luckin Coffee offer online pickups

and delivery services(Wang, 2020).

 Luckin Coffee surfaced in Oct 2017.
It opened its first store in January 2018.
Luckin Coffee The stores are located in Beijing and Shanghai.
In July 2018 Luckin Coffee announced its completion
Body Language of Series A financing.
History In October 2018, Luckin Coffe stores increased to over
1300 stores.
It becomes the second largest coffee provider in China,
after Costa COffee.

Luckin Coffee partners with Tencent and signs a

strategic agreement
In 2018, Luckin Coffe came into brawls with
Starbucks coffee over monopoly issues.
October, 2019May Luckin unilaterally withdraws
charges against Starbucks.
Jan 20, 2019, Luckin announces new 2500 new stores.
In Jan 2020, Luckin announces a total of 4507 stores.
 Luckin Coffee
Jenny Zhiya Qian
Leadership
Body Language ● Jenny Zhiya Qian has served as our
Chief Executive Officer director since August 2017 and our chief
executive officer since November 2017.
● Ms. Qian obtained a bachelor’s degree
majoring in industry and foreign trade
from Wuhan Institute of Textile Science
in June 1998.
● She obtained an executive master of
business administration degree from
Peking University in July 2012.
 Luckin Coffee Reinout Hendrik Schakel
Leadership ● Reinout Hendrik Schakel has served as
Body Language our chief financial officer and chief
Chief Financial Officer/Chief
strategy officer since January 2019. Mr.
Strategy Officer Schakel obtained a master of business
administration degree from Erasmus
University in December 2005.
 Luckin Coffee
Dr. Jinyi Guo
Leadership
Body Language ● Dr. Jinyi Guo has served as our director
Senior Vice President of since June 2018 and our senior vice
Product and Supply Chain president in charge of product and
supply chain since October 2017.
● Dr. Guo obtained his master’s degree in
July 2005 and a Ph.D. in July 2009
from Beijing Jiaotong University,
majoring in transportation planning and
management. Dr. Guo was a visiting
scholar at the University of Leeds in
2008.
Mission

Our mission is to be part of

everyone's everyday life,
starting with coffee.
Vision The Democratization of Coffee
▪ Luckin Coffee realizes that consumers
shouldn’t be waiting in line for a cup of
coffee that costs well over $3.50.
▪ This was the niche/gap in the market in
which the company built an empire on.
▪ Luckin Coffee provides affordability and
accessibility to consumers by balancing
quality, price and convenience under their
new retail business model.
▪ Luckin believes that by doing so, everyone in
China will be able to enjoy high quality
coffee whenever and wherever they want.
 Luckin
Pick-up Stations
Coffee Strategy
Customers order their beverage online a few minutes before

arriving at the store. They arrive at the store and flash a QR

code unique to their order, and then take their order.

Luckin Coffee outlets are located in all kinds of places, but the

most common place is in the lobby of a hotel, office block or

shopping mall.

These pick-up stations provide quick access to a large number

of customers.

\This pick-up station strategy reduce on costs associated with

 Luckin Coffee Strategy
Discount Marketing Strategies
● Discount marketing strategies in China target phone-

wielding urbanites,

● The discount marketing strategies have helped Luckin

Coffee companies capture a large market share.

● As such, Luckin’s intensive discount marketing strategy

has allowed it to rapidly expand its customer base with

the first cup of coffee being free, followed with coupons

of up to 89% off.
 Luckin Coffee SWOT Analysis

Opportunities Weaknesses Threats

Strengths ● Expansion Retail ● Geographically ● Coffee Supply and
● Lead and Fast Price
Growing Coffee Limited
● Use of Technology ● Large incurred costs ● Stiff Competition
Business ● Global Pandemics
● Strong technology of operations
● Growing Chinese ● China’s Relations
capabilities Wrangles
Market
● Efficient store ● US-China Trade Wars
operations ● International Scope ● Natural disasters
● High quality and
Affordability
 5” Ps of Marketing
People
● Coffee Offers A cashierless experience

to its customers.

● Interacts and engages customer over the

app.

● Discounted prices
 5” Ps of Marketing

Price
● Luckin Coffee Products are relatively cheap. A

cup of coffee goes for about $3.50.

● Luckin's drinks are generally 20% to 30%

cheaper than competitors prices such as

Starbucks
 5” Ps of Marketing
Place
Luckin Coffee has Currentry have 4,910 locations
scheduled to open in China.
with a total of 4,500 scheduled to be open by years
end, compared to Starbuck's 4,300. So, to be
clear: Luckin has, at years' end, 200 more
locations than Starbucks and another 400+ in the
works.
 5” Ps of Marketing
Promotion
● The mobile phone app integration is central to
making Luckin Coffee successful. Users
download the app, which they use to order and
pay..
● The mobile app also help the company learn the
market dynamics thus adapting and changing
accordingly.
● According to Chan the most important aspect of
their promotion is using consumers themselves
to do the advertising. The company offers a
coupon which customers sends to their friend
and family. Thus, in this way they grow their
clientele base.”
References
Wang, M. (2020). Research on financial analysis of Luckin coffee.
Proceedings of the 2019 International Conference on Education
Science and Economic Development (ICESED 2019).
https://doi.org/10.2991/icesed-19.2020.4
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