Luckin Coffee has increased his registered capital by US $300m, added clothing retail, or launched peripheral products.

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July 25 news, Tianyan check data show that the registered capital and business scope of Luckin Coffee (China) Co., Ltd. have changed. Of this total, registered capital increased by US $300 million, from US $750 million to US $1.05 billion. In addition, in this change, Luckin Coffee's business scope includes "retail of textiles and knitwear; retail of clothing; retail of shoes and hats; retail of watches and watches and glasses; retail of boxes and bags; retail of other daily necessities; retail of stationery", and so on. This is another new trend following Luckin Coffee's listing in the United States and the establishment of a joint venture with a Middle East company.

Prior to this, Luckin Coffee and his subsidiaries had industrial and commercial changes and business scope changes.

On May 23, Luckin Coffee established Ruixing Bakery (Tianjin) Co., Ltd., with a registered capital of 200 million yuan. Business scope is "pastry, bread retail; coffee beverage, fruit and vegetable beverage research and development; prepackaged and bulk food, fruit and vegetable beverage, coffee beverage, coffee beans, coffee utensils sales; self-management and agent goods and technology import and export".

In August last year, Luckin Coffee began to forge into light foods such as cakes, bread and chicken rolls. In April this year, Luckin Coffee once again launched deer tea and entered the tea race track. It can be seen that expanding the category is one of Luckin Coffee's strategies after standing firm in the channel advantage.

Luckin Coffee announced the launch of more than 10 kinds of Little Deer Tea products at nearly 3000 stores in 40 cities across the country on July 8, and invited popular star Liu Haoran to forcefully enter the new tea market.

On July 11, the industrial and commercial change took place in "Luckin Coffee (Tianjin) Co., Ltd." and the company name was changed to "Ruixing Investment (Tianjin) Co., Ltd.".

Some analysts said that Luckin Coffee's move to expand the scope of business may be to make up for the losses caused by the current coffee business from other aspects, such as peripheral products. After all, from its establishment to the present, its loss is really not a small sum!

For most cafes, selling around the store is the norm. For example, at Starbucks, you can see a lot of surrounding products with Starbucks logo. Products sold in the cafe include wool caps, T-shirts, plush toys, ballpoint pens, key chains, etc., all printed with the most eye-catching and highly recognized Starbucks logo green. The most famous event is that a new Starbucks Cat's claw Cup was looted at the beginning of this year, its value has multiplied several times, and has been jokingly called "the Battle of the Holy Grail" on the Internet.

As long as the style is in harmony with the tone of the cafe, the surrounding products with good appearance, good quality and high performance-to-price ratio are often loved by customers. This business model, which can increase revenue, promote brand and promote culture, has won the recognition of the majority of cafes and has become an indispensable part of the operation of contemporary cafes. Operators can choose appropriate ways of playing surrounding products according to the operating conditions of the coffee shop, so as to complement each other with the main business of coffee.

According to this analysis, Luckin Coffee's new business scope is likely to be to launch peripheral products. The purpose and meaning, of course, is to increase the potential of the brand. After all, although the scale of Luckin Coffee is developing rapidly, it still needs brand accumulation and cultural precipitation. Enterprises with independent brand stories and cultural denotation can have a better foothold in the field of fast consumption. At the same time, the increase in business scope includes not only clothing, but also clocks, glasses and other products, which are relatively complex, but are just used for brand extension of surrounding products.

In addition, there have been voices in the outside world that Luckin Coffee is against the target star Buck. From the point of view of the process of benchmarking Luckin Coffee, the listed Starbucks should also consider the improvement and promotion of the brand image, and the surrounding area may be put on the agenda. However, Luckin Coffee has not explained too much about this comment for the time being.

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