Luckin Coffee's current situation and solution Ruixing re-promote to join the business because of what?
The road ahead of Luckin Coffee is not yet clear.
On January 18th, a piece of news from Luckin Coffee attracted everyone's attention.
Luckin Coffee released a recruitment plan for new retail partners on his official Wechat official account and other platforms.
Luckin Coffee disclosed the details of the cooperation shows that the new retail partner recruitment program does not charge any form of franchise fee, that is, the franchise plan is still a "0 franchise fee".
However, in order to ensure the service quality of the operating partners, each store needs to charge a deposit of 50,000 yuan, which can be fully refunded after the expiration of the contract.
At the same time, Lucky headquarters will also give support to the franchisees and share the company's marketing resources. However, the franchisee needs to pay Luckin Coffee to provide the total cost of pre-input between 35-370000, including decoration costs of 110000-130000, production equipment of about 190000.
As early as 2019, Luckin Coffee launched the "joining plan". Luckin Coffee's sub-brand "Little Deer Tea" was mainly based on the joining model at the beginning of its establishment at the end of 2019, and Luckin Coffee suspended this business in 2020 due to the impact of the epidemic. So, what is the reason why Ruixing promotes joining business again?
Luckin Coffee's reopening and joining means that lucky stores will further expand in the future. insiders believe that opening up to join is a shortcut for Luckin Coffee, which not only alleviates the financial problem, but also maintains store expansion and increased market share.
In addition, industry insiders said: Luckin Coffee's current total amount of decoration and equipment is 320000 yuan, the investment said that 20 yuan a cup of coffee needs to sell 16000 cups to earn back the cost. And all count down, sell at least 300 cups a day, relative to other open join tea brands, open a lucky investment budget is still very high, so some industry insiders will Luckin Coffee this opening to join as "cut leeks", and this is also a great challenge to Luckin Coffee, lucky can successfully expand the store and achieve overall profits, no one knows.
But Luckin Coffee made it clear: he hopes to have 4800 to 6900 self-owned stores by 2023, and Ruixing management expects that according to the current operational progress, it is expected to make an overall profit by 2021, but so far, Ruixing has not given a reply on how Luckin Coffee's new recruitment plan is going.
* Image source: Internet
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