Introduction:With the start of the new school term, competition in the campus coffee market has intensified. Luckin Coffee has rapidly expanded its presence on campuses through its "targeted and location-specific franchising" model, now operating 1,282 campus stores. This article takes an in-depth look at Luckin’s campus expansion strategy, details of its franchising model, and explores five key characteristics of campus coffee shops to help understand the operational logic and market potential of this emerging consumer space.

As the new term begins, the campus coffee market quickly heats up, with the marketing buzz around the "first cup of coffee of the semester" even surpassing the previously popular "first cup of milk tea in autumn." In this wave of competition, Luckin Coffee is actively entering universities through its "targeted and location-specific franchising" approach. By the end of August, it had opened more than 1,282 campus stores and released over a hundred precisely located franchising opportunities.

According to Luckin, this "targeted and location-specific franchising" model primarily targets specific scenarios such as schools, offices, transportation hubs, medical facilities, and tourist attractions. Interested investors can propose ideal store locations within the designated areas specified by Luckin. Once approved by the brand, they can sign a lease and become a franchisee. This model offers high flexibility, and the list of available franchising locations is updated weekly. Investors can check the latest targeted recruitment information through official channels.

Currently, Luckin stores at more than ten universities—including Anhui Polytechnic University, Anqing Normal University Longshan Campus, and Fuyang Normal University Xihu Campus—have officially opened for business. Luckin’s official WeChat account has also highlighted some high-quality campus locations, providing detailed maps, addresses, and school types to help potential franchisees with their evaluations.

Behind this strategy is Luckin’s strong focus on the campus market. According to statistics, as of 2023, there are over 3,000 higher education institutions in mainland China, with a total student population exceeding 40 million. College students not only represent a young consumer demographic but also a promising market for coffee consumption. Especially during the back-to-school season, when many campus milk tea shops are closed for the holidays, Luckin stores rapidly expand. Coupled with its continuously promoted 9.9-yuan affordable coffee, it becomes difficult for other competitors to survive.

For students, coffee is no longer a luxury but a necessity for studying and exam preparation. Many students admit that during intense exam periods, they can drink up to three cups of coffee a day, with some even making it onto the bestseller lists of the Luckin mini-program due to frequent orders. Additionally, since campus stores are often located along the route from dormitories to classrooms and have business hours aligned with students’ schedules, they naturally enjoy an operational advantage that is timely, convenient, and favorable.

Observing the current landscape of campus coffee shops, five clear characteristics can be identified. First, due to students’ limited spending power, affordable 9.9-yuan coffee has become mainstream, with high cost-performance being a key attraction. Second, beverages with low bitterness, creative flavors, and high visual appeal, combined with various co-branded merchandise, are more likely to stimulate purchasing desire. Third, campus coffee shops often serve as a "third space," with those offering study areas or reading corners being particularly popular, meeting students' needs for rest and socializing outside class.

Fourth, campus brand marketing skillfully integrates local culture through school-themed products, events, or designs, helping build emotional connections with students and further enhancing brand loyalty. Lastly, compared to commercial district outlets, campus stores generally benefit from advantages in rent and labor costs, contributing to improved overall operational efficiency.

Overall, the campus coffee market is becoming a new blue ocean for brand competition. Through its flexible franchising model and precise market positioning, Luckin continues to deepen its presence in this field. In the future, as more brands enter the arena, competition in the campus coffee sector will become more diverse, presenting new opportunities for both investors and consumers.

The above content is compiled by CoffeeHunters, a coffee news website.