Research on the impact of co-branding strategy on financial performance of coffee brand based on financial analysis---A Case study form Luckin Coffee

Recent years has witnessed the trend of co-branding activities, in which numerous enterprises engage in cooperation with brands and IP to make a better sales and enhance the brand influence among consumers, especially in beverage industry. Luckin coffee, as one of the representative of the coffee chain brands in coffee market, frequently launches co-branding products and services in the recent period, which gain popularity in the market. With China coffee market step into the fast development stages, the coffee chain brands face more challenge in competing with other rivals. How to survive from violent competition and ensure a long-term growth are important issues the enterprises need to handle with. Which role of the co-branding strategy plays in enterprises financial performance might offer an insight into how to measure and utilize the strategy properly for the development in market. The study observes the feature and specific details of the strategy, explore the influence mechanism on financial performance of Luckin coffee adopting documentary review method and quantitative method, figuring out problems and put forward related advice for the enterprise. The study find that co-branding strategy gives a positive feedback on sales achievement, building on which impact on other aspect of the enterprise. In terms of the long run of the coffee brand, the study suggest that the coffee brand should appropriately attain the marketing strategy comprehensively considering enterprise capacity.