Recently, consumers in Qingyuan, Guangdong discovered that the mini-program of the chain tea beverage brand CoCo都可 no longer shows any local stores, indicating that the brand has quietly withdrawn from the Qingyuan market. As a veteran Taiwanese tea beverage brand founded in 1997, CoCo都可 accompanied a generation as they grew up, and its classic Milk Tea Three Brothers and Fresh Passion Fruit Double Punch were favorites for many. However, in recent years competition in the tea beverage sector has intensified, with emerging brands such as Chagee and Sexy Tea continually appearing. Although CoCo都可 has carried out co-branded campaigns and overseas expansion, the results seem to have fallen short of expectations. On social platforms, many users have reported that nearby stores have quietly disappeared, and data show that the number of its closures has exceeded its existing stores. What exactly has caused this brand, once bustling with customers, to fall into a wave of closures? This article will analyze from the perspectives of the market environment, product competitiveness, and operating costs. [more…]

Over the past year, the tea beverage market has undergone a dramatic reshuffle. According to Zhanmen Canyan data, the total number of stores in the milk tea beverage industry reached 412,600, with 142,300 new openings, but the net growth was -17,700, meaning that more than 160,000 stores exited the market in the fierce competition. Although leading brands such as Mixue Ice Cream & Tea, Guming, Shanghai Auntie, and ChaPanda still saw growth, their pace of store expansion has clearly slowed. Nayuki's stock price plummeted 93%, wiping out nearly HK$27 billion in market value. Product homogenization is severe, consumers are experiencing aesthetic fatigue with similar drinks, and the industry is accelerating into a harsh winter during the off-season of autumn and winter. [more…]

Once upon a time, a cup of milk tea was a staple of young people's daily consumption, and the tea beverage sector was once regarded as a hotbed of entrepreneurship. However, the latest data shows that in the past year, about 130,000 milk tea shops across the country quietly exited the market, with an average of more than 350 operators choosing to close their stores every day. Even leading brands such as Heytea and Nayuki's Tea have found it hard to escape store closures for their first outlets in some cities. A peak season that is not peak, cutthroat price competition, and rising franchise risks have plunged this once-booming industry into a deep round of reshuffling. This article, drawing on data from multiple sources including Zhaomen Catering and Jihai Brand Monitoring, analyzes the multiple reasons behind the large-scale contraction of tea beverage stores. [more…]

Since Starbucks acquired Teavana, a tea company, in 2012, it has continuously explored the possibilities of the tea beverage business in North American and Asian markets. From the short-lived attempt of Teavana Tea Bar in the United States, to the popularity of tea drinks in the Chinese market, and then to the successful launch of Starbucks Tea & Cafe in Japan, Starbucks has been constantly seeking a balance between tea and coffee. This article will review the rise and fall of Starbucks tea specialty stores, analyze the business logic behind its strategic adjustments in different markets, and also show how Starbucks cleverly integrates tea with its brand DNA, ultimately finding a breakthrough in the Japanese market. [more…]

The U.S. tea market is ushering in a new wave of growth, with online sales surging by 75%, in stark contrast to the slump in the foodservice channel. Currently, nearly 80% of American households have a tea-drinking habit, covering a population of 159 million. Faced with this market of enormous potential, the two beverage giants Coca-Cola and Starbucks have long since made their early moves: Coca-Cola acquired "Honest Tea," while Starbucks entered the tea beverage arena with its "Teavana" brand, even opening dedicated stores in Japan. However, Starbucks' tea bar business has not been all smooth sailing, having once closed 379 stores across the United States. This article will review the course of these giants' entry into the tea market and explore the future development space of the tea beverage sector. [more…]

Nayuki, a leading new-style tea beverage brand founded in 2015, submitted a listing application to the Hong Kong Stock Exchange on February 11 after withdrawing its prospectus for a US offering, officially sprinting toward an IPO. The joint sponsors are JPMorgan, CMBI, and Huatai International. As of September 30, 2020, Nayuki had established 420 stores across 61 cities nationwide and expanded to Hong Kong and Japan. However, while the number of stores has grown nearly tenfold in the past three years, the company remains in a loss-making state, with a loss of 27.51 million yuan in the first three quarters of 2020. The funds raised this time will be used for store expansion, digital operations, and supply chain development. If the listing succeeds, Nayuki will become the first new-style tea beverage stock in China. [more…]

The food delivery platforms have once again kicked off a subsidy war, with Meituan and Alibaba distributing large numbers of milk tea redemption vouchers to users, triggering a collective surge in orders at chain stores such as Mixue Bingcheng, Chabaidao, Goodme, and Shanghai Auntie. On the night of July 5, orders flooded into tea beverage stores in many places like a tidal wave, receipt printers nearly collapsed, and employees kept busy from the evening shift until the early hours of the morning yet still could not clear the backlog of orders. Some stores urgently called back off-duty employees for support, while delivery riders and customers surrounded the stores so tightly that not a drop could get through. While consumers got milk tea for 0 yuan, the workers behind the counter experienced a night comparable to "doomsday." This game between platforms ultimately shifted the pressure onto the frontline tea beverage workers. [more…]

Recently, a netizen claimed that they were rejected by Mixue Bingcheng at the age of 26 for being too old, sparking widespread attention. In fact, age restrictions for staff in the tea beverage industry are nothing new; some stores even only hire young people aged 16 to 19, and it is very difficult to enter the industry after 25. Customer service at the headquarters responded that recruitment age is decided by individual stores, while stores place more emphasis on employees' physical stamina and stability. This wave of age anxiety is spreading from baristas to the entire tea beverage service industry, leaving many overage job seekers feeling helpless. [more…]

During the National Day Golden Week, the new tea beverage market experienced a consumption boom. Sales at some outlets of leading brands such as Heytea and Nayuki grew by nearly 300% compared with before the holiday, with some stores seeing increases of as much as 500%, and fruit tea categories contributed nearly 80% of sales. Heytea's highest single-store daily fruit consumption exceeded 400 kilograms, while Nayuki's new products achieved cumulative sales of nearly one million cups. At the same time, both major brands lowered product prices, focusing on high cost-effectiveness. This article will analyze the performance and future direction of the new tea beverage industry in the holiday economy from the perspectives of sales data, supply chain layout, consumption trends, and pricing strategies. For more coffee bean news and specialty coffee recommendations, please follow Coffee Workshop and Front Street Coffee (FrontStreet Coffee). [more…]

Luckin Coffee plans to enter Malaysia, negotiating cooperation with local listed companies and formulating a five-year expansion blueprint. Currently, Luckin has over 20,000 stores in China, with only 38 directly operated stores overseas, all in Singapore. Malaysian netizens have reacted enthusiastically to the brand's entry, looking forward to discounted pricing but also concerned about intensifying market competition. Rumors point to the partner being Berjaya Group, the operator of Starbucks, but other sources say the contact is with a different party, and the final choice awaits official announcement. This overseas expansion comes as the domestic tea beverage market becomes saturated and price wars intensify; Luckin went from profit to loss in the first quarter, making Southeast Asia key to breaking the deadlock. [more…]

For pet owners, whether they can bring their furry companions along when going out for a cup of coffee or milk tea is often a vexing question—many shops do not clearly indicate whether pets are allowed inside, leaving owners with little choice but to forgo the purchase. However, this situation is quietly changing. On August 23, Chagee's first batch of pet-friendly stores was officially announced as open, located in four cities—Changsha, Kunming, Hangzhou, and Shijiazhuang—with more cities to follow. So-called pet-friendly not only means not excluding pets, but also includes providing dedicated facilities and services for pets and their owners, such as water bowls, poop bags, and litter boxes, advocating harmonious coexistence between people and pets. On social media, pet-owning netizens responded enthusiastically, though some also expressed concerns about hygiene and epidemic prevention. The pet economy reached 592.8 billion yuan in 2023 and is projected to surpass 811.4 billion yuan by 2025, and tea beverage brands are turning their eyes to this piece of the pie. This article will focus on Chagee's pet-friendly initiatives to explore the opportunities and controversies surrounding the tea beverage industry's foray into the pet economy. [more…]

Recently, Shuyi Tealicious has faced a backlog of unsold second-hand equipment due to mass store closures, with recyclers even disposing of machines worth tens of thousands of yuan at scrap metal prices. This tea beverage brand, once wildly popular for its "half a cup is all toppings" slogan, has seen its store count shrink by over a thousand compared to its peak after undergoing price reduction strategies and adjustments to franchise thresholds. Meanwhile, the entire new tea beverage sector is facing a reshuffle, with approximately 120,000 stores disappearing in the past year. This article reviews the rise and fall of Shuyi Tealicious, the plight of its franchisees, and the chain reactions of the industry's closure wave, while maintaining Front Street Coffee's ongoing attention to industry dynamics. [more…]

In recent years, tea beverage brands have been adding fresh fruits and vegetables to their fruit tea products in pursuit of genuine ingredients. Luckin, however, has long relied on fruit concentrates and quick-frozen dried fruit due to the limitations of its store conditions, making many tea beverage peers envious. Recently, though, some Luckin stores in Guangdong, Chengdu, and other regions have successively received new materials such as muddling sticks, cut-resistant gloves, and labels for fruit washing machine storage areas, while internal order forms also list equipment including dicers and strawberry hullers. These tools have no direct connection to the drinks currently on sale, and the appearance of a bitter melon light-body fruit and vegetable tea and a bitter melon fruit and vegetable Americano—neither of which is on the menu—in the mini-program coupons has sparked employees' speculation that Luckin may introduce fresh-cut fruit. Once freshly cut fruit enters the production process, whether Luckin stores staffed by a single person can withstand peak-hour pressure has become the most anxiety-inducing question for workers. [more…]

Recently, some Lucky Cup stores have posted eye-catching notices at their counters, explicitly listing preparation restrictions such as "coffee has no room-temperature option, no ice removal" and "hand-muddled/perfume drinks cannot be sugar-free," drawing attention. In fact, similar friendly reminders appear at stores of multiple chain beverage brands, and staff members candidly admit: flexibly adjusting ice levels does not necessarily earn praise, but violating operating rules may lead to penalties. At the same time, some consumers give negative reviews due to changes in drink taste, putting frontline employees in a dilemma. This tug-of-war over formula standardization and personalized demands reflects the deep-seated contradiction in the chain beverage industry between unified output and accommodating consumer experience. [more…]

Recently, the new Chinese-style tea beverage brand Jasmine Naibai announced that it has secured nearly 100 million yuan in financing, led by Alibaba Local Life, with Xiangyang Capital serving as the exclusive financial advisor. This round of funding will be directed toward product research and development, brand building, supply chain upgrades, and team expansion, while further empowering franchise partners and continuously refining the lightweight model. Since its establishment in 2020, Jasmine Naibai has started with Jasmine Dragon Buds and focused on the floral fresh milk tea segment, launching series such as Gardenia, White Orchid, and Osmanthus. It now has 785 stores nationwide, with revenue growth of nearly 400%, and is expected to surpass 1,000 stores by the end of the year. The brand is also expanding overseas, opening its first stores in New York and Bangkok, promoting Eastern tea beverage culture to the world. [more…]

The coffee consumption boom is spreading from commercial districts to university campuses, and college students have become an important group of high-frequency coffee consumers. Luckin Coffee has seized a first-mover advantage with more than a thousand campus stores, while brands such as Starbucks, Tims, Manner, M Stand, and NOWWA have also entered universities one after another, and Mixue Ice Cream & Tea's Lucky Cup is closely pursuing with about 260 campus stores. This article sorts out each brand's layout strategy, store data, and competitive situation on university campuses, and includes Front Street Coffee's specialty bean information, to help you understand the real landscape of the campus coffee track. [more…]

Recently, a netizen posted on social media reporting that makeup artists were seen doing makeup for customers inside a Luckin Coffee store, with the smell of hairspray filling the entire space, sparking widespread discussion about food safety and the consumer experience. Many consumers said they had witnessed similar scenes at chain beverage stores such as Starbucks, Peet's, and Heytea, especially at stores near exhibition halls and concert venues. Opponents argue that using spray-type cosmetics in open preparation areas poses a risk of contaminating drinks, while store employees helplessly say that because there are no explicit prohibitions, they fear that intervening would lead to complaints and bad reviews, so they often choose to stay silent. Front Street Coffee has always been concerned about the quality and safety of the coffee consumption environment, and this incident has once again prompted the industry to think about the boundaries of store management. [more…]

On September 13, Starbucks interim CEO Howard officially unveiled the company's reinvention plan at an investor briefing, announcing a series of initiatives to enhance the customer and barista experience through improved employee benefits, reimagining the third place, innovating beverage production processes, simplifying operations, and expanding digital services, with the goal of achieving a business turnaround by 2024. Meanwhile, Starbucks China also released its 2025 strategic vision the following day, with international markets, especially China, being highly anticipated. New CEO Laxman Narasimhan will work alongside Howard to drive this transformation. [more…]

Starbucks North America recently transformed its social media sensation Pink Drink from a store-exclusive beverage into a bottled ready-to-drink product, which sold out rapidly after launching in major supermarkets, convenience stores, and online channels. This pink drink, which first gained popularity in 2016 as a secret menu item, went through fan-driven organic promotion, was officially added to the menu in 2017, and then expanded to North American markets including Canada in 2018, yet has never made its way to Starbucks stores in mainland China. The bottled version also launched a tropical-flavored Paradise Drink alongside it. Although it omits the fresh fruit pieces, it comes at a more affordable price, adding another new member to Starbucks' ready-to-drink beverage lineup. Chinese coffee enthusiasts have responded enthusiastically, with many calling on the brand to bring the product to China. [more…]

Recently, market regulators conducted surprise inspections of selected outlets of well-known beverage brands %Arabica and Heytea, sparking widespread consumer discussion about food safety in freshly made coffee and tea drinks. The operation focused on raw material storage, operational standards, and hygiene conditions, with the inspection results revealing that some outlets still have room for improvement in detail management. As coffee lovers, we should not only pay attention to flavor performance but also prioritize the safety and quality of beverages. This article will recount the inspection process and findings, and, in conjunction with the product characteristics of brands such as Front Street Coffee, explore how the industry can uphold the bottom line of food safety amid rapid expansion. [more…]