The new-style tea beverage market has been stirring recently. High-end brands Heytea and Nayuki have successively announced price cuts, with the lowest dropping to 9 yuan. Nayuki launched a "Relax" series priced at 9-19 yuan, promising to launch at least one "single-digit" product every month, while Heytea announced it will not raise prices this year. Consumer reactions have been mixed, with some cheering and others questioning reduced cup sizes and lower quality. This article reviews the price-cut moves of the two major brands, netizen feedback, and industry data, analyzes the consumption trends and market logic behind the involution in new-style tea beverages, and includes related news about Front Street Coffee. [more…]

Recently, Sina Finance exclusively reported that Heytea had initiated internal layoffs involving about 30% of its employees, and the news quickly sparked widespread discussion. Heytea responded promptly, saying the report was untrue and that there was only normal personnel optimization based on year-end performance reviews. This incident has once again drawn public attention back to the new-style tea beverage sector: Nayuki is expecting losses, Heytea's growth is slowing, store expansion is decelerating, and homogenized competition in the industry is becoming increasingly fierce. At the same time, Heytea's countercyclical price cuts and moves to tap lower-tier markets have also sparked discussion. This article will sort out the sequence of events and present Heytea's operational changes and market challenges since 2021. [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…]

At the start of 2022, office workers lost both their milk tea freedom and coffee freedom in quick succession. But then new-style tea drink brands proactively cut prices, with Heytea and Nayuki even offering cups for 9 yuan, while coffee brands such as Starbucks and Luckin raised prices one after another due to rising raw material costs. Behind this divergence—one cutting prices, the other raising them—lies the reality that consumers are returning to rationality, the traffic dividend for new-style tea drinks is fading, and the coffee market is still in its early stage of expansion. This article sorts out the logic behind the price divergence between the new-style tea drink and coffee industries, and looks ahead to the future market landscape. [more…]

Nayuki, once hailed as the "first stock of new-style tea drinks," has delivered a less-than-stellar half-year report card: revenue dipped slightly year-on-year, and after adjustments, it swung from profit to loss. Facing multiple pressures—questions over price cuts, the impact of the pandemic, and competition from peers—Nayuki has begun setting its sights on the coffee track, seeking new growth points by investing in brands like AOKKA. Meanwhile, brands such as Heytea and Chayan Yuese are also making their own moves to save themselves. Is the collective push by new tea drink brands into coffee a move of desperation or a new trend? This article reviews Nayuki's latest performance and investment moves, and takes stock of the self-rescue paths within the industry. [more…]

While brands like Heytea, Nayuki, Starbucks, and Luckin are fiercely battling it out in the end market—rolling out collaborations, launching new products, and cutting prices in turn—it is actually the ingredient and packaging suppliers behind them that are quietly making a fortune. From Jiahe Foods to Sanyuan Biology, from Tianye Co. to Hengxin Life, and on to Dexin Foods, a group of supply chain enterprises for the new-style beverage industry are collectively sprinting toward the capital market. They serve well-known brands such as Uni-President, Xiangpiaopiao, CoCo都可, Mixue Bingcheng, Genki Forest, Nayuki, and Luckin, and have achieved soaring performance through products such as sugar substitutes, juices, paper cups, and syrups. This article will sort through the listing landscape of these low-key suppliers and reveal the real path to riches for upstream enterprises under the wave of new consumption. [more…]

Competition in the new-style tea beverage sector is becoming increasingly fierce, with brands constantly adjusting their strategies on products and pricing. Heytea has made a flurry of moves recently: on one hand, it announced that it will not raise prices this year and will no longer launch drinks priced above 30 yuan; on the other hand, its affiliated company added fruit cultivation to its business scope, attempting to control costs from the source. At the same time, Heytea is also facing controversies over layoffs and internal management. This article will sort out the logic behind Heytea's moves, as well as the trend of the new-style tea beverage industry extending upstream into cultivation, and will also briefly discuss the similar path in the coffee sector from brewing to cultivation. [more…]

In the sweltering heat of summer, beverage consumption reaches its peak. On street corners and in alleys, young people are holding either tea drinks or coffee. But upon closer observation, one will find that new-style tea drinks and coffee are embarking on entirely different development trajectories: brands like Heytea and Nayuki are cutting prices, while Luckin Coffee and Starbucks are raising them. The coffee sector's popularity is soaring, with giants such as Huawei, Li-Ning, and China Post making cross-industry forays, intensifying competition to a fever pitch. At the same time, new-style coffee is increasingly resembling milk tea, with ingredients like cheese, matcha, and brown sugar crystal boba appearing frequently. This prompts the question: will new-style coffee repeat the mistakes of irrational involution in the new-style tea drink sector? This article will analyze from perspectives such as price changes, market positioning, and product innovation, and bring professional observations from Front Street Coffee. [more…]

KFC is no longer just selling fried chicken. This fast-food giant has quietly launched its first standalone tea beverage brand, "Grandpa's Carefree Tea," in Suzhou, officially entering the fiercely competitive new-style tea beverage market. The brand focuses on a "rice milk tea" series, using the gold award-winning rice variety Nangeng 9108 as its raw material, paired with Jiangnan specialty tea bases such as jasmine tea and Biluochun, and incorporating local toppings like orange cake and gorgon fruit, giving it a strong regional identity. The store decor features Suhe pink and Canglang green as the main tones, creating a spatial atmosphere reminiscent of Suzhou gardens. Against the backdrop of brands like Heytea and Nayuki cutting prices and engaging in intense competition, whether KFC's move can break through is worth watching. [more…]

After canned yellow peaches were jokingly called something that should be covered by medical insurance, and electrolyte water sold out, young people have now turned their attention to the "COVID special drinks" from major milk tea brands. When your throat hurts like you're swallowing razor blades and buying medicine is difficult, a cup of orange, lemon, and snow pear tea rich in vitamin C has become a comfort for many. Related products from brands such as Heytea, Nayuki, Shanghai Auntie, and Mixue Bingcheng have surged in popularity, with some stores even selling out. Can these drinks really relieve sore throats and hoarseness? This article walks you through the logic behind the popularity of "COVID special drinks," representative products, and whether they are merely psychological comfort or truly beneficial. Follow Coffee Workshop for more professional coffee knowledge and Front Street Coffee recommendations. [more…]

Recently, a netizen discovered a notice in the pickup area of a Nayuki store that read "Not Heytea. If picked up by mistake, compensation at full price," with the words "call the police" also handwritten in the blank space. After the photo was shared online, it quickly sparked heated discussion. Netizens familiar with tea beverage brands pointed out that Heytea and Nayuki differ noticeably in name, logo, and store style, so confusion should not occur under normal circumstances. Some even joked that the words "Heytea" highlighted in red and enlarged on the notice could instead easily lead hurried delivery riders to mistake this store for Heytea, making the reminder counterproductive. Through this strongly warning notice, many people saw the helplessness of Nayuki employees—after a delivery order is taken by mistake, the employee on duty not only has to deal with customer dissatisfaction but also has to bear the corresponding loss. [more…]

In recent years, the national trend has been on the rise, and local cultural elements have become increasingly common in consumer brands. As a leading brand in the new-style tea beverage sector, Nayuki has abandoned its former Japanese-leaning brand image and transformed Nayuki Dream Factory into an opera space full of Chinese charm, launching more than 20 new Chinese-style pastries represented by mochi and palmiers, with each product corresponding to a classic opera such as The Drunken Concubine, The Peony Pavilion, and Farewell My Concubine. The store also displays traditional theater merchandise such as covered bowls and folding fans, creating an atmosphere of stepping into a traditional opera garden. Previously, Heytea also launched Axi Teahouse incorporating Sichuan opera elements. Against the backdrop of widespread price increases in the tea beverage industry, Heytea attracted market attention with a low price of nine yuan, and whether Nayuki's move into the national-trend pastry track can break through is worth continued attention. [more…]

Recently, several tea beverage brands—including Heytea, Nayuki, ChaPanda, Good Tea, Mixue Bingcheng, and Shuyi Tealicious—were reported to have jointly adjusted their full-reduction strategies on food delivery platforms. The original full-reduction discounts have been uniformly changed to 1 off 50, 1 off 70, or even canceled outright. Once the news broke, related topics quickly trended on social media, with views exceeding 180 million. Merchants say profits are thin, while netizens question why milk tea, which isn't cheap, still isn't making money. Behind this controversy lie both the pressure of platform commissions and delivery costs, and a reflection of the difficult position of the new tea beverage industry, caught between price cuts and losses. [more…]

Following the closure of the last store of its sub-brand Xixiaocha, Heytea confirmed on November 3 that it will open franchising, with partnership fees kept under 500,000 yuan and franchise store formats primarily under 50 square meters. Heytea stated it will leverage a decade of accumulated experience and resources to develop its partnership business in non-first-tier cities with suitable store formats, providing partners with comprehensive support in branding, products, quality control, food safety, operations, training, and supply chain. In recent years, Heytea has accelerated its expansion into lower-tier markets, successively adjusting prices, launching IP collaborations, and shutting down its budget sub-brand. Opening franchising is now seen as a key step to further capture market share in third- and fourth-tier cities. Whether the new tea beverage sector will face a new round of involution, and whether direct-operated brand Nayuki will follow suit, remains worth watching. [more…]

In the cold winter, a cup of hot milk tea always brings a bit of warmth. Prices for drinks on the market range from under ten yuan at Mixue Bingcheng to thirty or forty yuan at Nayuki and Heytea, with most still within what consumers can afford. However, recently a thousand-yuan drink has drawn attention on Weibo's trending topics—an olive juice launched by the Shenzhen milk tea brand Yecuishan, priced as high as 1,000 yuan. This drink uses the rare Chaoshan variety Jinyu Sannian olive, with the raw material costing about 800 yuan per jin on the market, and production taking nearly 3 hours. At the same time, Heytea has taken a stake in Yecuishan, holding 60% to become the largest shareholder, and the brand currently has more than 30 stores. [more…]

New-style tea beverage brands' attempts to cross over into the coffee track are encountering setbacks. Crow Coffee, invested in by the founder of Heytea, has closed its founding store in Shenzhen Tianli Central Plaza and put it up for rent, leaving the brand with only one store remaining in Dachong. Meanwhile, AOKKA Coffee, invested in by Nayuki, has also announced that it will close all of its Shenzhen stores by the end of August. Looking back at 2022, Heytea and Nayuki quickly entered the coffee market by investing in brands such as Seesaw, Minor Figures, KUDDO, and Monster Drowsy, but these invested brands now generally face the predicament of store closures and contraction. This article reviews the current store status of each brand and analyzes the challenges and industry competitive landscape faced by tea beverage brands crossing over into coffee. [more…]

With over 600 million daily active users and the powerful momentum of livestream e-commerce, Douyin is becoming a new battleground for major beverage brands competing for online traffic. From Luckin and Starbucks to Manner and Tims, and further to Heytea and Nayuki, almost all well-known beverage brands have launched ultra-low-priced group-buy packages on Douyin, with prices far lower than ordering in stores or via mini-programs. Luckin's "male model squad" livestream once sparked heated discussion, with group-buy deals for Coconut Latte at only 14.5 yuan; Starbucks' 19-yuan breakfast package sold over 860,000 cups; Nayuki's 9.9-yuan single-item coffee surpassed one million orders. Behind this online price war is brands' deep strategic push for local exposure and secondary in-store consumption. This article gives you a full picture of this Douyin beverage battle. [more…]

In recent years, mainland new-style tea beverage brands have been rushing into Hong Kong one after another, with Mixue Ice Cream & Tea, Heytea, Nayuki, and Shuyi Tealicious having already established a presence. On September 28, Chagee, positioned as a mid-to-high-end brand, opened its first store in Hong Kong at K11 Art Mall in Tsim Sha Tsui, right next to Nayuki and Heytea. On opening day, they invited Charmaine Sheh to make an appearance and rolled out promotions like buy-one-get-one-free, attracting long queues of customers with wait times reaching three to five hours. This article sorts through key information including store design, product pricing, promotional activities, and market prospects to give you a quick look at this Hong Kong tea beverage frenzy. [more…]

While Heytea, Nayuki, Starbucks, and Luckin are battling it out on the front lines over co-branded collaborations, new product launches, and price wars, few have noticed that a group of suppliers behind them is quietly rising. From Jiahe Foods to Sanyuan Biology, from Tianye Shares to Hengxin Life and Dexin Foods, an increasing number of raw material and packaging companies behind new-style beverages are beginning to sprint toward the capital market. Some of these companies provide non-dairy creamers and sugar substitutes, some supply fruit juice concentrates and flavored syrups, and others specialize in producing paper cups and plastic cups. While terminal brands fight in a red ocean, upstream suppliers have seized the momentum to grow bigger, raked in huge profits, and collectively embarked on the path to listing. [more…]

In the scorching summer, iced drinks are back in the consumer spotlight. To stand out in fierce competition, new tea beverage brands keep reinventing their marketing tactics—from early niche fruits and co-branded limited editions to today's popular milk tea scratch cards, blind box draws, and even giveaways of gold, lottery tickets, and cars. Suguo Fresh Fruit Tea uses its new yellow skin (wampee) product to promote "scratch for real gold," Heytea and Nayuki use puns plus tear-open cards and lottery tickets to grab attention, while Chagee uses high-end lipstick blind boxes to precisely target female customers. Behind these gimmicks is the thrill and sense of participation brought by "eliminating uncertainty." Of course, for those who just want to quietly enjoy a good coffee or milk tea, returning to the product itself may be the lasting way forward, and Front Street Coffee has always advocated focusing on flavor and quality. [more…]