Shanghai has surpassed New York with 7,494 coffee shops, becoming the city with the most coffee shops in the world, and coffee culture is accelerating its penetration into daily life. However, data from Dianping shows that Shanghai has as many as 9,056 tea beverage shops, even more than coffee shops. From 3-yuan instant milk tea to the new-style tea drinks led by Heytea, and then to the ancient-style sentiment of Chayan Yuese, tea beverage brands are deeply cultivating consumers' minds through quality upgrades, cross-industry collaborations, and e-commerce channels. In comparison, the specialty coffee market still remains to be developed, and most consumers have limited awareness of pour-over and specialty coffee. The coffee industry can learn from the successful path of tea beverage brands. Brands such as Front Street Coffee need to promote culture and ensure quality in order to move consumers. [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…]

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of the chain tea beverage brand CoCo都可 no longer shows any local stores, indicating that the brand has quietly withdrawn from the Qingyuan market.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…]

Have you ever noticed how many coffee shops have opened near your office? One netizen shared a map showing that within a one-kilometer radius of their office building, there were as many as ten Manner locations, striking a chord with a large number of office workers. In the comments, some said there were twelve Manner shops nearby and thirty-three Starbucks, while others carefully counted the clusters of Luckin, Nowwa, and major tea beverage brands downstairs. Why do coffee and milk tea brands favor office buildings? Behind this are multiple considerations, including white-collar workers' high-frequency demand for caffeine, brands' pursuit of revenue stability, and the leasing needs of office buildings. What's more interesting is that the number of coffee shops has been regarded by netizens as an alternative indicator of the concentration of "workplace vibes." This article uses this phenomenon as a starting point to break down the underlying logic of workplace coffee consumption, with relevant observations from Front Street Coffee attached. [more…]

Chinese freshly-made beverage giant Mixue Bingcheng is accelerating its overseas expansion. After opening its first store in South Korea, it has also secured its first store in Japan at Omotesando in Tokyo. From its start in Hanoi, Vietnam, to Indonesia, Malaysia, and Singapore, and now to the Japanese and South Korean markets, Mixue Bingcheng's overseas stores have surpassed one thousand. Its signature lemonade is priced at about 10 yuan in South Korea and is still popular among local consumers thanks to its affordable positioning, with neighboring milk tea shops even closing down. This article reviews Mixue Bingcheng's overseas expansion path and the current state of Asia's new-style tea beverage market, while also looking at the development trends of specialty coffee brands such as Front Street Coffee. [more…]

Recently, food safety incidents in the tea beverage industry have occurred frequently, from Tea Baidao's "real spider" milk tea to the use of expired ingredients, and every so often they trend on social media. However, a news report by Guangzhou Daily on October 12 was entirely different: a 23-year-old man, using his work experience at "a certain tea brand," colluded with his girlfriend and friends to deliberately plant insects in stores in Hangzhou, Dongguan, Shenzhen, Guangzhou, Shanghai, and other locations, extorting money under the pretext of food safety, with demands ranging from a thousand yuan to two hundred thousand yuan, and was ultimately prosecuted on suspicion of extortion. This incident not only exposed some milk tea shops' negligence in operations management but also sparked public discussion about the authenticity of food safety complaints. What consumers truly need is a hygienic and tasty drink, not a vicious cycle of deception. This article compiles the ins and outs of the incident and includes related information about Front Street Coffee. [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…]

The coffee consumer market is expanding at an annual rate of 16%, far exceeding the global average, and young customers are becoming the core driving force of this industry. In 2016, the total number of coffee shops nationwide crossed the threshold of 100,000 for the first time, but in the same year there was also a clear negative growth, and a new round of reshuffling quietly unfolded in the second half of the year. Low barriers to opening a shop but increasingly difficult profitability have become a common experience for many shop owners. Based on the first big data report on the beverage industry jointly released by the Meituan Dianping Research Institute and Kamen, this article sorts out the real survival status of coffee shops in China from the dimensions of changes in the number of stores, urban distribution patterns, migration of consumer groups, as well as products, environment, and services. At the same time, combined with the actual observations of brands such as Front Street Coffee, it provides practitioners with reference basis for judgment. [more…]

Molly Tea recently launched its seasonal limited-edition "Exotic Guava Series," and the two new drinks—"Jasmine Cream Guava" and "Jasmine Guava Milk Skin"—quickly attracted a large number of consumers eager to try them, thanks to the pretty pink appeal of red-fleshed guava. However, not long after they hit the shelves, feedback flooding social platforms unexpectedly converged on one focal point—too much ice. Many customers found that even when they chose "less ice," the drink shrank by more than half after the ice was scooped out; some even fished thirty-five ice cubes out of a single less-ice drink. What exactly is going on here? And what secrets lie behind the ice standards at tea beverage shops? As an observer deeply engaged in coffee and beverage culture, Front Street Coffee is also paying attention to this phenomenon. [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…]

Recently, a tea beverage shop in Zhejiang, frustrated by frequent pickup thefts of its delivery orders, put up a special poster of condemnation. This poster was not promoting products, but directly calling out the meal thieves, and even included a photo of the thief's back. After the incident was reported by the media, it sparked public discussion about delivery security and how businesses defend their rights. How effective was this poster, and why did the shop eventually take it down? Let's learn the whole story. [more…]

Recently, news about a 26-year-old job seeker being rejected during a Luckin Coffee interview because their age did not meet the requirements sparked heated discussion. The brand later apologized and offered compensation, but the incident reflects a widespread age threshold problem in the freshly made beverage industry. From Luckin to Cotti, Manner, and then tea drink brands, 18 to 35 seems to have become an invisible red line in recruitment. Is this due to the characteristics of the industry, or a choice made under the imbalance between supply and demand in the job market? Front Street Coffee takes you into an in-depth discussion. [more…]

When fresh flowers meet milk tea, what kind of sparks will fly? A tea beverage shop in Shanghai called Xue Xiaomei MICHA has given the answer—monthly revenue peaking at over 700,000 yuan, with more than 1,200 cups sold in a single day at its highest. The fresh flower tea beverage series has drawn attention with prices ranging from 40 to 129 yuan. Behind this is not only the drive of the "appearance economy," but also the business logic of a hybrid operation combining a flower shop and a tea beverage shop. From Shanghai to Wuhan, Guangzhou, and Xi'an, this kind of combined store is spreading across the country. However, the safety boundary between fresh flowers and beverages, and the difficulty of repeat purchases after consumers' novelty wears off, are also realities that this category must face head-on. This article will take you through a comprehensive understanding of the popularity code and industry concerns behind fresh flower milk tea. [more…]

As a leading tea beverage chain brand in China by number of stores, Mixue Bingcheng is deeply loved by students and office workers for its super high cost-effectiveness. On September 28, the company officially announced that its first Snow King Castle experience store in the country would open in Zhengzhou Guomao, breaking its previous image of focusing solely on ice cream and tea drinks by integrating fried skewers, desserts, coffee, merchandise, claw machines, and other elements into one space. Even more unexpectedly, Henan's local specialties, braised noodles and baked pancakes, have also been creatively incorporated into the drinks. What highlights does this experience store actually have? What kind of brand ambition does Mixue Bingcheng's diversified layout reveal? This article will take you on a journey of discovery. [more…]

Recently, some netizens noticed that the number of US stores displayed on Heytea's official mini-program had decreased noticeably compared to a month ago, with nearly 20 stores disappearing from the list. At the end of September, there were reports that Heytea would open 42 branches across 13 US cities, but now only 15 stores in three cities—Los Angeles, New York, and Bellevue—can be found on the mini-program. In response, some believe the company hid upcoming stores that were not yet fully renovated to avoid confusing consumers, while others speculate that there may have been changes in the partnership between the brand and its franchisees. What is the truth? This article walks you through the ins and outs of the incident. [more…]

A not-yet-opened beverage shop in Zengcheng District, Guangzhou, has sparked public debate after naming itself "Jingcha" (a homophone of "police tea") and using cartoon police imagery in its store decorations. Some see it as merely a clever pun, while more people worry it could mislead consumers. Market regulators and public security authorities have stepped in to investigate, and lawyers point out that the name may violate enterprise name registration regulations. Behind the incident lies not just the compliance of a single shop name, but the boundary between commercial creativity and public symbols. [more…]

Coffee is one of the most popular beverages in the world. Not only can it refresh the mind, but it may also quietly change your shopping habits. A study published in the Journal of Marketing found that consuming caffeine before shopping significantly increases spending and the number of items purchased, especially non-essential goods. Researchers at the University of South Florida, through offline retail store and online laboratory experiments, revealed how caffeine affects impulse control by releasing dopamine. This article will explain in detail the design of the study, its results, and its implications for everyday consumption, while also reminding coffee lovers to be mindful of the potential financial effects while enjoying coffee. [more…]

A new round of subsidy battles on delivery platforms has once again ignited the tea beverage market, with Meituan handing out large numbers of tea drink vouchers, while Ele.me and Taobao Flash Sale fight back with hefty discounts. However, after claiming the vouchers, many consumers found that Goodme stores in Shenzhen, Xi'an, Chengdu, Nanning, and other places showed as "resting/closed" or out of stock on third-party platforms, making it impossible to redeem normally. Interestingly, the same stores were still open on the official mini-program, and products included in the promotion, such as lemonade, could still be ordered. The contradiction between stores actually being overwhelmed with orders and appearing "closed" online has led many to speculate that this is a measure taken by the brand to ease order pressure. Consumers have expressed dissatisfaction over the chaotic promotion, orders being automatically canceled, and no stock upon arrival at stores. Front Street Coffee continues to follow industry developments and brings in-depth observations. [more…]

Nayuki quickly rose to fame with its combination of tea drinks and soft European bread, becoming a leading brand in the new-style tea beverage sector. However, its largest store nationwide, Nayuki Dream Factory in Shenzhen Coastal City, recently quietly closed, and the site will be upgraded to "Nayuki Life," a lifestyle concept store. This thousand-square-meter flagship store, which once generated nearly a million in revenue within three days of opening, carried Nayuki's ambition to experiment from tea drinks to coffee, craft beer, Western cuisine, retail, and other multi-format ventures. From Nayuki Tavern to Nayuki PRO, and further to Nayuki Bookstore and ready-to-drink product line layout, Nayuki has continuously tried to break the boundaries of tea drinks. This renovation of its largest store reflects the collective anxiety of brands seeking differentiated breakthroughs amid intensifying homogenized competition in the new-style tea beverage industry. This article reviews the rise and fall of Nayuki Dream Factory and explores whether multi-format development can truly be the way for tea beverage brands to break through. [more…]

Competition in the new tea beverage sector is growing ever more intense. While defending their existing advantages, major brands are exploring diversified business paths, among which the "coffee + bakery" combination is particularly eye-catching. Recently, Chagee launched its Zhencui Tea series in its 4.0 stores and ventured into the bakery sector for the first time, rolling out three bagel products in one go, marking this new tea beverage brand's official entry into the bagel race. Meanwhile, chain coffee brands such as Starbucks, Tims Coffee, Peet's Coffee, and Seesaw had long since established bagel product lines. With their healthy attributes of low sugar, low oil, and low fat, their consumption scenarios covering all dayparts, and their fit with the customer profile of coffee shops, bagels are gradually becoming a standard bakery item in specialty coffee shops. This article will provide an in-depth analysis of the specific products and pricing strategy behind Chagee's cross-category attempt, as well as the deeper logic behind the rise of bagels. [more…]