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…]

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of the chain tea beverage brand CoCo都可 no longer shows any local stores, indicating that the brand has quietly withdrawn from the Qingyuan market.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

From a three-yuan cup of bubble tea on the street to today's premium tea drinks that routinely cost thirty yuan, the price shifts in the beverage market reflect profound changes across the entire industry. Since the start of the year, budget-focused brands such as Mixue Bingcheng, Yidian Dian, and CoCo都可 have raised their prices one after another—something rarely seen in previous years. Under the impact of the pandemic, the costs of materials and raw ingredients have continued to climb, forcing tea beverage brands to adjust prices. Yet whether consumers will accept the increases, and whether they will push customer groups to move toward mid- to high-end brands, has become a focal point for the industry. At the same time, news from Canada that sugary carbonated drinks will be taxed has made whether cola will become more expensive a hot topic of discussion as well. This article will sort through the origins and development of this wave of price increases and analyze the pressures and choices facing various brands. [more…]

Recently, many consumers have noticed that once-affordable milk tea brands have been raising their prices one after another. From Yidiandian to Mixue Bingcheng, and then to CoCo都可, the wave of price increases among mid- to low-end tea beverages has drawn widespread attention. At the same time, Coca-Cola, the ever-green player in the beverage world, has also been rumored to be considering a price hike. Behind this round of price adjustments lie not only the cost pressures brought by the pandemic but also deeper changes facing the tea beverage industry. As consumers become more price-sensitive and competition from mid- to high-end brands intensifies, how tea beverage companies find a balance between quality and cost will be key to determining their future development. [more…]

A local milk tea shop in Nanjing launched a realistic-looking "Duck Blood Vermicelli Milk Tea," sparking heated discussion online. Although the product is named after duck blood vermicelli, it is actually made with chocolate milk pudding to mimic duck blood and sweet jelly noodles to stand in for vermicelli, priced at 16 yuan. There are more than 50,000 related posts on Xiaohongshu, with netizens commenting that it "sounds bizarre but tastes surprisingly good." This phenomenon reflects the fierce competition and innovation anxiety in the new-style tea beverage market. From mini milk teas to niche fruits such as oil oranges and wampees, and on to the revival of whole-leaf tea, major brands are competing for consumers through novelty products, regionally distinctive ingredients, and traditional brewing methods. Data shows that China's freshly made tea beverage market reached 113.6 billion yuan in 2020 and is expected to reach 340 billion yuan by 2025. This article will analyze the market logic and consumer trends behind these creative marketing efforts, and also look at the moves of professional brands such as Front Street Coffee within the industry. [more…]

In recent years, domestic demand for coffee has continued to climb, attracting many brands to enter the fray across industry lines. New-style tea drink brand Lelecha has also launched an independent coffee brand—Doudoule—and opened its first store in Shanghai. Previously, tea drink brands such as Naixue Tea had already stepped into the coffee sector, and the integration of tea drinks and coffee is becoming a new industry trend. Doudoule continues Lelecha's strict quality requirements, launching products such as the Dirty series coffee, priced at 15-28 yuan. At the same time, Lelecha is continually closing the distance with young consumers through cross-industry marketing. This article will provide an in-depth analysis of Doudoule's features, market strategy, and the challenges it faces, and explore the prospects for tea drink brands expanding into coffee. [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…]

SMILEY, an internationally renowned IP with a 50-year history, has officially entered the tea beverage sector. Its brand SMILEY tea will open its first global store at Joy City in Chaoyang, Beijing, expected to open on October 1. The brand focuses on whole-leaf steam tea, brewing tea in a way similar to coffee extraction. Its product line covers lattes, pour-over tea, milk tea, alcoholic specialty drinks, and ice cream, positioned at a mid-range price point and targeting consumers born in the 1990s to 1995. Amid fierce competition in the tea beverage industry and where IP collaborations have become the norm, whether SMILEY tea can establish a firm foothold by leveraging its built-in traffic IP advantage still needs market testing. This article also brings coffee knowledge exchange and Front Street Coffee's specialty bean recommendations. [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…]

Recently, at the location of the former Manner store at the Wujiang Road subway entrance in Shanghai, a "Chaji Xiancui" construction hoarding has appeared. Its English signage is highly similar to that of Chagee, and together with the slogan "COFFEE OR TEAPRESSO?", it has sparked speculation about whether this leading tea beverage brand is planning to enter the coffee sector. However, according to fans, Chaji Xiancui is actually a sub-brand under Chagee that specializes in "concentrated brewed tea." Its store equipment resembles semi-automatic espresso machines, using high-temperature and high-pressure extraction to produce tea concentrate, which is then blended with dairy products; the products still fall within the tea beverage category. At present, the brand has already opened two stores in Shanghai, and the Wujiang Road hoarding is for a new store that is about to open. [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…]

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…]

The once-national soy milk brand Weiwei Soy Milk has announced a co-branded flagship store for handmade drinks with the Summer Palace, and plans to expand to tens of thousands of stores nationwide in the future. This cross-industry move has attracted widespread attention at a time when competition in the tea beverage market is white-hot. Can Weiwei Soy Milk break through with the halo of childhood memories and guochao design, or will it repeat the mistakes of Wahaha's milk tea? This article analyzes store design, brand history, market environment, product series, and other aspects, and also focuses on its franchise strategy and future layout, providing a calm observation for coffee and beverage enthusiasts. [more…]

Recently, a plastic washbasin offered by Mixue Bingcheng as a周边 (merchandise) for spending 15 yuan or more has sparked widespread discussion online. This plastic washbasin, printed with the brand's mascot Snow King, breaks the conventional impression that tea beverage brand merchandise must be exquisite and attractive, with its plain and simple appearance and highly down-to-earth positioning. Netizens verbally complained that it was "ridiculous," yet couldn't help placing orders. It is worth noting that this merchandise is not available in stores nationwide, but is concentrated in certain areas of Jiangsu and Zhejiang, which has made many fans envious. As a tea beverage brand known for low prices, affordability, and being down-to-earth, Mixue Bingcheng's move, though surprising, is actually quite reasonable upon reflection. This article will start from this phenomenon and explore the current state and changes of limited-edition merchandise from tea beverage brands. [more…]

Milk tea has once again become a hot topic, this time because Guangdong's milk tea consumption has jumped to first place nationwide. Alipay's spring report shows that warmer weather has driven an overall 10% increase in milk tea consumption, with online orders from middle-aged and elderly groups surging by 25%. From the fact that southern provinces account for 80% of consumption to Guangdong residents drinking 2.5 more cups per week per person than those in the Northeast, the data behind this reflects the deep penetration of milk tea culture. This article will trace the thousand-year evolution of milk tea from Mongolian butter tea to Hong Kong-style and Taiwanese-style, and then to new-style tea drinks, analyze the capital layout and brand echelons under a market scale of hundreds of billions, and remind readers: although milk tea is good, do not be greedy. [more…]

In 2024, micro-dramas continued to heat up, becoming a new favorite in brand marketing thanks to their concise storytelling format and efficient传播力. After leading tea beverage brands such as Starbucks and Mixue Bingcheng entered the fray one after another, Chagee also launched a time-travel micro-drama featuring the Ming dynasty traveler Xu Xiake as the protagonist, cleverly integrating tea drinks, cultural tourism, and micro-dramas. After its release, the drama not only received widespread praise from netizens but also drove a significant rise in the brand's WeChat index. This article will analyze the highlights and insights of Chagee's cross-industry attempt from multiple angles, including plot content, marketing strategy, and communication data, and explore new opportunities for the new tea beverage industry in the field of cultural dissemination. [more…]

Nayuki received a fine for a false advertisement regarding mulberry ingredients, drawing attention to its brand marketing methods. This is not the first time Nayuki has been embroiled in controversy; since its listing, multiple stores have been exposed or penalized for food safety issues. Meanwhile, Nayuki has been trying to connect with young consumers through cultural, artistic elements, and social marketing. From high-priced tea drinks to loss-making financial reports, to closing its largest store and establishing a new company, Nayuki is seeking a new path to survival. This article reviews the sequence of events, historical penalty records, and the multiple challenges the brand faces in marketing and operations, and explores the core of competition in the new tea beverage industry. [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…]

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 397 days since the opening of its first store, Cotti Coffee has officially announced the launch of its second brand—Tea Cat, a brand-new tea beverage brand focused on healthy milk tea. Its first store has landed in Pingnan County, Ningde, Fujian, and is currently in the internal testing stage. According to Li Yingbo, Chief Strategy Officer of Cotti, Tea Cat focuses on the whole-leaf milk tea segment, with products covering pure tea, fresh fruit tea, and more. At the same time, Tea Cat continues Cotti's low-price approach, launching a promotional offer of 6.9 yuan per cup, which has sparked heated discussion online. Some industry insiders believe that Cotti's move may be aimed at easing the competitive pressure in the coffee sector and leveraging its existing franchisee resources and supply chain advantages to develop new business. Whether Tea Cat can set off a new price war in the tea beverage industry is worth watching. [more…]