Brand New Milk Tea Market: Chinese Milk Tea Development and Brand Analysis

Abstract

Since the beginning of the 20th century, the milk tea industry grew rapidly in China and has become a popular leisure activity for young people. According to the study of three chain stores in China, low-end milk tea stores are inexpensive and affordable, while mid-range milk tea stores have a wide variety and high-end milk tea stores focus on visual effects. The core competitiveness of enterprises could be the ability to continuously push new products and supply chains. Some top brands with perfect supply chain systems save transportation costs, improve efficiency to ensure brand competitiveness. Besides, product innovation and broadening sales channels are beneficial for enterprises to find growth points in homogenized markets and better attract consumers and carry forward Chinese tea and beverage culture. After analysis, the future milk tea market will implement personalized and branded development and the emergence of chain franchise-based store opening mode. While the entire industry has unlimited prospects, there will be a lot of space for development. The results indicate that the milk tea industry will continue to expand in the future, in which innovation and personalization will be necessary to stand out. The milk tea stores will probably implement more diversified cooperation models or research more distinctive products in the future.

Analysis of Factors Lead to the Success of Sexy Tea

“…In 2021, Dedi did research to find the relationships between consumers' purchasing decisions and the features of products, such as product form, product quality, product type, product utilization, and product durability, and he found that the effect of the Product Features variable on the purchasing decision variable is positive and significant [4]. Further in the investigation of milk tea that Wingnam and others did in 2021, they found that product research and innovation would establish technical competitiveness and give the company a new growth point to meet the diversified consumer needs and establish consumer loyalty [5]. Therefore, companies should enrich product content and features and make innovations to attract more consumers and increase consumers' purchasing intention.…”

Marketing Strategy and the U.S. Market Based on the Performances of Existing Chinese Milk Tea Brands

“…To inspect Mixue's financial gain, this study shows the brand's sales growth and market share size [7] over the years. In addition, the quantitative growth of the overall Chinese milk tea industry is also taken into consideration, such as the accumulative Chinese milk tea market size, the market share percentage of different milk tea brand tiers [8], and the regional distributions of milk tea stores in China [9]. The evaluation of Mixue's social media presence and influence will be done by looking at Mixue's follower numbers on different social media platforms, and the view counts of Mixue's uploaded contents.…”

College Students’ Preferences for Milk Tea: Results from a Choice Experiment

“…The attributes examined in this study were obtained from real market research and previous studies. When conducting market research on milk tea, our research team recorded and analyzed the menus of famous milk tea shops in the Fujian Province, such as CoCo, Gongcha, Alittle, Nayuki, and Heytea, which are the most popular brands across China [ 22 , 32 , 45 ]. As milk tea consist of a tea base and other ingredients [ 46 , 47 ], attributes were chosen based on those two categories and comprised the type of the tea base, the origin of tea leaves, added ingredients, and the milk brand.…”

“…As for the various brands of milk tea products, the future milk tea market is predicted to bloom and continue to be competitive, and as such, there are various directions in which brands can develop, such as implementing personalized branding [ 45 ]. Taking the marketing strategies of realistic milk tea market into consideration, current brand subsidiaries of famous tea brands and new brands are chosen as the different levels of attribute.…”