It's hard to have Starbucks in China's tea industry.

Original title: China's tea industry is difficult to have "Starbucks
by the capital of the day's happy tea can fire for how long?
why can't a 5,000-year-old tea culture be born of a world-renowned brand like Starbucks? This problem has been bothering the tea industry, "happy tea" seems to provide another way of thinking from the perspective of the younger tea, fashion and so on. The industry is also waiting to see, this by the network red set fire to the brand life cycle is how long? How long can the magpies catch fire after the freshness fades? The tea industry was born a Starbucks company is not an easy thing to do, not only products, services, but also supply chain and management.
That's a brand new business model
a few years ago the tea market was at a consumer break, with Chinese teahouses seen as exclusive markets for middle-aged and elderly and tea shops that had not yet been upgraded. However, the sudden wave of consumer upgrading and vigorous social demand, accelerated the upgrading of tea shops, product iterations, consumption iterations, end store iterations parallel, jointly opened a Chinese chain of tea a new business model.
At present, the "new Chinese tea" brand expansion layout has three: one is the "small grass root growth" of the tea model, the tea from the third-tier city stall shop, in the process of brand upgrading, and constantly enhance the experience, its store environment The style and atmosphere are matched by Starbucks; the second is the "strong resource-built" tea model, the JD.com and McDonald's background tea is created by the taste tea; and the third is cross-border creation of catering enterprises, such as feeding its . After launching an innovative brand in 2016 that brings together the two elements of hot pot and tea "Consumers are tired of shopping malls and need a place to drink and rest, and there are very few such places at the moment, just Starbucks and COSTA. But the atmosphere of these coffee shops is business-friendly, so we think there will be a chain of tea shops in the future to fill this gap in the market. Zhang , CEO of The People's Bank of China, said.
outbreak of tea has boosted the size of the tea market. According to CITIC Securities, the potential market size of China's new Chinese tea is between 40 billion yuan and 50 billion yuan, while the global tea market is more than 90 billion U.S. dollars.
is it to go head-to-head with Starbucks?
about the returns of tea shops, some people said that the "new Chinese tea" investment return is very high, the return is comparable to speculation. "Take a tea brand as an example, a boutique, 300 people per day / day, the per capita amount of 20 yuan, net of store rent, labor wages, raw material costs, utilities and other expenses, the average annual profit of up to 1.6 million yuan. And more level of standard stores, flagship stores more profit. However, this statement has been refuted by Yu Yunxuan, Who said that the profit margin of hi-tea is not high, "because of raw materials and other costs, this piece can not be compressed." Despite
the tea industry's online red shops, but after the explosive growth of the online red shops need to face a test of stability and sustainability. With The Magpies involved in hiring the yellow cattle queue to question the sound of the net red pastry "Master Bao" is facing such a bottleneck - after the hot queue, now Master Bao shop crowd has been much smaller.
To start the low capital, entry threshold is not high tea industry, imitators are equally surging, but the tide is also coming rapidly, an industry insider told the Beijing Morning Post reporter, two years ago swept south China's Gong tea, panda milk cover and other brands soon fell silent, "to become a net red is an easy thing, but can live long and not easy." Mr
said there were hundreds of cottage shops at their peak, and now most of them have disappeared, "most of which are modelled on form".
" net red food easy to form quickly, in the tea industry is easy to imitate, how to maintain continuous product innovation, has been a very difficult subject. "A venture capital industry insider pointed out that capital in the tea drink, will promote the development of the tea industry upstream and downstream industry, tea garden of origin and standardized tea machine are the beneficiaries.
It's easy to get online and live long
Despite the rapid expansion of the tea brand's stores, the expansion plans of the tea brands that have now received investment are growing in double numbers, and none of these brands are targeting Starbucks. But on the way to becoming the Chinese version of Starbucks, there are not many hurdles for these companies to overcome.
tea industry has entered the era of high threshold from extensive operation. Brand culture, end store image, price system, marketing strategy, supervision and control and subversion of product homogenization of product innovation, etc. are testing the growth of a new brand. Without a certain capacity for resource integration, new brands are difficult to grow.
"Why Starbucks?" Our goal is to make Chinese tea. Unlike Starbucks' environment, the space design for hi-tea is entirely Chinese. But he also believes Starbucks' training and management of its supply chain and employees is worth learning.the source of
" quality control lies in raw materials, so controlling upstream also helps to ensure standardized product quality, " Yan Yunxuan told the Beijing Morning Post, in the process of rapid expansion of stores, tea raw materials will increase dramatically, control upstream helps to ensure large-scale bargaining capacity. For the tea industry with lower barriers to entry, tea formulation ideas are relatively easy to plagiarize and copy, but the supply chain link in a short period of time is relatively difficult to be imitated and surpassed, which is also an important reason for the current tea brand to intervene in the upper reaches of the tea industry chain.
"young people are not short of entrepreneurial ideas and innovative concepts, lack of managers' experience, these need to be accumulated over time." zhang Zhenwei, CEO of , told the Beijing Morning Post that opening 100 stores is a test of management ability, management can not keep up with the big problem, "after re-grooming and integration, the real capable brand will surface."
in Zhang Zhenwei's view, trend, subversion, need to meet two conditions: first, the redefinition of the consumer scene, and second, consumption upgrade, both concepts must have. The future is bound to be a Starbucks brand, but the process is bound to be long.
close-up
Starbucks has long been making tea exploration
Starbucks has actually targeted the huge market for tea early.
, chief executive of Starbucks, has said there is $90bn potential in the tea market and that making tea is a "once-in-a-lifetime opportunity" and wants to turn the bar into a coffee shop chain. However, Starbucks' tea business has not made much difference compared to its dominance of the coffee sector.
as early as 1999, Starbucks bought Teshu Tea Tazo for $8.1 million, and in November 2012, Starbucks bought Teavana, a NYSE-listed tea retailer, for $620 million. "For office workers who need a cup of coffee every day to get a good job, I'm not worried about the impact of tea, but for the average consumer, you need to give them more options." Starbucks has high hopes for the tea market. Starbucks has opened independent tea shops for two brands in Seattle and Manhattan, and wants the bar to be as success as a coffee shop, with Teavana even opening five stores at one point. Unfortunately, both were later announced as compromises, retaining only one experimental store in Teavana.
, Starbucks has never given up its ambition and exploration of tea. In October 2016, Starbucks officially launched its tea brand, Teavana, into its Chinese stores, and placed its existing tea products under the brand's banner. Teawana in the Chinese market is a localization route, the series supports black tea, green tea, oolong tea, herbal tea bottom exchange, can be paired with different flavors of special ice shake tea.
While Starbucks still uses its best fashion line to package traditional Chinese tea in an attempt to further woo young people, Teavana has not been a success in the Chinese market, and teavana is essentially an accessory to coffee products.
Starbucks is still trying, and recently, starbucks bottled drinks quietly added two new flavors - black tea star ice music and matcha star ice music, these two just-listed new products, is the first time in China to extend coffee drinks to the field of tea drinks, in taste is specifically for Chinese consumers to develop.
as Chinese tea brands aspire to become Starbucks in the tea world, Starbucks is also looking for a way to break through. (Chen Qiong)