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Tag: tea

  • Chagee faces boycott ahead of Vietnam opening

    Chagee faces boycott ahead of Vietnam opening

    Chinese milk tea brand Chagee is facing criticism for apparently adopting the ‘nine-dash line’ in its digital app while it prepares to launch in Vietnam.

    According to local reports, Vietnamese customers are calling for a boycott of Chagee after learning that the company used a map with the controversial nine-dash line.

    In a photo recently circulated on Vietnamese social media, an account using a Chagee logo as its image responded impolitely to a customer’s statement that they wanted to boycott the company over the line’s adoption, saying: “Chagee does not lack friends as customers”. We cannot ascertain if the responses are genuine or not but has been advised that multiple accounts are pretending to be Chagee to stir controversy and debate.

    Chagee has not officially responded to the incident yet.

    The “nine-dash line” or “U-shaped line” is a boundary line drawn by China on a map to illustrate its sovereignty claim over the majority of the East Sea, considered by Vietnam as a grave violation of its territorial sovereignty.

    The issue seems to cause significant damage to Chagee’s image and reputation. Le Minh Vu, managing partner at FnB Academy, told Vietnamese newspaper Tuoi Tre (Youth) that “Chagee should withdraw from the Vietnamese market due to issues unrelated to products or services – things that can be fixed and corrected”.

    Chagee was founded in 2017 in Shanghai, China, and has since expanded rapidly throughout Southeast Asia, with more than 5000 locations.

    The brand intends to open its first store in Vietnam, with a prime position in Ho Chi Minh City’s CBD in District 1.

  • Tealive set to expand into Thailand, India

    Tealive set to expand into Thailand, India

    Malaysian bubble tea chain Tealive is expanding its presence in Asia with exclusive franchise arrangements entered into for India and Thailand.

    Tealive, which launched successfully in the UAE last year, has signed a master franchise agreement with Indian QSR operator Devyani International Limited (DIL) to expand into India.

    DIL is India’s largest Yum! Brands franchisee, running KFC and Pizza Hut locations, as well as the country’s official Costa Coffee operator. DIL operates around 2000 stores in India, Thailand, Nigeria, and Nepal under several brands.

    “Partnering with a strong local operator like DIL gives us the ability to adapt and thrive in India while also extending the Tealive lifestyle to millions of new consumers,” said Loob Holding founder and CEO Bryan Loo.

    Loo also stated that Tealive is planning a “significant presence” in India, beginning with outlets in major cities this year.

    Tealive also intends to expand into Thailand with the local partner RD Group – the Thai KFC franchise holder.

    “We’re thrilled to kick off Tealive’s expansion in Thailand, just like we did in Malaysia,” Loo wrote in his LinkedIn post.

  • Milk tea chain Chagee sparks outcry in Malaysia over alleged lucky draw tampering

    Milk tea chain Chagee sparks outcry in Malaysia over alleged lucky draw tampering

    Chinese milk tea chain Chagee has sparked anger among many Malaysian internet users by demanding them to remove videos allegedly showing their employees tampering with a lucky draw.

    The chain last week attracted large crowds at its over 100 outlets in Malaysia by offering luxury prizes such as handbags from Louis Vuitton and Gucci and Apple smartphones.

    Customers were required to find coupons hidden inside Chagee cups to determine if they had won.

    But on Monday an online video went viral, showing a staff member going through the empty cups and putting aside the ones with the top prizes, according to the South China Morning Post.

    People alleged that the staff’s action indicated that the lucky draw was rigged.

    Chagee responded by telling social media users to remove the video “immediately”, which further fueled public outrage.

    “Chagee asked delete the video or else I will be cited for legal action,” X user Naquib said in a post seen by almost 6 million people.

    The chain’s Malaysia social media page was seen with hundreds of comments, with some calling to boycott the brand, same as they had done earlier with other U.S. chains such as Starbucks or McDonald’s for believing that they were connected to Israel in the Middle East conflict.

    Facing backlash, the milk tea chain decided to apologize to defuse the tension, saying that it “deeply regret any negative experience” over the incident.

    It said the behavior shown did not reflect the standards that the brand holds itself to. “We are currently conducting a detailed investigation to better understand the situation and, if necessary, will take appropriate action in line with our values,” Chagee said in a statement.

    It changed the lucky draw mechanism to using QR codes instead of physical coupons.

    Established in Yunnan, China, in 2017, Chagee has experienced rapid growth in Malaysia, thriving despite stiff competition from Taiwanese brands like Chatime, Gong Cha, and local favorite Tealive.

  • Chinese tea chain To Teapresso to expand overseas

    Chinese tea chain To Teapresso to expand overseas

    Chinese tea chain To Teapresso has opened its first store in Tsim Sha Tsui, Hong Kong. This launch is part of the company’s efforts to strengthen its global presence and expand into international markets.

    The brand is known for combining Chinese tea with extraction techniques, creating a “Chinese Tea Latte” by blending the extracted tea with fresh milk. It currently operates 20 stores on the Mainland.

    Teo Lv, founder and CEO of To Teapresso, said overseas expansion has always been part of the company’s plan since its launch.

    “Hong Kong is an international trade hub, offering advantages and more opportunities for our business operations,” said Lv.

    “The city’s unique blend of Eastern and Western cultures aligns well with To Teapresso’s brand essence, making Hong Kong our top choice for launching our overseas business.”

    He added that the company plans to open more stores in Southeast Asia, Japan, Korea, and Australia within the next 18 months.

    “The Hong Kong office currently focuses on international business in the Asia-Pacific region, including our expansion and operation in Hong Kong and Macau,” Lv concluded.

  • Chinese tea chain Baicha Baidao shares slump in Hong Kong trading debut

    Chinese tea chain Baicha Baidao shares slump in Hong Kong trading debut

    Shares in Chinese tea shop chain Sichuan Baicha Baidao Industrial fell more than 20 percent on Tuesday in its Hong Kong trading debut following a $330 million initial public offering (IPO).

    The shares were sold at US$2.23 each in the IPO, which is the largest in Hong Kong so far in 2024.

    Baicha Baidao shares opened down 10.1 percent and fell by as much as nearly 23 percent to $1.72 each in early trade.

    The shares had been offered to investors at a fixed price of $2.23 rather than in a range that would have given the underwriters the ability to set a final price after gauging demand.

    Baicha Baidao’s IPO attracted tepid interest from investors.

    According to the company’s regulatory filings, Hong Kong retail investors did not take up the full amount of shares offered.

    The retail tranche was only 0.5 times covered, which mean 7.44 million shares were reallocated to institutional investors.

    The institutional tranche was covered 1.1 times, which is considered weak, especially compared to Hong Kong’s IPO boom times in 2020 and 2021 when deals were covered hundreds of times.

  • Chinese tea chain Heytea expands into the US

    Chinese tea chain Heytea expands into the US

    Chinese tea company Heytea has launched its first store in the US – in the heart of Broadway, New York, – as it continues its rapid international expansion, including into Malaysia, Australia, Canada, and London.

    The brand marked its US debut with a Times Square billboard and chose a location just a 10-minute walk from major New York landmarks.

    Heytea described its US entry as a success after selling 2500 cups at Broadway on opening day.

    “As the initial entry point for Heytea into the US market, New York City holds extraordinary significance for the growth of our brand,” said Yujia Gu, VP of strategy at Heytea.

    “By providing high-quality products and services, we aspire to deliver a joyful brand experience to consumers in NYC and beyond, contributing to the ongoing development of the US tea industry,” he said.

    By expressing their experiences on ‘Teaholics shared photos of the store on social media channels including TikTok and Instagram.

    Gu said the brand plans to keep expanding the tea market in the US.

    Established in 2012 and based in Jiangbianli, Guangdong, Heytea has 3000 stores worldwide.

  • Chinese bubble tea chain Heytea arrives in Malaysia

    Chinese bubble tea chain Heytea arrives in Malaysia

    Chinese tea brand Heytea has opened its first store at Kuala Lumpur’s newly-opened shopping destination, The Exchange TRX, as part of Heytea’s ambition to have a larger footprint in the country.

    The new store takes over an 80sqm space of the shopping mall’s Level C.

    The Malaysia launch, which the company described as its “important business destination in Southeast Asia,” follows Heytea’s entry into the UK on London’s Shaftesbury Avenue earlier this year. Malaysia also marks Heytea’s second Southeast Asian market after Singapore, where it entered in 2018.

    The company is also plotting its US debut, with the first store scheduled to open in Manhattan this month.

    Heytea is among the major retailers making market debuts at The Exchange TRX, including Japan’s Seibu department store, Gentle Monster, Shake Shack, and Drunk Elephant.

    Founded in 2012, the Shenzhen-headquartered tea chain is known for modern interior design and “new-generation Chinese tea drinks.”

  • Vietnam pho, milk tea franchised for first time in Philippines

    Vietnam pho, milk tea franchised for first time in Philippines

    The famous noodles dish pho has been franchised for the first time in the Philippines along with milk tea and spa services by three Vietnam’s companies.

    Pho’S, Phuc Tea and Care With Love have signed franchise contracts with Philippine businesses through the ecosystem of Go Global Holdings, a company that helps small and medium-sized businesses become franchisers, its CEO, Nguyen Tuan Quynh, said Thursday.

    Many foreign brands have been rushing into Vietnam to franchise their products and services in recent years, but there have been few such efforts in the reverse direction, and even fewer have succeeded, he said.

    “These franchise contracts are therefore positive signs for Vietnamese firms.”

    Tran Thao Vi, founder of spa service provider Care With Love, told VnExpress that a franchise deal has been signed with a Philippine partner specializing in medical services.

    “In two months we will launch our first franchise in the Philippines and open another three in the first quarter next year, and eventually have dozens of spas in the country.”

    Care With Love has been operating for 11 years with 13 branches. It plans to increase the number to 20 by the end of this year, 80% of them franchises.

    Tran Nhat Vu, co-founder of beverage chain Phuc Tea, which has 140 stores in Vietnam after six years since opening, said the franchise partner would open around 20 stores in the Philippine capital Manila next year.

    The franchise fee for each Pho’S and Phuc Tea store is US$7,000-10,000.

    The three companies said the Philippines partners were interested because their business models are “unique” with their focus on middle-class customers.

    Pho’S is the first major company to use ginseng in its recipe, while Phuc Tea has been making new beverages from unusual ingredients.

    The three companies are also in talks for franchising in Indonesia and Malaysia.

    Vietnamese companies to launch franchises overseas so far are footwear and leather company T&T, Pho 24 and Vu Giang Jsc under the brand Bobby Brewers coffee chain.

  • Chupa Chups x Chatime launch lolly-inspired boba drinks

    Chupa Chups x Chatime launch lolly-inspired boba drinks

    Chupa Chups has partnered with boba franchise Chatime to launch drinks based on the lolly brand’s best-selling flavors: Grape and Strawberry & Cream.

    Dubbed “The Tea That Pops”, the lolly-based boba beverages are available in Chatime T-breweries nationwide from September 19 until October 31.

    “It’s not just a drink; it’s a whole vibe!” expressed Marta Ballesteros, global licensing manager for Perfetti Van Melle, the parent company of Chupa Chups.

    “I hope our Australian fans are all set to dive into a world of forever fun flavor and will give the sweetest launch of the season a go!”

    The Grape Chupa Tea is a green tea base with grape jellies to add an “extra pop”, while the Strawberries & Cream Chupa Tea is a milky tea with a strawberry-vanilla flavor and a dollop of creamy mousse.

    According to Gabi Bishop, senior brand manager at Chatime, the collaboration aims to demonstrate the company’s commitment to innovation.

    “Our exciting partnership with Chupa Chups not only introduces a delicious new range of limited-edition teas to our customers but also energizes our vibrant breweries with a fun and playful campaign,” concluded Bishop.

    “We can’t wait to share it with our industry peers and tea enthusiasts!”

    The Grape Chupa Tea is priced at $7.50 for a regular size and $8.35 for a large, while the Strawberries & Cream Chupa Tea is available for $8.10 for a regular and $8.95 for a large.

    Asembl, a leading brand extension agency representing Perfetti Van Melle, brokered the partnership.

  • The Berry Tea Shop launches equity crowdfunding to scale business

    The Berry Tea Shop launches equity crowdfunding to scale business

    Craft tea retailer The Berry Tea Shop has launched an equity crowdfunding campaign via Birchal as it seeks to scale the business and expand its product portfolio.

    The money raised will be used primarily to secure a new warehouse, venture into wholesale, scale marketing efforts, and introduce new products – including developing a ready-to-drink range.

    Founded in 2010 by Cliff and Paulina Collier, The Berry Tea Shop offers a selection of more than 48 varieties of loose-leaf tea, tea wares and accessories and includes a cafe.

    The company reported a revenue of $1.3 million last year, and online sales growth of 60 per cent yearly from 2019 to 2022.

    At the same time, its retail space grew 20 per cent in the same period.

    “We see the same potential in tea that was once seen in craft beer and specialty coffee,” said Paulina.

    “This equity crowdfunding campaign is a stepping stone to turn tea into the next big craft beverage movement.”

  • Dilmah launches luxury artisanal tea range across Coles stores

    Dilmah launches luxury artisanal tea range across Coles stores

    Sri Lanka’s tea brand Dilmah has launched its luxury artisanal tea collection across 650 Coles supermarkets nationally.

    Dubbed ‘85 Reserve’ – the luxury tea range is sold in tin caddies each consisting of 20 large tea bags.

    It comes with six flavours and herbal infusions, namely Peppermint & Cinnamon, Ceylon Spice Chai, Lychee & Vanilla, Ear Grey & Vanilla, Ceylon Green Tea with Mint, and Royal Ceylon Breakfast – the last three will be available in Coles.

    Dilmah chairman Dilhan C. Fernando said Australians are “among the first in the world” to enjoy the range.

    “In the past six months, we have seen a nearly 60 per cent increase in luxury tea sales on the Dilmah Australia e-commerce website, and we are thrilled to offer the retail shopper this same luxury experience.”

    The full range can be bought online on the Dilmah Website.

  • Dilmah Tea founder passes away

    Dilmah Tea founder passes away

    The founder of popular Sri Lankan tea company Dilmah has died at the age of 93.

    Merrill J Fernando was surrounded by his sons and grandchildren when he passed away on Thursday in Colombo, Sri Lanka.

    He known for his iconic ‘do try it’ slogan.

    The tea company announced Mr Fernando’s death saying his ‘greatness was in his invincible faith, his integrity and love for tea & family’.

    ‘With devotion and urgency he pursued his desire for integrity and quality with humility and kindness,’ the company said.

  • Milk tea on flights fetches Noibai Catering Services rising revenues

    Milk tea on flights fetches Noibai Catering Services rising revenues

    Airline catering company Noibai Catering Services earned revenues of nearly VND22 billion ($936,947) from selling milk tea last year, over 63% of it from sales aboard flights.

    According to its annual report, the company put milk tea on flight menus in July 2022.

    NCS’s milk tea is available on Vietnam Airlines flights at VND50,000 a cup and also on other flights through other airline catering companies such as VACS and MASCO.

    The company’s losing streak due to Covid-19 snapped in 2022, when it made profits before tax of VND5 billion on revenues of VND410 billion, three times the 2021 figure and 60% of the pre-pandemic revenues.

    It had suffered losses of VND38 billion and VND77 billion in the previous two years.

    In 2023 it has continued to recover strongly, with first-quarter revenues rising 2.5 times year-on-year to VND150 billion in.

    Its profit was VND10.5 billion.

    NCS said the aviation market has recovered completely, causing its own revenues and profits to soar.

  • Chinese tea chain Mixue opens its first Australia outlet

    Chinese tea chain Mixue opens its first Australia outlet

    Chinese tea chain Mixue has launched in Australia, opening its first store in Sydney’s World Square shopping centre.

    Two more locations are imminent in Brisbane and Melbourne.

    The Sydney store features floor-to-ceiling windows spanning an entire wall and red steel frames.

    A marketing campaign by Mixue offering “1000 Sydney students to have a drink for free” was launched for the brand’s Sydney launch. Mixue said that although the pricing will be different to that in its home market, the quality will not change.

    Founded by Zhang Hongchao in 1997, Mixue Ice Cream and Tea opened its first overseas store in Vietnam in 2018 and currently has 600 stores in 11 Asian countries and 21,000 stores in China.

    With several milk tea companies expanding into the market during the past two years, Australia is a promising destination for the sector.

    Global milk tea giant Gong Cha last year said it planned to add 17 new stores to its existing 118 locations in Australia and both Gotcha and Chatime recently said they planned to prioritise the market.

  • Chinese tea chain Mixue expands into South Korea and Japan

    Chinese tea chain Mixue expands into South Korea and Japan

    Mixue, a Chinese tea-based beverages brand that is set to list on the main board of the Shenzhen Stock Exchange, has recently entered the South Korean and Japanese markets.

    In the beginning of November, an account named “MIXUE.Japa” became active on Xiaohongshu, a lifestyle-sharing Chinese social media platform, where it released a brief opening notice and site selection of its first store in Japan. The location is Omotesandō, Tokyo, a business district as popular as Harajuku and Shibuya, focusing on high-end fashion and creative clothing.

    According to Chinese web users living in Omotesandō, this high-end location isn’t concentrated with Chinese people, and it seems to be inconsistent with the low-cost style of Mixue. However, MIXUE.Japan quickly said in the comment area that besides Tokyo, it will expand to Kyoto and other places in the future.

    The first store in South Korea of Mixue officially opened at the end of October. It is located near Chung-Ang University, where local students and Chinese students often gather. In the first three days of opening, attracted by free ice cream, the store was crowded with customers.

    Many Chinese students posted pictures of products from the store on social media. The types of drinks are basically the same as those in China, but the prices are slightly higher. Lemonade is around 8 yuan ($1.14), which is similar to the price of a bottle of water in Korea, and the most expensive drink costs less than 16 yuan. The store was opened by Chinese people, and most of the employees in the store are also Chinese, so ordering in Mandarin is possible.

    Another Chinese milk tea brand called Gongcha has opened over 700 stores in South Korea, with a price range between 23 yuan and 42 yuan. Other milk tea brands, such as COCO, Tiger Sugar and Guming, have also expanded their stores to South Korea, and their product prices are much higher than those in China.

    Entering the Japanese and South Korean markets for the first time, Mixue has experienced imperfections in its operations. Due to the long journey to purchase raw materials from China and inconvenient logistics, Mixue was often out of stock after opening, and a large number of packages in the stores are still in Chinese. MIXUE.Japan’s short promotional video was also criticized by social media users because the translation was not in place.

    Established in 1997, Mixue opened its first overseas store in Hanoi, Vietnam in 2018. By the end of March, 2022, Mixue had opened 249 stores in the country, with a total revenue of 9,290,400 yuan and a net profit of -322,000 yuan. The brand runs 317 stores in Indonesia, with an operating income of 25.4108 million yuan and a net profit of 2,235,500 yuan.