What you need to know
The domestic tea drinks market started to show signs of contraction in 2019, after two years of explosive growth thanks to the emergence of the so-called “new Chinese-style tea drinks”. The annual growth rate in the sales value of the domestic tea drinks market was 11.2% in 2019, valuing the market at RMB 54.5 billion. The double-digit growth was slower than the average rate of 14.8% between 2017 and 2018.
The dipping growth rate combined with the unexpected outbreak of COVID-19 has cast doubts over the long-term growth of the market since consumers’ purchasing power has been largely curbed. Leading players are coming up with alternatives, including selling products at the retail end and ramping up innovation to attract more consumers, to weather the outbreak while smaller brands may not be able to. However, consumers’ preference for mixed ingredients and value for money products gives brands a hint for future development.
Key issues covered in this Report
What’s the broad growth and brand landscape of the market?
What impact has COVID-19 cast on the market and the tea drinkers?
What are consumers’ most preferred and visited brands?
What drives consumers’ purchase and brand choice decisions?
What ingredients and ingredient fusions will potentially win over consumers?
Report scope
Tea houses in this Report are defined as foodservice operators where tea drinks are the primary sales item or the main selling point to attract consumers. A great variety of tea drinks, for example milk tea, fruit tea, pure tea, etc. is included. However, traditional tea houses and morning tea houses are excluded.
