There have been too many news of price increases recently. Under the pressure of rising raw materials, tea brands such as tea Yan Yuese, tea Baidao and coco have increased the price of drinks to varying degrees.
However, just recently, Xi tea went against the wind and lowered the prices of some products by about 1 to 5 yuan. This reverse operation triggered a heated discussion among netizens
hi tea responded to the price reduction
Recently, many users said on the little red book platform that many products of hi tea brand have been reduced in price, such as Zhizhi Mangmang and Zhizhi berry from 32 yuan to 29 yuan, pure meat grape from 32 yuan to 29 yuan, pure green Yan from 13 yuan to 9 yuan, cheese single point reduced by 1 yuan, etc.
Many netizens on the microblog also found the price reduction of happy tea and said they would hurry to "collect wool".
According to the interface news report, Xi tea responded that it did adjust the prices of some products. Among them, the price of pure tea is reduced by 3-5 yuan, the price of 5 fruits is reduced by 2-3 yuan, and the price of cheese is reduced by 1 yuan.
Xi tea said that thanks to the brand potential, scale advantages and accumulated area in the supply chain, the selling prices of some products have been adjusted without changing the product formula, materials and quality. In addition, Xi tea said that its mainstream product price band has been maintained between 19-29 yuan for a long time, which is not the so-called high price tea. This price adjustment is the normal adjustment action of Xi tea in its own mainstream price band.
It is understood that in 2020, Xi tea raised the prices of five drinks due to cost reasons, ranging from 1-2 yuan
the prices of tea Yan Yuese and Xiangpiaopiao Food Co.Ltd(603711) have increased
Under the trend of the general rise of the tea industry, the price reduction measures of happy tea have also been strategically adjusted by the industry.
Since last year, tea Baidao, coco, Yidian and other milk tea brands have announced price increases, with a price increase range of about 1-2 yuan.
On January 5 this year, tea Yan Yuese announced that most milk tea products of the brand increased by 1 to 2 yuan. Tea Yan Yuese said that the reason for the price rise is that the raw materials and other costs in the market are rising year by year, and the dividends accumulated before can not bear a series of superimposed costs.
Previously, on January 4, the cup milk tea brand Xiangpiaopiao Food Co.Ltd(603711) also announced a price increase. The price increase of its main products ranged from 2% to 8%. The reason for the price increase given by the company is also the continuous rise in the costs of raw materials, labor, transportation and energy.
Xi tea's price reduction at this time is seen as trying to retain more price sensitive consumers. However, it is worth noting that although Xicha chose to reduce the price in this reverse operation, as a high-end product brand, its product price is still higher than that of some middle and low-end brands.
However, Xi tea has not given up the medium and low-end field. Its Xi Xiaocha is a sub brand milk tea shop launched for the medium and low-end market, aiming to broaden consumer groups. It is understood that the price of its products is about 6 to 16 yuan, mainly in the buy and go mode and takeout business. In addition, Xi tea has also launched bottled drinks. In addition to Xi tea's online tmall flagship store, offline store and online applet, Xi tea has also entered convenience store and supermarket channels
complete five rounds of financing
the latest valuation is as high as 60 billion yuan
According to public information, heytea originated from an alley called Jiangbian Li in Jiangmen, Guangdong Province, formerly known as Huangcha royaltea, which was fully upgraded to the brand heytea soon. It is subordinate to Shenzhen Meixi Catering Management Co., Ltd. In terms of market share, in 2020, Xi tea ranked first in the national high-end ready-made tea market share of 27.7%. Naixue's tea ranks second with a share of 17.7%.
Tianyan check shows that up to now, Xicha has completed five rounds of financing. Investors include Hillhouse capital, Tencent investment, Sequoia Capital, black ant, Temasek, l catterton and nikchu capital.
In July last year, after Xi tea announced the completion of US $500 million financing, the valuation also reached an unprecedented 60 billion yuan, setting a new financing valuation record for China's new tea.
Compared with the listed Naixue tea, the market value was only HK $12.6 billion as of the closing on January 10.
However, despite the first market share and being sought after by capital, the listing time of Xi tea has been unknown. Although there were repeated news of listing, they were officially denied.
(source: China Fund News)
