Hi tea’s growth rate has always been staggering. In 2017, there were only more than 80 Xichamen stores, and in 2019 it has expanded to 390. At the beginning of this year, do you know how many Xihai Tea announced the opening plan? 800. Startled, where did the courage come from? Liang Jingru?
An operation is as fierce as its valuation. Xicha is the only head brand that received large amounts of new financing last year, with a post-investment valuation of 9 billion yuan. In March of this year, it made another sum of money, and the valuation has greatly increased from 9 billion to 16 billion yuan, which has soared nearly 8 times.
Looking at this skyrocketing posture, it is far from being as simple as a celebrity brand.
From my professional financial perspective, this matter mainly depends on the speed of the Hi tea brand’s own iteration, as well as the market space.
Here is a general introduction to the experience. Because it is a bit abstract, I will first give an example of a star industry. What do you think of the main route to becoming a star in the past?
Okay, let me publish the answer. 1. Read regular film and television majors. 2. Run the dragon set, boil like Zhou Xingchi, wait. 3. Run into scouts.
Either way, it takes a very long period.
But today, important new routes have been added: variety show and Internet fan cultivation. For example, the “Creation Camp 2020” you recently watched is a typical star-making program. This completely changed the original path of fame. To a certain extent, star making has become a larger industry.
The same is true for the tea industry. Because Hi Tea first developed high-quality milk caps and a wide range of raw leaf tea, the entire industry is currently being forced to raise the level of raw materials.
After the batch of new teas such as Xixi and Naixue’s tea came out, the whole industry began to plagiarize and copy the explosive milk tea on a large scale, so the pricing of raw materials was standardized and the tea beverage industry chain began to mature.
In the past, the expansion of milk tea shops mainly provided only “goods” or re-authorized a brand logo.
What did Xicha do before the massive expansion in 2017? They built a digital supply chain system from raw materials, transportation and production. When the store expands, it outputs “goods + brand + digital supply chain + operation”. As a pioneer, Xicha upgraded the traditional franchise model of the tea industry.
Let ’s calculate how much the tea industry has grown in recent years. The result was quite surprising. The total scale of the current tea beverage market is almost 400 billion yuan, but in 2017, CITIC Securities data indicated that the market size of new Chinese tea beverages is between 40 billion and 500100 million yuan.
In just two years, the market size has increased 10 times. It seems that the future of Hi Tea is still very promising, but how long it can be fired is not sure.
After all, the tea in front of you is no longer just a cup of tea, but the capital behind is playing a game.