Chinese brand you need to know: Mixue Bingcheng
Olivia Plotnick
China Social Media Marketing | Global Women Asia Fellow '23-24 | Founder, wai social
China's new-style tea beverage industry is booming, with the market expected to reach $51.37 billion by 2025.?
Amidst this growth, Mixue Bingcheng stands out as a true industry unicorn. Valued at $8.22 billion with over 20,000 stores, the brand added an impressive 10,000 locations during the 2020-2021 pandemic alone.?
With demand for new-style tea drinks on the rise, Mixue Bingcheng is certainly, a Chinese brand you should know ??
Founded in 1997, Mixue Bingcheng specializes in quick-service iced drinks, milk tea, and soft-serve ice cream.
Price Point:
The brand primarily targets the following audiences:
Young Consumers (16-30) ? Students and young professionals ? Seeking affordable, trendy drinks ? Love new flavors and social media-popular brands
Price-Conscious Urban Dwellers ? Budget-minded, but crave tasty treats ? Appreciate Mixue's value-for-money pricing ? Enjoy convenient urban locations (malls, high streets, schools, transit hubs)
Social Media Enthusiasts ? Drawn to catchy campaigns (theme song, snowman mascot) ? Eager to share Mixue experiences online ? View the brand as a trendy, shareable choice
What makes Mixue’s strategy impressive?
1. Precise Market Positioning and Strategy
Targets young consumers in lower-tier markets and offers ultra-affordable options (most items under $1.4, some as low as $0.4). This is a notable contrasts with competitors' higher pricing ($2.8-4.2).
2. Distinctive Brand Image and IP Development
The brand has cultivated a vibrant, youthful image through unique visual elements, such as store design and product packaging.
3. Innovative Products and Unique Experiences
Mixue Bingcheng continually introduces innovative products like rolled ice cream (冰淇淋卷) and seasonal/regional specials like the? summer mulberry series, "Dark Snow King”.
These unique offerings allow customers to witness the creation process and customize their treats with preferred toppings, enhancing the fun and participatory aspects of the experience.
4. Effective Social Media Engagement and User-Generated Content
Social Media Presence: Mixue Bingcheng excels in utilizing social media platforms like Douyin by maintaining dedicated accounts for the brand and the IP (Snow King), sharing entertaining daily updates that attract followers.?
The brand's official accounts also create short video series, using engaging content to draw user attention and interaction.
Encouraging User Participation: Campaigns like "Share Your Mixue Moment" invite customers to post photos of their store visits, tagging the brand's official account and using specific hashtags.?
5. Diverse Promotions and Membership Programs
Limited-time offers like "Buy One Get One Free" to drive sales and attract new customers. Their membership program, offering exclusive perks, encourages repeat purchases and fosters loyalty. This dual approach balances customer acquisition with retention, boosting overall sales and brand loyalty.
6. Aggressive Regional Expansion and International Strategy
Mixue Bingcheng grew from 1,000 to 20,000+ stores (2014 to present) through "direct operation + franchise" model. They also expanded internationally (Singapore, Malaysia, Indonesia, South Korea, Thailand, Japan) and appropriately adapt to local tastes in global markets.?
Mixue’s Social Media Mix
领英推荐
Xiaohongshu (RED)
Douyin
Key Takeaways for Brands:
?? Precise Product Positioning:
Mixue Bingcheng targets value-conscious consumers in lower-tier cities. Brands should identify specific market segments and tailor products and pricing to match their preferences and purchasing power.
?? Value-for-Money Pricing
The brand's affordable pricing attracts price-sensitive customers. Other tea brands can balance cost, quality, and market competitiveness to appeal to a wider consumer base and increase market share.
?? Strong Brand Identity
Mixue Bingcheng's Snow King mascot and consistent red-and-white store design reinforce its brand image. Creating distinctive brand elements can enhance recall and loyalty among consumers.
?? Multi-Channel Marketing
The brand leverages social media platforms and offline events to boost visibility and engagement. Collaborations with other brands create buzz and attract wider audiences.
?? Continuous Innovation
Regular introduction of new flavors and seasonal drinks keeps customers interested. Brands should prioritize R&D to maintain consumer interest and competitiveness.
?? Efficient Supply Chain
Streamlining supply chain processes helps lower costs and ensure quality. Brands should optimize their operations from sourcing to delivery for improved efficiency.
?? Customer Relationship Focus
Loyalty programs and high-quality customer service enhance satisfaction and trust. Brands should implement data-driven marketing and train staff for excellent in-store experiences.
?? Strategic Offline Expansion
Mixue Bingcheng's gradual expansion from lower to higher-tier cities showcases the importance of strategic market entry and expansion based on brand position and market saturation.
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Miss Olivia's analysis of the Chinese market can be said to be very accurate and rational. Perhaps this is what the Chinese proverb means, "A bystander sees more clearly."??
Complete with a jingle that once heard, you won't stop hearing!