
A tea beverage brand that sells through franchised stores and makes drinks free of trans fatty acids.
Who does it compete with for the same buyer, and how do they differ?
Shuyi Xiancao trails Guming and CHAGEE in store coverage across China's new-style tea market, operating approximately 5,200 stores in 2026 after exceeding 7,000 in 2021 and covering more than 90% of second-, third- and fourth-tier cities nationwide. Guming closed 2025 with 13,554 stores, a 36.7% increase from a year earlier, and reached 14,351 locations by June 2026. CHAGEE closed 2025 operating 7,453 teahouses globally, split between 7,108 in China and 345 overseas.
Qianzhan put China's operating new-style tea outlets at around 538,000 in 2025, up from roughly 527,000 the prior year. Shuyi Xiancao moved from opening more stores to opening better ones, concentrating on lower-tier markets and per-store profitability. The company's fresh-fruit topping tea is priced at around RMB 10 to 12.
Is its category moving in its favor or against it?
Guming's revenue rose 31.9% year on year in the first half of 2026, leaving it less exposed. China's new-style tea beverage market reached RMB354.72 billion in 2024, up 6.4% and forecast to reach RMB374.93 billion in 2025, a sharp drop from the annualised growth pace of more than 20% over the past two decades. Shuyi Xiancao covers more than 90% of second-, third- and fourth-tier cities nationwide.
More than 130,000 milk tea shops were forced into liquidation in 2025 by weak sales, Canyandata.com reports. Shuyi Xiancao's store count had fallen to 5,153 by November 2024.
What does the product do for its buyer, and how is it delivered?
Shuyishao Xiancao's core product proposition is a milk tea built on a half-cup-of-toppings format that adds grass jelly, red beans, peanuts and raisins, described as healthy new-style tea drinks made from high-quality ingredients and tea-base combinations.
Shuyishao Xiancao operates a chain model that blends company-run outlets with franchised stores. The firm provisions its outlets via over 30 cooperative planting bases, 29 multi-temperature warehouses, 9 fruit warehouses and over 200 cold-chain lines.