2023-2024 Big Data Research Report on Industrial Operation and Consumption Insights of China's Tea Bag Industry
As the market scale of the teabag industry continues to expand, brands provide consumers with diversified choices by expanding the "online + offline" omni-channel sales system. Data from iiMedia Research shows that with the rise of e-commerce platforms and the popularity of smart phones, more and more consumers choose to buy teabags online, and the online teabags market in China will reach 22.30 billion yuan in 2025. The advantages of convenient tea bags and simple brewing steps have attracted more and more young consumers, and have gradually penetrated into various consumption scenarios. However, in business scenarios such as business hospitality and social gift giving, teabags have not yet become the main choice for consumers.
Core ideas
Market size: China's teabag online market size will reach 22.30 billion yuan in 2025, with the growth rate slowing down.
According to data from iiMedia Research, with the rapid development of the online economy, China's online teabag market size will reach 22.30 billion yuan in 2025. Various brands have expanded their "online + offline" omni-channel sales system. Provide consumers with diversified choices and the market will continue to expand. Tea bag brands such as Cha Yan Yuese and Naixue's Tea are developing rapidly, and Chali, Lipton and Chuan Ning brands have obvious advantages.
User survey: Over 50% of users drink tea bags in a portable way, making tea bags the first choice for users in daily life.
According to data from iiMedia Research, more than 50% of users said that easy brewing and portability are the main reasons for drinking tea bags. In addition, the rich variety and high cost performance are also important reasons for the consumption of tea bags. From the perspective of consumption scenarios, teabags (41.0%) stand out in daily life scenarios, defeating traditional tea (33.0%), coffee (32.3%), milk tea (38.7%) and other beverages, becoming users' preferred choice.
Development trend: The teabag industry is showing the trend of younger users, diversified products, and high-quality packaging.
According to data from iiMedia Research, nearly half of the surveyed users who like teabags are under the age of 30. There is an obvious trend of younger users. In order to cope with this market change, the teabag industry has begun Innovate brands, products, services, etc., reform and expand teabag taste, raw materials, functions, consumption scenarios, packaging and other dimensions to promote the development of the industry in the direction of diversification and quality.
Tea bag definition and characteristics
Tea bag, also known as "tea bag", refers to a tea product that uses black tea, green tea, scented tea, etc. as raw materials, is processed into certain specifications, and is packaged with filterable materials and then brewed and drunk immediately. It is easy to carry and has simple steps for making tea. It is deeply loved by young people in the fast-paced social life.
Demand-side analysis of China's tea bag industry: consumption upgrade
Data show that China's residents' disposable income continues to grow, reaching 36,883 yuan in 2022; from 2013 to 2019, residents' disposable expenditures also increased simultaneously. However, affected by the epidemic in 2020, residents' consumer confidence has declined, and consumption expenditures have declined year-on-year compared with 2019. A slight decline. Since 2020, the growth trend has resumed, reaching 24,538 yuan in 2022. iiMedia Consulting analysts believe that benefiting from the growth of the national economy, China's residents' income and expenditures have generally shown an upward trend, promoting the upgrading of residents' consumption. Tea bags with exquisite packaging, rich varieties and functions are ushering in a broad blue ocean.
China's tea bag industry chain map
At present, China's teabags have basically formed a complete industrial chain, including upstream tea planting and picking, midstream product research and development and processing, downstream product sales, etc., and ultimately reach end consumers.
Midstream industry: Number of teabag companies in China
iiMedia Research (iiMedia Research) data shows that the number of tea bag companies in China increased slowly from 2014 to 2023, with a small peak in the number of companies in 2017, and the number of domestic tea bag production companies increased rapidly. As of June 2023, there are 1,939 existing teabag companies in China. iiMedia Consulting analysts believe that the penetration rate of teabags in China is still low, and there is a lack of big brands in the strict sense on the market. This is a reason to attract start-ups to enter, and it is also an important reason why capital is hesitant and has a wait-and-see attitude. . Only under the influence and drive of industry benchmark companies will the pace of entry of teabag industry companies will accelerate.
Downstream industry: China's teabag online market size
According to data from iiMedia Research, the online market size of teabags will reach 18.03 billion yuan in 2022, and is expected to reach 22.30 billion yuan in 2025. With the rapid development of the online economy, many teabag merchants have poured into the e-commerce field, using new formats such as live streaming e-commerce to drive sales. iiMedia Consulting analysts believe that the growth rate of China's teabag online market is significantly higher than that of traditional tea. On the one hand, this is because the online market size of teabags is small, and on the other hand, because teabag products are targeted at young consumers. Most of these groups are primitive residents of the Internet and are more receptive to portable teabags that are easy to brew. Teabag merchants can cater to the preferences of young consumers in terms of online marketing, product packaging, copywriting, etc.
Analysis of consumer preferences in China's tea bag industry
According to data from iiMedia Research, the most popular tea bags among Chinese consumers are original tea that is closer to traditional tea drinks and functional tea that has certain functions, with preference levels of 70.6% and 55.1% respectively; herbal tea The consumer demand reached 53.9%; hybrid tea and grain tea, as emerging tea bag categories, have relatively low recognition among consumers. iiMedia Consulting analysts believe that blended tea is a product that upgrades the taste of traditional tea. It requires a period of exploration to make the product taste more consistent with consumers' preferences, thereby increasing consumer recognition.
Case Study on Enterprise Competition in Tea Bag Industry: Chali (Company Introduction)
CHALI was founded in August 2013 and is headquartered in Guangzhou. CHALI is a high-end tea brand in China and a professional tea service provider. Its core product is original leaf triangular teabags. Through omni-channel marketing, CHALI tea has 137 high-quality tea garden suppliers and 1 tea science research laboratory. It also has more than 10 million fans and daily sales of more than 800,000 tea bags, and has formed good brand recognition and influence. , becoming a new retail benchmark in China's tea industry.
Case Study on Enterprise Competition in Tea Bag Industry: Lipton (Product Introduction)
With product iteration and diversified business development, it operates a variety of tea categories such as tea bags, tea powder, milk tea, canned loose tea, etc. in the Chinese market. Currently, it has launched more than 200 products. In 2022, Lipton launched a series of new products covering canned loose tea, cold brew tea and instant freeze-dried fruit tea. In its core tea bag business, Lipton continues to innovate to cater to current tea needs. Instant freeze-dried fruit tea is in line with the "instant" needs of contemporary young consumers, while cold brew tea satisfies the needs of young consumers. Due to personalized needs, the product became the leader in Tmall's cold brew tea category within 6 weeks of its launch.
Case Study on Enterprise Competition in Tea Bag Industry: Chuan Ning (Business Situation and Public Opinion)
According to data from iiMedia Research, Chuanning's online reputation value is 61.7, which is positive. The Twinings brand is positioned as a high-end Western-style tea in the UK. Twinings seizes the consumption trend of green tea and herbal tea among British consumers. Through product youth innovation, it launches cold brew tea and functional tea drinks, leading the new trend of new tea drinks in the UK. In 2018, it ranked first in sales of British tea brands for the first time.
Analysis of development trends of China's tea bag industry: younger users
Data from iiMedia Research shows that among the surveyed users who like to drink teabags, they are mainly female users, and 45.2% of the respondents are under the age of 30, of which 40.8% consume it once a day. For teabags, more than 60% of users said that the frequency of consumption will increase in the future, and young user groups have gradually become an important consumption force for teabags. iiMedia Consulting analysts believe that with the rise of the new generation of consumer power, the trend of younger teabag users has become inevitable, prompting teabag merchants to innovate brands, products, and services to cope with market changes.
