Milk tea is actually a very broad term. Now milk tea in a broad sense includes but is not limited to milk tea, grass jelly, milk tea, yogurt drink, cheese drink, fruit tea, milk drink, grass jelly, poplar nectar and so on.

We should not say tea shop, but tea shop.

The tea shop is also a tea shop, and the competition is very fierce.

There may be seven or eight tea shops in a 50-meter commercial street. From Taipei 3~ 10 yuan to Mixue Ice City 5~ 15 yuan, then to Modern China Tea Shop, COCO 15~25 yuan, and then to Xicha and Naixue 20~40 yuan.

Because of the low threshold, different brands, pricing, products and price ranges are very tight. Even under the same positioning, price and product, there are many competitors.

This has led to the tea shop, which may be one of the most powerful industries in the physical business of to C.

We generally say that how to get rid of the problem is nothing more than innovative research and development.

For example, hi-tea, at first, made milk-covered tea and so on, and made an explosion. Going to Suge to make fruit tea has become an explosion in the first two years, as well as milk tea with a beautiful face in the last two years, cheese tea which is particularly popular this year and so on.

Every year, major brands invest a lot of manpower and material resources to develop new products, and our own brand may develop 50 or 60 new products in a quarter.

But in the end, there are only a few models that can really go public, and those that can explode after listing are literally rare.

And this is not the worst, the industry threshold is particularly low, and the formula can't be kept secret. If you develop a new product today, your competitors will be able to reproduce a 99% similar product tomorrow. At the latest, the day after tomorrow, the whole industry will have you.

Therefore, everyone will find that you can't just develop new products in this business, and research and development is not as fast as copying.

According to the investment community, there is no moat. What should we do?

Stacking, stacking, stacking.

Think about whether this is a bit like the PC market. When the core is the same, everyone can only stack materials.