Introduction
Mixue Bingcheng, the Chinese bubble tea and ice cream brand, has taken the world by storm, expanding to over 45,000 locations, according to The Wall Street Journal. Once an underdog in a competitive market, Mixue has outpaced global giants with its affordable pricing, viral marketing, and extensive franchising strategy. But how did Mixue build such a massive empire, and what lessons can marketers learn from its success?
This case study explores the marketing, branding, and business strategies that propelled Mixue from a small business to an industry leader.
The Birth of Mixue: Humble Beginnings
Mixue was founded in 1997 in Zhengzhou, China, by Zhang Hongchao, initially as a small shaved ice stall. Zhang’s goal was simple: sell quality ice products at low prices. However, the business struggled in its early days due to limited brand recognition and strong competition.
Key Lessons from the Early Days:
- Low-cost, high-volume strategy: Instead of competing on premium pricing like many other bubble tea brands, Mixue focused on affordability.
- Adaptability: Seeing market demand, Zhang pivoted from shaved ice to bubble tea and soft-serve ice cream, capitalizing on consumer trends.
- Franchise model exploration: Instead of opening company-owned stores, Mixue started experimenting with franchise models to scale quickly.
The Pricing Strategy: Affordability as a Competitive Advantage
Mixue’s biggest strength is its ultra-affordable pricing. While competitors like HEYTEA and Nayuki charge between $3 to $6 per drink, Mixue offers bubble tea and soft-serve for as low as $1.
How Mixue Maintains Low Prices:
- Vertical integration: Unlike other chains that source ingredients from third-party suppliers, Mixue owns its own supply chain, including tea farms and ice cream production facilities.
- Economies of scale: With 45,000+ stores, Mixue benefits from large-scale production and distribution, reducing costs per unit.
- Simple menu, high turnover: The brand keeps its menu relatively simple, allowing for fast service and lower operational costs.
Marketing Takeaway:
Affordability can be a strong branding tool. Mixue markets itself as the “bubble tea for the masses”, making it the go-to choice for budget-conscious consumers. This strategy differentiates it from premium competitors, allowing it to dominate the mass market.
Viral Marketing: The Role of Social Media & Brand Personality
Unlike many traditional brands that rely on high-budget ads, Mixue leverages humor, memes, and cultural relevance to create viral campaigns. It has successfully built an organic online presence, particularly on Douyin (China’s TikTok), Weibo, and Xiaohongshu.
Key Viral Marketing Campaigns:
1. The Ice Cream & Snow King Mascot
Mixue introduced a cute snowman mascot called “Snow King”, which became a massive meme on Chinese social media. Fans started creating their own versions, remixing the character into videos, stickers, and animations.
2. Memes & Humorous Ads
Instead of polished celebrity endorsements, Mixue’s marketing embraces self-deprecating humor. For example:
- Ads showing customers fighting over Mixue’s cheap ice cream.
- Parody videos comparing Mixue to expensive brands, emphasizing its affordability.
Marketing Takeaway:
- Embrace UGC (User-Generated Content): Encouraging memes and viral content builds strong brand engagement.
- Relatable & Fun Brand Identity: Consumers are drawn to brands that are authentic and don’t take themselves too seriously.
The Power of Franchising: Scaling Rapidly
Unlike many brands that focus on slow, controlled expansion, Mixue embraced aggressive franchising to scale up rapidly.
How Mixue Attracted Thousands of Franchisees:
- Low Franchise Fees: Mixue’s franchise cost is significantly lower than competitors, making it attractive to first-time business owners.
- Turnkey Store Model: Franchisees receive a fully equipped store setup, reducing barriers to entry.
- Proven Business Model: Mixue supports its franchisees with training, supply chain management, and marketing assistance.
Results:
By 2023, Mixue had over 45,000 stores, making it the largest bubble tea chain in the world by store count.
Marketing Takeaway:
Franchising can be an effective way to scale, but only if you ensure brand consistency, supply chain efficiency, and strong franchisee support.
International Expansion: Bringing Bubble Tea to the World
Mixue isn’t just dominating China—it has expanded aggressively into Southeast Asia, South Korea, and even Australia.
How Mixue Adapts to Foreign Markets:
- Localized Menus: In Vietnam, Mixue offers flavors suited to local tastes.
- Affordability Edge: In foreign markets, Mixue remains cheaper than competitors, attracting budget-conscious consumers.
- Social Media Localization: Mixue tailors its online marketing strategies to different regions, ensuring relevance.
Marketing Takeaway:
Localization is crucial for international success. Brands must adapt their offerings and marketing strategies to fit local consumer preferences.
Competitor Comparison: How Mixue Stacks Up
| Brand | Number of Stores | Price Point | Target Audience | Marketing Strategy |
| Mixue | 45,000+ | $1 – $2 | Mass market | Viral, meme-based |
| HEYTEA | 1,000+ | $4 – $6 | Premium | Luxury branding, influencers |
| Nayuki | 500+ | $4 – $7 | Premium | High-end cafes, aesthetics |
| Gong Cha | 1,800+ | $3 – $5 | Mid-tier | Traditional ads, loyalty programs |
Mixue’s success comes from differentiation through price, brand identity, and viral engagement, rather than competing in the premium bubble tea space.
Key Marketing Lessons from Mixue’s Success
- Price as a Brand Differentiator – Positioning as an affordable brand helped Mixue capture the mass market.
- Franchising as a Growth Tool – Rapid expansion through affordable franchising created thousands of stores worldwide.
- Viral, Fun Marketing – Social media and meme-based marketing helped Mixue become a cultural phenomenon.
- Localized Expansion – Understanding and adapting to international markets fueled global growth.
- Strong Supply Chain Control – Owning its own supply chain gave Mixue a major cost advantage.
Conclusion: The Future of Mixue
Mixue’s journey from a small ice stall to a global bubble tea giant is a testament to strategic branding, pricing, and marketing innovation. With continued international expansion and digital engagement, Mixue is set to dominate the beverage industry for years to come.
For marketers, Mixue’s success underscores the importance of affordability, humor in branding, and aggressive scalability. It’s not always about premium branding—sometimes, the biggest success comes from being the most accessible brand on the market.
