Cha Yan Yue Se, you can't pretend anymore.

The "original internet celebrity" in the milk tea industry, Cha Yan Yue Se, known for its slow expansion and reluctance to expand beyond Hunan Province, has finally taken another step outward.

Recently, Cha Yan Yue Se opened stores in Shenzhen. Two stores are located in Shenzhen MixC and Shenzhen MixC World respectively. According to media reports, on the opening day, a large number of customers gathered outside the stores, and the waiting line extended to the outside of the mall. The signboard showed that "the waiting time is 5 hours."

Source: Screenshot from a second - hand trading platform

Scalpers also took action. According to data from second - hand trading platforms, the price of Cha Yan Yue Se milk tea, which originally cost more than ten yuan per cup, has been resold at 30 - 100 yuan.

However, starting from the second day of opening, the number of people in the queue decreased significantly, and the waiting time was reduced to 1 hour. Many netizens were even puzzled rather than eager to queue up for a check - in: "It's 2026 already. Why are people still queuing for Cha Yan Yue Se?"

Entering the 'Second Capital of Hunan'

For other ready - to - drink tea brands, expanding to Shenzhen may not be a big deal, but for the overly cautious Cha Yan Yue Se, it is a major move.

Established 13 years ago, Cha Yan Yue Se has been mainly based in Hunan for many years and rarely expanded beyond the province. According to data from Zhaimen Canyin, as of April this year, there were 734 stores of the main brand of Cha Yan Yue Se, and 384 of them were still in Hunan, accounting for more than half.

Source: Zhaimen Canyin Mini - Program

Over the years, Cha Yan Yue Se first expanded beyond Hunan at the end of 2020 by opening a store in Wuhan, Hubei. It wasn't until 2022 that it opened stores in Chongqing and Jiangsu successively.

Observing Cha Yan Yue Se's expansion, it almost follows two principles: first, the stores are all opened in provinces adjacent to or not far from Hunan; second, the locations are all in new first - tier or second - tier cities.

It can be said that it was not until Cha Yan Yue Se entered Shenzhen that it officially entered South China and made its first move in the first - tier cities of Beijing, Shanghai, Guangzhou, and Shenzhen.

Combined with the fact that Cha Yan Yue Se quietly established a branch in Shanghai in January this year and opened recruitment for multiple positions in Shanghai, Beijing, and Shenzhen. The industry generally believes that Cha Yan Yue Se will officially expand to first - tier cities and gradually prepare for cross - regional operations.

So, why choose Shenzhen first?

Firstly, it is about the population. According to the data from the seventh national population census, among the migrant population in Shenzhen, there are 1.463 million people from Hunan, accounting for the largest proportion among the migrant population, about 11.8%. That means about 1 in every 10 migrant people in Shenzhen is from Hunan. Naturally, they are more likely to accept and choose the local milk tea brand from their hometown.

Secondly, Cha Yan Yue Se had previously made some layout moves in Shenzhen and was relatively familiar with the market feedback and marketing focus. As early as 2021, Cha Yan Yue Se opened a pop - up store in Shenzhen Wenheyou and set a record of 50,000 queuing numbers. Then in 2023, it opened an experience store in Shenzhen.

Cha Yan Yue Se once said that the third store in Shenzhen is under preparation, and it is expected to open at least 10 stores in Shenzhen in 2026.

It seems that Cha Yan Yue Se is ready to make a big splash in Shenzhen. Then, what does it rely on to break through?

Difficult to Break Through

In Changsha, with the cultural support of its Chinese - style light milk tea, Cha Yan Yue Se can attract consumers to queue up and experience. Relying on its dense store network, it continuously attracts and solidifies the customer flow, forming brand potential.

This is the key strategy for Cha Yan Yue Se's success in Changsha, but this strategy faces many challenges in first - tier cities like Shenzhen.

Source: Cha Yan Yue Se official website

On the one hand, the expansion of ready - to - drink tea brands has reached a white - hot stage, and Cha Yan Yue Se does not have an advantage in store density.

Even if Cha Yan Yue Se can open 10 stores, Shenzhen, as a battlefield for milk tea, is already densely covered with stores. According to data from Tianyancha, there are currently 12,000 milk - tea - related enterprises in Shenzhen.

At the same time, according to third - party monitoring data, the number of Nayuki's stores in Shenzhen has exceeded 250, and the number of stores of Ba Wang Cha Ji and Heytea has exceeded 160. Many milk tea brands have almost formed an easily accessible store network in Shenzhen. In contrast, the brand exposure and consumer reach of Cha Yan Yue Se will be limited.

Moreover, Cha Yan Yue Se's order - taking and pick - up model is offline verification and no delivery service. For consumers who are used to "ordering online and getting instant delivery," there will be certain barriers. "Not providing delivery services will definitely result in the loss of some traffic and revenue," said Lin Yue, an analyst in the food industry. In Changsha, queuing for verification is a "check - in ritual," but in first - tier cities, if no delivery alternative is provided, the "brand feature" may easily turn into a "consumption threshold," thus affecting repurchase.

On the other hand, entering first - tier cities requires Cha Yan Yue Se to bear higher operating costs.

Cha Yan Yue Se adopts a fully - direct - operation model and does not open any franchises. Although it is beneficial for brand management and maintaining its brand image, it also means that all costs have to be borne by itself. The rigid costs such as rent and labor in first - tier cities are much higher than those in Hunan.

A person in the ready - to - drink beverage franchise industry told Youyisi Report that in the core business districts of first - tier cities like Shenzhen, the average store rent is 30% - 50% higher than that in second - tier cities.

According to the information posted by Cha Yan Yue Se on the recruitment platform, the monthly salary for store clerks in Shenzhen is 5,000 - 7,000 yuan, while in cities like Changsha, the monthly salary for store clerks is 3,000 - 7,000 yuan.

Source: Visual China

As for Cha Yan Yue Se, which is entering South China for the first time, its supply - chain construction is still in the "catch - up" stage. For many years, Cha Yan Yue Se has been purchasing from suppliers. It was not until 2023 that it announced an investment of 520 million yuan in building a R & D and production base in Changsha, Hunan. Its supply chain is highly concentrated at the headquarters, and there has been no cross - regional expansion.

It was not until January this year that Cha Yan Yue Se recruited a warehouse manager in Shenzhen at a high salary, which was regarded by the industry as a key step in building the South China supply chain. Although Guangdong has a mature tea source and cold - chain system, integrating with the brand also takes a certain amount of time. During this period, the supply - chain costs such as warehousing and logistics for Cha Yan Yue Se will also be relatively high.

According to Lin Yue's estimate, "The single - store operating cost of the Shenzhen stores is at least 30% higher than that of stores in second - and third - tier cities." The pay - back period for the Shenzhen stores will also be significantly longer than the industry average. Generally, it is 1 - 2 years, while Cha Yan Yue Se may need 2.5 years.

More importantly, as an "original internet celebrity," Cha Yan Yue Se is a bit late, which has greatly reduced its attractiveness. In 2020, according to a survey by Yicai, Cha Yan Yue Se was the most preferred brand on the list of milk - tea chain brands, outperforming Heytea. However, according to the 2025 iMedia Research Gold List data, in the top ten new milk - tea brands' word - of - mouth index, Mi Xue Bing Cheng ranked first, while Cha Yan Yue Se failed to make the list.

As time has passed, the brand halo of Cha Yan Yue Se is fading, and it will be even more difficult for it to gain a foothold in the highly competitive market.

This article is from the WeChat official account "Youyisi Report", written by Gao Yue, and is published by 36Kr with authorization.