Consumer Staples Author: Sasha Chen May 20, 2022 11:32 PM (GMT+8)

On May 20, Chinese bubble tea chain Nayuki (奈雪的茶) announced that its only Shenzhen-based Fantasy Factory (奈雪梦工厂) recently closed after establishing for two years.

Nayuki's Tea

In November 2011, Nayuki, a popular tea slash bakery Chain, opened its first megastore in Shenzhen. The Nayuki Fantasy Factory expands its repertoire to include an international selection of baked goods, cakes, and other items in the store. It was the largest concept store for the company when it was established.

In 2021, the total number of Nayuki's tea stores reached 817, a year-on-year increase of 66.40%. With 15 categories, Nayuki Fantasy Factory generated a revenue of nearly CNY 1 million after opening for only three days in a row. Regarding the announcement that this concept store was closed, the company further unveiled that Nayuki will lean towards lifestyle business to transit services from tea beverage to an integration model.

In April 2022, Nayuki experienced a surge in sales of ready-to-drink production line, with an expected investment scale ranging from CNY 500 million to CNY 1 billion. In this regard, the company officials stated that the company is vigorously developing the business sector in bottled beverage services. In 2021, the company also set up a customized technology company and has launched seven bottle tea products by far.

As shown in January and February this year, Nayuki has applied for 21 trademarks in different classifications, involving advertising and sales, catering and accommodation, clothing, shoes, wine, and food. From these preliminary process, the company is expected to involve in more of lifestyle services in the future.