With the "Loong Boat Water" in the fifth month of the lunar calendar, the high temperature in Guangzhou started at the same time. For the freshly made beverage industry, the peak sales season of the year has arrived.
In previous years, novel drinks such as oil oranges, olives, and yellow peels became popular. This year is very different. The reporter observed that the high cost-effective lemon series drinks represented by lemon water have taken the lead in ranking C, becoming the cup of tea that young consumers often hold in their hands during this summer, and have also transformed into the most popular single product of the summer. Behind this highly cost-effective summer lemonade, a fierce beverage competition in the freshly made beverage industry is unfolding.
There is no lowest price, only lower
The battle for lemon drinks focuses on price. According to a survey conducted by reporters, the prices of lemon water from various sources continue to hit a record low, with prices below 10 yuan everywhere, and the cheapest ones even as low as 0.01 yuan per cup. The book also burns immortal grass and collaborates with celebrities to promote the "kumquat lemon water" priced at 6 yuan per cup, using a strategy of combining low prices with celebrity effects; Gu Ming also launched a "tough move", with a 3-month special offer of 4 yuan/cup for lemon water originally priced at 10 yuan per cup in Guangdong stores; Shanghai Aunties brand Tea Waterfall, both chilled lemon water and powdered chilled lemon water are priced at 4 yuan per cup; Honey Snow Ice City held a high-profile live broadcast conference for its large order of iced fresh lemonade. The original 4 yuan/cup, 600ml iced fresh lemonade only cost 0.01 yuan/cup after Tiktok group purchase; The electrolyte lemon water of "Ah Yi Lemon Tea" has a discounted price of 6.8 yuan/cup; Even coffee shops such as Lucky Coffee and Lucky Coffee have come to share a cup of soup. The 500ml perfume lemon coffee of Lucky Coffee is only 7.68 yuan/cup after being folded in Meituan, while the hand pounded iced lemon coffee is 7 yuan/cup.
Cost effectiveness has become a powerful tool for freshly made beverage brands. According to a research report by Huaan Securities, from 2020 to 2023, the proportion of new tea beverage brands with consumption below 10 yuan will increase from 7% to 30%, while the proportion of consumption above 20 yuan will decrease from 33% to 4%. According to the prospectus of Meixue Bingcheng, the future growth rate of affordable tea drinks will be faster than that of medium and high priced tea drinks. Lemon water has undoubtedly become an important lever for brands to penetrate the market.
The consumption base of lemon drinks is huge
Lemon series beverages are a relatively mature sub category in the freshly made beverage industry, with a huge consumer base, especially in the Guangdong market, "said Zhu Danpeng, Vice President of the Guangdong Food Safety Promotion Association and a food industry analyst. The reporter learned from Aunt Shanghai that in the Guangdong region, as of June 17th this year, its lemon tea series products have had good sales, ranking among the top ten in single product sales.
Lin Yue, Chief Analyst of Lingyan Consulting, said that lemon flavor is familiar to the public. For brands, choosing a beverage that is familiar to the public can save time and investment in cultivating the market.
The maturity of Chinas lemon industry has fully prepared for the rapid development of the freshly made beverage industry. Zhu Danpeng said that various varieties such as perfume lemon and Urick lemon provide multiple choices for the current beverage industry. Scale and industrialization have reduced the cost of lemon, made it a mainstream popular food material, and provided favorable conditions for the industrys product cost performance transformation.
According to the National Agricultural Products Wholesale Market Price Information System, the national average price per kilogram of lemon was 10.69 yuan in June 2023, but it has dropped to 8 yuan in June this year, a decrease of 25.16%.
Journalists Observation
Behind the birth of super large orders
Zhu Danpeng said that for non exclusive lemon tea brands, high cost-effective lemon water is a supplementary product that attracts traffic. For brands with supply chain advantages, it can also bring good economic benefits. Lemon water has already become a major product in the industry, with "Iced Fresh Lemon Water" becoming the best-selling fruit tea in Meixue Bingcheng for several consecutive years, with annual sales exceeding 4 billion yuan, making it a super major product in the industry.
In the fierce competition and low profit era, the most powerful weapon for brands to seize the market is a sound supply chain and operational efficiency.
The reason why the lemon water in Meixue Bingcheng has become a major product is precisely due to the support of the industrial chain under scale effect and standardized production process. It has established a Yulike Lemon cooperative planting base in Anyue, Sichuan, and its large-scale procurement strategy has greatly enhanced its bargaining power. The prospectus shows that in 2022, the purchasing cost of Meixue Bingcheng was about 10% and 20% lower than that of lemons of the same type and quality, respectively; Gu Ming has also put in a lot of effort to polish its supply chain. Eight years ago, it was deeply involved in the lemon project and built over 4000 acres of self planted orchards in Yunnan.