Brand Positioning and Cultural Identity: An Innovative Analysis of

CHAGEE Marketing Model

Siting Chu

Fengtai No.2 Middle School, Beijing 100000, China

Keywords: Tea Market, Chinese Tea Culture, Tea Economics.

Abstract: In recent years, the new Chinese tea market has attracted more and more consumers' attention. CHAGEE, as

a leading brand, has occupied a place in the domestic and foreign markets. This paper mainly focuses on the

brand positioning and cultural identity of CHAGEE, and how the brand uses a variety of innovative means to

achieve market expansion in a short time. At the same time, this paper uses relevant concepts to analyze the

marketing model of CHAGEE, collect and summarize market data. This article analyzed the bully her tea in

the place where the innovation of the brand marketing strategy, sums up the brand marketing in the diversified

way of analysis, new Chinese style such as bullies her tea brand marketing strategy provides some reference.

1 INTRODUCTION

With the development of The Times, the new Chinese

tea market has risen rapidly, attracting more and more

consumers' attention in a short period of time, and its

sales also show a trend of rapid growth in the whole

Chinese market. According to IIMedia Consulting,

the size of China's tea market has reached 354.72

billion yuan in 2024, up 6.4% year on year, and the

market size is expected to reach 374.93 billion yuan

in 2025. By 2028, the size of the tea market is

expected to exceed 400 billion yuan. In addition, the

competition in the new Chinese tea market is very

fierce, and the products in the industry bloom, and the

homogenization phenomenon occurs frequently, and

the price is uneven, which leads to the profit margin

of the tea market is extremely compressed. Despite

this, new tea enterprises are still accelerating their

expansion, and many tea brands have increased the

number of stores in order to ensure product sales.

CHAGEE, as the leading brand in the tea beverage

industry, occupy an important position in domestic

and foreign markets. This paper mainly discusses the

brand positioning and cultural identity of CHAGEE,

to understand how the brand builds a closer emotional

connection with young consumers, and how the brand

achieves market expansion in a short period of time

through various innovative means such as private

traffic construction, IP co-branding and brand

packaging design. At the same time, this paper uses

relevant concepts to analyze the marketing model of

CHAGEE, and collects and summarizes relevant data

of China's tea market through the process tracking

method in detailed case studies. Secondly, this paper

uses 4p model, detailed possibility model and

integrated marketing and other models to deeply

analyze the unique features of CHAGEE in brand

marketing. Thirdly, based on the above systematic

research methods and a large number of relevant

literatures, this paper summarizes the diversified

analysis methods in brand marketing, and provides

some referential marketing strategies for CHAGEE

and other new Chinese tea brands.

2 BACKGROUND AND

DEVELOPMENT STATUS OF

CHAGEE

2.1 Background of Tea Market

With the development of The Times, China's per

capita income level has been steadily increasing, and

the consumption group of the tea market has become

more and more extensive. The improvement of

Chinese residents' purchasing power has also laid a

solid consumption foundation for the development of

the tea industry. At the same time, the tea market as a

whole presents a popular and young consumption

trend, and most of its consumers are students and

Chu, S.

Brand Positioning and Cultural Identity: An Innovative Analysis of CHAGEE Marketing Model.

DOI: 10.5220/0013990800004916

Paper published under CC license (CC BY-NC-ND 4.0)

In Proceedings of the 2nd International Conference on Public Relations and Media Communication (PRMC 2025), pages 307-312

ISBN: 978-989-758-778-8

307

office workers aged 15-30. Therefore, the

development of new Chinese tea products and

peripheral products is also constantly in line with

young people's consumption aesthetic and healthy

and low-fat consumption demands (Dai, 2024).

2.2 Product Quality

CHAGEE with new Chinese style tea as the main

direction of marketing, the main "original milk tea"

product ideas, screening of tea raw materials is very

stringent. Its planting base is located in Yunnan

Province, China, covering an area of about 2000 mu,

which is the largest organic oolong tea farm in the

world. Its tea research and development team is

committed to continuous improvement of the formula

through modern scientific and technological means,

and more in-depth research and evaluation of

products. In this process, the team innovatedly

adopted "Ice Blanc non-hydrogenated base milk" as

the key ingredient of milk and tea in raw leaf fresh

milk tea, thus successfully achieving zero addition of

plant fat end, creamer and hydrogenated vegetable oil

in tea products (Xu, 2024).

2.3 Sales Volume and Number of

Stores

In 2023, the total transaction volume (GMV) of

CHAGEE broke the 10 billion mark for the first time,

reaching 10.8 billion yuan. Entering the first quarter

of 2024, the single-quarter GMV of CHAGEE has

exceeded 5.8 billion yuan, and it is expected that the

GMV of the whole year will exceed 20 billion yuan.

As of May 20, 2024, the number of CHAGEE

registered members has exceeded 130 million,

achieving a doubling of the number of registered

members in less than half a year. In 2023, the annual

sales volume of the classic CHAGEE product Boya

Juxian exceeded 230 million cups (He, 2024). In

seven years, under the joint efforts of bullies her

success out of Yunnan tea, and gradually in many

provinces and cities, while in Malaysia, Thailand and

Singapore and other places to open 100 + offline

stores, now its global stores of 4500 +.

3 CULTURAL IDENTITY

3.1 Cultural Heritage

Bullies her tea brand name originated from Chinese

traditional culture story "farewell my concubine",

reflects the profound Chinese culture. Secondly,

CHAGEE logo, a beautiful China red base subject for

Chinese Peking Opera mask, has a unique style of

Chinese art. In the product packaging, CHAGEE

extracts a variety of traditional Chinese elements to

create a distinctive new Chinese aesthetic style. It

combines the traditional Chinese navy pattern with

modern fashion elements to form a unique Chinese

fashion module. On the design of the font style,

overlord in the tea she chose "CHAGEE" C as

branding elements, and use the pop art and Chinese

ink painting style, ably improve the identification of

the brand to create a unique brand culture identity

(Zhu, Xu, & Wang, 2024).

3.2 Influence

It also highlights the profound Chinese excellent

traditional culture and makes a contribution to the

promotion of Chinese aesthetics. In short, with the

increasing influence of Chinese culture on the world,

more and more Chinese people are establishing a sign

of cultural confidence and strongly supporting

domestic products, including new Chinese tea brands

such as CHAGEE. It also shows that bully her tea in

the aspect of culture shape showed good development

momentum, for other tea brand provides a practical

way of branding.

4 RESEARCH ON 4P THEORY

MARKETING STRATEGY

4.1 Promotion

The slogan of CHAGEE is "Oriental tea, friends of

the world", which promotes the unique charm of

Chinese tea to the world. At the same time, CHAGEE

also promotes the core concept of CHAGEE brand

marketing to the audience through the marketing

method of "meeting friends with tea", that is, sharing

milk tea with friends. This can improve user

engagement, enhance the relationship between

customers, but also show the strong social value of

the product, to achieve mutual benefit and two-way

travel between buyers and sellers, but also reflect the

promotion marketing strategy in the 4p theory.

4.2 Place

Secondly, in terms of marketing channels, CHAGEE

offline stores are located in a line and second-tier

cities, and mostly partial provinces and cities in east

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China and south China. At the same time, according

to the data of narrow door food eye, CHAGEE stores

are mainly distributed in shopping centers and large

shopping malls, accounting for more than 70%, of

which about 70% of offline stores are concentrated in

the first floor of the mall. This can quickly grab the

attention of consumers and encourage them to carry a

cup of delicious tea with them when they go

shopping. This has also increased the market

influence of CHAGEE. Thirdly, CHAGEE has set up

the welfare of "adding the store manager's wechat" at

the ordering place, and established a complete private

domain traffic system online, so that consumers can

personally feedback the product experience with the

store manager, so that the taste of the product can be

more in line with the will of the masses. This

innovative marketing mode of online and offline

channels has greatly improved users' favorability and

participation, thus attracting more consumers to pay

for its products.

4.3 Product

From the product itself, CHAGEE disclosed the

caloric value of the whole series of products, such as

the heat of the signature product "Boya absolute

string" is 130kcal, and the whole cup of heat is about

equal to half an avocado. This has successfully

shaped the label of healthy tea, which is in line with

the demands of contemporary consumer groups.

Combined with large-scale marketing investment, the

brand performance of CHAGEE has achieved

significant growth, fully demonstrating the organic

combination of its product health positioning and

market promotion (Yao, 2024).

4.4 Price

In terms of product price, CHAGEE product price

positioning, within the range of 15 ~ 20 yuan a

moderate ranks in the new Chinese style tea brand. In

terms of price mechanism, Bawang Tea has invited

one person to register and enjoy 18 yuan discount

coupon, group purchase discount of 50 cups and other

preferential activities, selection package with a

limited time of 10% discount, irregular distribution of

20 less 2, 39 less 4 and other coupon packages for

consumers to choose (Wang, 2024). At the same time,

CHAGEE also set up the "selection package"

interface, carried out the activity of giving limited

refrigerator stickers, its style is exquisite and small,

the pattern is full of national tide elements. This not

only meets the wishes of customers, improves the

user's stickineness and repurchase rate, but also can

further promote the excellent traditional Chinese

culture.

5 RESEARCH ON MARKETING

STRATEGY BASED ON

DETAILED POSSIBILITY

MODEL

5.1 Peripheral Path

CHAGEE in the peripheral path, the main

performance is the following points. First of all, by

combining Chinese ancient elements and modern

aesthetics, CHAGEE creates a very fashionable

appearance packaging, attracting more consumers to

punch in and take photos, and even spread on the

Internet, satisfying hedonists and groups with certain

needs for social interaction, thus expanding brand

awareness and improving brand sales. Second,

CHAGEE she builds a set of perfect private domain

traffic operation system, through online ads, offline

activities and elevator advertising screen through

various channels, such as brand marketing,

introducing a large number of users WeChat small

programs and community and corporate WeChat

private domain flow pool. In the private domain,

CHAGEE through the membership system, integral

exchange, her big coupons issued, keeps customers

for their consumption, it also effectively improve the

user viscosity and after purchase rate, embodies the

meager profit but high turnover of differential pricing

strategies, to a certain extent, reduce the risk of the

market competition. Thirdly, CHAGEE has

established many tea friend communities with stores

as the main unit, and held offline tea friends meetings,

new product tasting meetings and other large-scale

activities to enhance users' sense of participation and

experience. This kind of experiential marketing

enables consumers to deepen their awareness and

favorable impression of the brand in a relaxed and

pleasant atmosphere. In the popular IP co-branding,

CHAGEE effectively enhances the brand exposure

through cross-border linkage with popular IP such as

movies and TV dramas and games. During the Spring

Festival in 2025, for example, file of nezha conquers

the familiars make the sea "in the global film market,

more than 14 billion yuan of total box office has set a

new animated film, and even the whole world 113

records. CHAGEE has seized this popular IP that has

gone viral, and post: " CHAGEE x film Ne Zha 2

conquers the familiars make the sea", and good

friends! Finally got Zha 'er and Bing 'ii's hand! Next,

Brand Positioning and Cultural Identity: An Innovative Analysis of CHAGEE Marketing Model

309

let's go hand in hand to drink tea in the mountains and

rivers, and make a way to meet friends around the

world with Oriental tea." ", which has a deep brand

linkage with Ne Zha 2. This can not only increase the

brand awareness of bullies her tea, and more of its "in

Oriental tea, will the world friend" brand core idea. In

the joint brand marketing activities, consumers are

likely not because bullies her tea product quality or

brand culture and to buy the product, but attracted by

hot IP, thus interested in brand and goodwill. From

the perspective of environment, its stores adopt the

design concept of "Oriental New Tea shop", and

cleverly use Chinese traditional cultural elements

such as wooden space, dramatic mask, mortise and

tenon structure of ancient architecture, seal script

handwriting, and embroidery technology of Hanfu to

create a unique Oriental aesthetic atmosphere, so that

consumers can stop and appreciate "Chinese-style

romance" while experiencing tea products. To have a

positive impression of the brand, gradually become

bullies her big fan of tea.

5.2 Core Path

Look from the core path, on the brand positioning and

product value delivery, bullies her tea brand

positioning for the "east new tea shops, new Chinese

style tea on behalf of the brand", its main "the original

leaf fresh milk tea" publicity concept, emphasis on

health, natural product quality. This positioning

directly conveys the core value of the brand to

consumers, that is, producing high-quality, healthy

products and creating a unique product experience

combining tradition and modernity, which can also

better create the brand characteristics of CHAGEE

and leave consumers with a deep impression.

6 ANALYSIS OF SOCIAL MEDIA

MARKETING

New tea has experienced from the initial 1.0 "tea +

milk" era, to the 2.0 "tea + milk + fruit" era, and then

to the current 3.0 "tea + milk + fruit + culture" era,

and will move towards the 4.0 "digital operation and

construction" era in the future. At the same time, a

number of tea brands have successfully gone abroad,

layout of the global market. According to the data

"New Picture of New Tea Business" released by

Douyin Life Service, the transaction amount of tea

business on the platform in 2022 increased by more

than 30 times compared with the previous year, and

new tea merchants are exploring the second growth

curve in Douyin Life service. In addition, according

to the data of Douyin New Tea Drinkers Survey 2022,

Douyin has become an important channel for

consumers to obtain information related to new tea,

second only to friends' recommendations. In addition,

Douyin has gradually developed into an important

ordering channel, with 35% of consumers

accustomed to purchasing products related to new tea

drinks through Douyin, and placing orders at all

times. As a result, Douyin has evolved into a one-

click shopping channel from planting grass to placing

orders. In such a macro environment, if new tea

brands want to achieve breakthrough development,

they must re-examine the value of traffic, and think

about how to effectively obtain public domain traffic,

precipitate private domain traffic, and transform

private domain traffic into actual orders through

refined operation (Wang, 2023). Therefore,

CHAGEE has achieved accurate communication on

platforms such as Douyin and XiaoHongshu through

social media marketing. First, on the Douyin

platform, CHAGEE attracts traffic through live

benefits. Discount vouchers, 9.9 yuan drink vouchers

for new store openings, and free vouchers for buying

orders are distributed in Douyin live broadcast rooms

to attract a large number of viewers to participate in

watching. At the same time, the CHAGEE has

enriched the content so as to spread widely. By

publishing diversified video content such as product

making process and brand culture, and launching

creative activities such as "tearing cups" trend,

Baowang aims to attract users of different ages,

interests and regions. In terms of cooperation and

promotion of celebrity talent, CHAGEE invites many

celebrities to serve as tea promotion officials and

cooperate with short video bloggers and other Kols.

For example, it cooperated with "Jianbing Guozai" to

promote Gardenia gardenia, and actor Wang Hedi and

world tennis champion Zheng Qinwen helped

promote the product. In the precise positioning of

targeted delivery, CHAGEE combined with the user

portrait of Tiktok visitors and historical transaction

groups, through the local push aimed at 18-40 years

old with spending power female groups, focusing on

Chengdu, Kunming and other cities for advertising.

Secondly, on the XiaoHongshu platform, CHAGEE

releases a preview post before the launch of new

products through publicity and interaction. For

example, during the launch of "Spring Mountain

When Awake", a coupon is drawn in the comment

area. At the same time, in the "Wan Li Mulan"

activity, four friends can be invited to help get free

new products, so as to expand the user range. At the

same time, CHAGEE displayed many exquisite

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photos on social media, using pictures and live

pictures combined with text as the main way of

publicity, to display exquisite product packaging,

cups and paper bags secondary creation content, in

order to stimulate users' desire to buy. In terms of

UGC content output, CHAGEE encourages users to

generate and disseminate relevant content through

incentive measures. Large-scale production of UGC

can enhance brand exposure and form a good public

opinion atmosphere. In addition, CHAGEE has built

a social media matrix on multiple social media

platforms to develop differentiated marketing

strategies according to the characteristics of each

platform. Continue to release high-quality content,

effectively build a unified and unique new Chinese

style tea brand image. At the same time, individuals

monitor and adjust marketing activities in real time

through big data analysis tools, conduct in-depth

analysis on user behavior and other key indicators,

grasp consumer demand and market trends, and

achieve accurate push.

7 PROBLEM ANALYSIS

From the changes of the CHAGEE LOGO, people

can get a glimpse of the evolution of its brand image.

However, in a series of marketing activities with

"national style" as the core of the brand, some

problems worth discussing have been exposed. The

frequent use of the same "national style" elements to

carry out marketing offensive is very easy to cause

consumers to have aesthetic fatigue. In the long run,

it may also lead to the public's understanding of

traditional culture on the surface, unable to deeply

appreciate its essence. CHAGEE in creating the

concept of "national style tea drink", the use of

"national style" elements is often isolated and single,

and the deep cultural background behind the elements

is not fully explored and closely related to it. Take the

brand LOGO for example, at first, consumers may be

able to capture the shadow of Chinese traditional

opera culture from it, but once the lack of in-depth

understanding of the relevant cultural background

and connotation, as time goes by, their perception of

CHAGEE's main "national style tea drink" will

gradually weaken. This negative impact caused by the

improper use of "national style" elements directly

leads to the lack of consumers' perception of the

cultural connotation of "national style tea". Due to the

frequent and lack of diversity in the use of elements,

consumers' sensitivity to "national style tea" is

reduced, and it is naturally difficult to deeply

understand its cultural connotation. Taking the tea

cup packaging design of CHAGEE as an example, it

means to inherit the spirit of the ancient Chinese tea

horse Road, hoping to use tea as a bridge to

communicate with the world. However, if the cultural

value behind it cannot be effectively transmitted, it is

difficult for this meaningful design to truly touch

consumers (Hu, 2024).

8 SUGGESTIONS

Brand identification is the basis of consumer choice

and the premise of consumer loyalty. For the

establishment of CHAGEE brand reputation, on the

one hand, people must ensure product quality,

strengthen the monitoring of product raw materials

and processing technology. On the other hand, it is

necessary to innovate and expand product categories,

create high-quality product images, meet customer

needs, and enhance female consumers' freshness and

recognition of the brand (Liu, Li, & Wang, 2024).

Secondly, it is necessary to repeatedly polish the

concept of national style. At the product level,

CHAGEE needs to dig deep into traditional recipes,

study ancient tea classics, such as the development of

tea tasting milk tea in Song Dynasty, Tang Dynasty

tea derivative drinks, etc., restore the taste of ancient

tea, combined with modern taste preferences for

improvement and innovation. Secondly, it is

necessary to strengthen the limitation of seasons and

festivals. According to the 24 solar terms and

traditional festivals, special drinks are launched, such

as spring bud tea at the beginning of spring,

osmanthus Longjing moon tea at Mid-Autumn

Festival, with exclusive packaging and introduction

of stories. Thirdly, expand the product line of

refreshments. Launch Chinese tea, such as lotus cake,

Soviet-style moon cake, etc., with tea, create a

complete national style food experience, fit with the

scene of tea party friends. From the brand marketing

level, CHAGEE can create a national IP, based on the

story of "CHAGEE", create cartoons, comics or short

videos, shape the brand virtual image, carry out IP

authorization cooperation, and launch peripheral

products. At the same time, cultural activities can be

carried out. It can hold a national style tea drinking

culture festival, including tea art performance, tea

fighting competition, tea knowledge lectures, etc.

Cooperate with universities and cultural institutions

to carry out academic discussion and exchange

activities on tea culture. From the store experience

level, CHAGEE can enrich the space design and

create more themed stores, such as the "Xiaoxiang

Pavilion" store with the theme of "A Dream of Red

Brand Positioning and Cultural Identity: An Innovative Analysis of CHAGEE Marketing Model

311

Mansions" and the "Xike Island" store with the theme

of martial arts, etc., to integrate the corresponding

scene elements. At the same time, interactive

experience can be appropriately increased. For

example, setting up a tea making experience area for

consumers to make tea by themselves; Activities such

as hanfu try-on and calligraphy and painting

experience are regularly held to enrich consumer

experience. Finally, special services can be provided.

Employees can wear Hanfu or traditional costumes

and use quaint service language; Rental of traditional

tea drinking equipment is provided to meet

consumers' demand for holding national style tea

parties (Li, 2025).

9 CONCLUSION

This study focuses on the leading brand CHAGEE in

the new Chinese tea market, and deeply explores its

brand positioning, marketing strategy and cultural

identity, so as to provide reference for similar brands.

At present, the new Chinese tea market is booming

but the competition is fierce. The phenomenon of

product homogeneity and price confusion is serious,

which greatly reduces the profit margin. Even so, the

expansion of tea enterprises is still unabated.

CHAGEE stands out in this market environment. In

terms of cultural identity, CHAGEE cleverly named

by the traditional cultural story of "Farewell My

Concubine", integrated Chinese elements such as

Peking Opera facial mask into the logo and packaging

design, integrated traditional navy blue pattern and

modern fashion, to create a unique national trend

style, which not only carries forward the excellent

traditional Chinese culture, but also fits the Chinese

people's cultural self-confidence and support the

trend of domestic products. It sets up a good brand

image and provides a model for the cultural publicity

of other tea brands. In terms of marketing strategy,

based on 4P theory, with the slogan of "meeting world

friends with Oriental tea", user stickiness is enhanced

by "meeting world friends with tea"; Stores are

distributed in shopping centers of first-tier and

second-tier cities, private domain traffic system is

built online, and dual-channel marketing is innovated;

Publicize product heat, shape health labels, combine

moderate prices and various discounts, improve

performance and repurchase rate. Under the detailed

possibility model, the peripheral path attracts

attention by creating national fashion packaging,

carrying out popular IP co-branding, and creating a

unique store environment. The core path clearly

defines the brand positioning and delivers the healthy

and natural product value. In social media marketing,

Douyin, Xiaohongshu and other platforms implement

their own methods to build matrix precision

marketing. However, CHAGEE also has some

problems in brand marketing, such as the single use

of "national style" elements and the lack of cultural

background correlation, which leads to aesthetic

fatigue of consumers and insufficient perception of

cultural connotation. Therefore, it is suggested to

ensure the quality of products and expand the variety

of products; Excavate the traditional formula, launch

seasonal and festive products and refreshments;

Create national style IP and hold cultural activities;

Enrich store design, increase interactive experience

and featured services, so as to enhance brand

reputation and competitiveness.

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