The internet-famous supermarket chain Pangdonglai has garnered widespread attention nationwide due to its unique business model and exceptional service experience.

Particularly, Pangdonglai's tea market, with its daily limit of 600 entry tickets that must be reserved a day in advance, presents a bustling scene that many physical tea shops can only aspire to match.

Pangdonglai's tea market revenue per store per day is how much? At the China Supermarket Week Forum in March this year, Chairman Yu Donglai answered: “Previously, a tea shop made sales of 30,000 to 40,000 yuan a day, now two tea shops together make around 1 million yuan a day, and at peak times, one store alone could make 1 million yuan in a day.”

Image | Crowds at the entrance of Pangdonglai's tea market

On July 20th, after adopting practices from Pangdonglai, the Zhongbai Storage Wuhan Guanshan Optics Valley Shopping Plaza reopened after a 15-day closure for adjustments. According to statistical data, on the first day of reopening, sales reached 1.23 million yuan, a 723% increase year-on-year.

Faced with such success, “Please Enjoy a Cup of Hubei Tea” can't help but ask: What is the charm of Pangdonglai's tea market with its limited numbers and quantities? Can Hubei's tea markets replicate Pangdonglai's success?

Image | The Zhongbai Storage Wuhan Guanshan Optics Valley Shopping Plaza adopting practices from Pangdonglai

PART.1

Visiting Pangdonglai's Tea Shop: Sincerity as the Killer Feature

In both the Pangdonglai Times Square store and the Pangdonglai Angel City store in Xuchang City, there are announcements regarding the adjustment of operating hours and online queueing for the tea supermarket. The announcement reads: “Due to exceeding normal operations, to ensure operational quality and employee working hours, the operating hours are temporarily reduced to 10:00 AM to 4:00 PM.”

It's more common to see stores extending their operating hours due to high customer traffic and demand, so Pangdonglai's approach is indeed unique.

Image | Announcement board at Pangdonglai's tea shop

Pangdonglai's tea market isn't particularly large, approximately 200 square meters. The products are well-organized, with clear sections for selection, making it convenient for customers to shop. This includes a wide range of teas like West Lake Longjing, Biluochun, Xinyang Maojian, ripe Pu'er, and various tea utensils, catering to different needs of tea enthusiasts.

Tea connoisseurs can choose different grades of jasmine-scented tea, Mingqian Longjing, and Maojian, or aged Pu'er and White Tea priced at a few thousand yuan per cake.

Young people looking for something fresh can buy white tea cakes for less than 100 yuan each, without feeling any regret; boxes of black rose tea for 40 yuan, attractive and photogenic; and office-friendly mini tea cakes for everyday consumption.

Ladies can find warming ginger and brown Sugar tea; health-conscious workers can opt for red adzuki bean and poria tea, dandelion tea, or aged tangerine Peel gift sets of different years.

Image | Clear sections for product selection at Pangdonglai's tea market

In terms of pricing, there are flower teas for 9 yuan per can, bagged teas for 15 yuan per box, and you can buy a large bag for less than 100 yuan; aged white tea cakes for 52 yuan and tea gift boxes for 58 yuan, beautifully packaged with dedicated carry bags, suitable for personal use or gifting.

Many affordable bestsellers include the 2-pound Brown ripe tea tuocha for 280 yuan per jin, small green mandarin oranges for 280 yuan per jin, and organic tea in packs of five small cakes, all of which are affordable “daily tea.”

And the “heavenly priced” teas in the industry, such as Nulan Pit Rougui at 27,000 yuan per kilogram, Pangdonglai thoughtfully packages them into small portions like pearls and individual packs, with prices ranging from 200 to 300 yuan per serving, making them accessible even for those who just want to try them.

Image | Clear price tags visible upon entering the store

Unlike most tea shops where products are sold in fixed quantities like cans, boxes, or half a jin, Pangdonglai's loose tea has no minimum purchase requirement, allowing customers to buy as little as 5 or 10 yuan worth.

For popular items like small green mandarin oranges, there are no limits, and they can be sold individually.

Additionally, some pre-packaged teas in Pangdonglai's tea market are displayed in small glass jars, allowing customers to see the appearance of the tea leaves themselves.

Reasonable prices, simple packaging, and the integrity of the Pangdonglai brand have attracted countless visitors to the tea market. Many customers, thinking “I've come all this way” or “since I'm here,” end up not leaving empty-handed.

Image | A rich variety of product specifications from tens to thousands of yuan

PART.2

Deconstructing the Success Factors of Pangdonglai's Tea Market

Can the success of Pangdonglai's tea shop be easily and quickly replicated in Hubei's tea markets? In the view of “Please Enjoy a Cup of Hubei Tea,” the answer is: Perhaps not! The reasons are:

1. Brand Effect and Market Foundation

The success of Pangdonglai's tea market was not achieved overnight but built upon years of accumulation by the Pangdonglai brand. Starting from a small tobacco and liquor store, after nearly 20 years of development, Pangdonglai has become a benchmark in China's retail industry. Its strong brand reputation and extremely high market credibility have naturally brought significant traffic advantages to the tea market.

In China, tea is one of the products with the highest trust cost. As many consumers say: “For 2,000 yuan worth of tea, Pangdonglai earns 300 yuan, while other places might earn 1,900 yuan.”

In Xuchang City, Pangdonglai has become an integral part of the daily lives of citizens, and this deep market foundation and reputation are difficult for Hubei's tea markets to achieve in a short period of time.

Image | Hubei tea sales exhibition within the Hubei agricultural fair

2. Ultimate Customer Experience

A significant part of Pangdonglai's tea market success stems from its ultimate customer experience. From the online reservation system to detailed section divisions within the store, from a wide range of products to reasonable