Bahwang Chaqi Accelerates Overseas Expansion, Global Store Count Exceeds 7000

Summary

Bawang Tea Ji is accelerating its global expansion, with total GMV reaching 8.103 billion yuan in Q2, up 15.5% year-on-year. The company now has over 2 billion registered users and 7,038 stores worldwide, with overseas business growing by 77.4%. Recently, it opened three new stores in the Philippines and its first store in Los Angeles, USA.QQ News+ 3

Impact Analysis

So basically, Bawang Tea Ji is making a big push internationally, which is evident from their 77.4% growth in overseas GMV and the opening of new stores in key markets like the Philippines and the USA. This aggressive expansion is part of a broader strategy to transition from ‘Made in China’ to ‘Chinese Brand’ as stated by their chairman.QQ News The interesting part isn’t just the number of stores but the significant increase in overseas GMV, which has become a crucial growth engine for the company.QQ News+ 2 However, the domestic market shows some red flags, with same-store GMV declining by 23%.QQ News This duality suggests that while the international strategy is paying off, the company needs to address domestic challenges to sustain overall growth. Market’s missing that the domestic issues could weigh heavily if not managed well. I’d read this as a cautious buy, focusing on their ability to balance both markets effectively.