Summary of Key Points
This summer, ice cups, which were once free and used merely as accessories, have suddenly become the star of the cold drink industry: offline sales have increased by 94% year-on-year, with over 120 million views on the social media platform REDnote. Brands in the tea drink sector (such as Guming and Xicha), as well as supermarkets and convenience stores (like Hema), have all joined the trend. However, despite the apparent popularity, profits are meager. Most brands use ice cups to attract customers rather than to generate direct revenue, and there are underlying issues such as price wars, food safety concerns, and a lack of industry standards. The essence of this phenomenon is the young consumer's desire for "value for money" combined with the emotional satisfaction of creating something themselves, which has turned the ice cup from a supporting role to a central element in consumer behavior.
Detailed Analysis
1. Why Have Ice Cups Suddenly Become So Popular? — The Young Consumers' Desire for "Low-Cost Happiness"
The sudden popularity of ice cups is not accidental; it stems from the young consumer's desire to have fun for little money:
- Starting with cost-saving tactics: Some people order espresso and add ice, then split it into two drinks to save money.
- DIY is the key: Ice cups provide a semi-finished product that allows consumers to create their own drinks by adding soda or Yakult, giving them a sense of achievement that outweighs the savings.
- Emotional value: Spending just 1-2 yuan on a custom-made drink satisfies the desire for small moments of joy and involvement.
Social media platforms like REDnote have amplified this trend, turning what was once a niche activity into a nationwide phenomenon.
2. How Are Brands Utilizing Ice Cups? — Each With Their Own Strategy
Different brands are entering the market with different objectives:
- Tea drink brands: Some focus on offering value for money, while others try to differentiate their products.
- Guming and Mixue Ice City offer 1-yuan ice cups to appeal to a budget-conscious audience (Mixue even increases the volume without raising prices).
- Xicha creates a "frozen fruit炒制" experience, selling each cup for 28-33 yuan to charge a premium for the unique experience.
- Luckin uses self-deprecating marketing to turn negative feedback into a selling point, such as their "all-ice, no-water" series.
- Supermarkets and convenience stores: Use ice cups as a tool to attract customers to other products.
- Hema launched "slow-melting football-shaped ice" cups customized for the World Cup, using them to boost sales of alcoholic drinks (the repurchase rate for these ice cups is higher than for regular ice products).
- Convenience stores have placed ice cups in prominent locations to encourage customers to buy drinks along with their purchases.
3. Can Selling Ice Cups Really Be Profitable? — Meager Profits, but Traffic Is the Key
Despite the popularity, direct profits from ice cups are minimal:
- Low profit margins: The cost of producing a 160-gram ice cup is about 1 yuan, with the cup itself (made of more expensive anti-freezing plastic) accounting for a significant portion of the cost. After deducting transportation and storage fees, the profit per cup is only around 0.1 yuan or less.
- Brands earn money through bundled sales: Companies like Nongfu Spring offer ice cups in exchange for purchasing drinks; Luckin uses ice to replace liquid ingredients, reducing costs (their financial reports show a 30% increase in costs, but ice can help offset these expenses).
- Mixue Ice City’s lesson: Despite the success of their 1-yuan ice cups, they suffered losses due to inefficient ice-making equipment and high costs of purchasing ice from external suppliers.
4. What Are the Hidden Problems Behind the Ice Cup Boom? — Safety and Standards Are Major Concerns
The popularity of ice cups has exposed several issues in the industry:
- Price wars lead to cut corners: Small producers use tap water to make ice, skipping purification and disinfection steps, and inadequate storage conditions can cause bacterial growth.
- Lack of industry standards: Currently, there are only recommended guidelines (QB/T 8022-2024) without mandatory national standards for freshly made ice cups, making regulation unclear for tea shops and convenience stores.
- Food safety risks: Since ice cups are consumed directly, many businesses do not treat them as food, leading to problematic products entering the market (for example, over 400 units of "shaking ice" in Guangxi were sold without being recalled).
5. How Long Can This Trend Last? — It Depends on Quality and Standards
For the ice cup trend to be sustainable, more needs to be done:
- Establishing standards: Mandatory national standards are needed to ensure the safety of freshly made ice cups.
- Strict regulation: Manufacturers and distributors should be strictly monitored to prevent substandard products.
- Brand improvement: Brands need to shift from focusing on low prices to providing a high-quality experience (e.g., Hema’s slow-melting ice or Xicha’s unique ice-making methods) to make ice cups a regular part of daily consumption.
In summary, the rise of ice cups reflects a shift in consumer behavior. Young people are willing to pay for emotional value, but only by addressing safety and standard issues can these ice cups become a permanent part of our daily lives.