Global Bubble Tea Giant Mixue Cuts Stores in Vietnam for the First Time as Growth Strategy Shifts

Mixue, one of the world’s largest food and beverage chains, has recorded its first ever reduction of stores in Vietnam as the company adjusts its international network for stronger profits. The move signals a new phase for the fast growing brand that has become a familiar sight on Vietnamese streets.

In its half year financial report, Mixue Group reported revenue of more than 14.87 billion yuan, equal to over 56 trillion dong, up almost 40 percent year on year. Net profit grew more than 44 percent. The company attributes the gains to tighter supply chain control, stronger brand management, and a push to improve store operations across markets.

A key change in the first six months of the year came from outside China. Mixue confirmed that it reduced its number of stores in Vietnam and Indonesia, its two largest international markets. Chinese media platform KrAsia cited company executives who said the closures targeted outlets with weak performance. Some stores were also relocated. Mixue says branches that moved to better sites saw a boost in daily sales of more than 50 percent.

By the end of June, the company operated more than 4,700 stores outside China, a net drop of 162 stores compared with the end of 2024. Inside China, expansion continues at speed with nearly 48,300 stores nationwide.

Mixue’s global model relies on ultra low prices. In Vietnam, popular items such as lemonade, ice cream, milk tea, and fruit tea range from ten thousand to thirty thousand dong. The company keeps costs low by controlling its full supply chain. It produces ingredients, manages logistics, develops products, and supplies most kitchen equipment to franchisees. These sales of equipment and ingredients bring in the majority of revenue.

Vietnam has been one of Mixue’s strongest markets since the brand entered in 2018. As of late 2024, Vietnam had more than one thousand three hundred Mixue outlets, the third largest market after China and Indonesia. Mixue is also the largest food and beverage chain in Vietnam by store count. Financial data from Vietdata shows Mixue Vietnam reached almost one thousand two hundred sixty billion dong in revenue in 2023, up more than two and a half times from the year before, with after tax profit of 204 billion dong.

Industry analysts say the recent cuts reflect wider pressure in the Vietnamese food and beverage sector. A report by iPOS shows Vietnam had about 299,900 F and B stores as of June 2025, down more than seven percent from 2024. Both Hanoi and Ho Chi Minh City saw double digit declines. iPOS describes the current period as a brutal shake out that is forcing businesses to rethink cost structures and pricing strategies.

Mixue says its focus for 2025 includes strict quality control, standardized operations, and the launch of a global support center to strengthen its international franchise system.

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Source: Vietnam Insider