Why Is Mixue So Cheap in Malaysia? Real Reasons Explained
Last updated: 20 August 2026
If you’ve ever looked at a Mixue menu and wondered how an ice cream can cost around RM2 while many bubble-tea drinks from competing chains cost considerably more, you’re not alone.
Mixue’s low prices are not simply because the company uses “cheap ingredients.” The bigger explanation is its business model: large-scale production, centralized supply-chain operations, franchising, standardized products and very high sales volume. Mixue itself describes its business around “great taste, fair price” and operates large production facilities and a company-owned supply chain.
So, why is Mixue so cheap in Malaysia? Let’s break down what is actually happening behind that RM2 ice cream.
1. Quick Answer: Why Is Mixue So Cheap?
Mixue is affordable mainly because it operates at enormous scale. The company produces and distributes many of its core ingredients through a centralized supply chain, works with franchisees rather than operating every store itself, keeps its menu relatively standardized and relies on high sales volume. These factors can reduce purchasing, production and operating costs per item, allowing Mixue to sell selected products at unusually low prices.
2. Centralized Supply Chain
One of the biggest pieces of the puzzle is supply-chain scale.
According to Mixue’s own company information, it has five large production bases covering approximately 670,000 square metres, producing ingredients and materials including sugar, dairy, tea, coffee, fruit and grains. It also says its supply chain includes company-operated warehouses and a delivery network supporting its stores.
Instead of every individual Mixue outlet independently finding suppliers for ingredients, packaging and other operating materials, Mixue has built a large centralized supply system.
That matters because buying at a huge scale can change the economics.
Imagine two small cafés:
Café A buys 20 kg of an ingredient.
Mixue’s wider network needs dramatically more.
A company purchasing at much larger volumes can potentially negotiate better supplier terms, standardize packaging and production, and distribute costs across a much larger number of products.
That’s one reason Mixue’s pricing strategy is difficult for a small independent shop to copy.
3. Large-Scale Manufacturing
Mixue’s manufacturing infrastructure is another important part of its business model.
The company says its production bases manufacture a wide range of ingredients used across its product system. It reported an annual ingredient output of 1.43 million tonnes as of Q3 2023.
This is important because Mixue isn’t simply buying every ingredient at retail-like prices and then adding a markup.
Instead, the business has invested heavily in production and supply infrastructure.
Why does that help keep prices down?
Large-scale production can spread fixed costs over enormous quantities.
For example, if a production facility makes:
1,000 units → fixed costs are spread over 1,000 units-
100,000 units → those same types of fixed costs can be spread over far more units
The actual cost structure is more complicated than this simple example, but the basic principle is economies of scale.
Important clarification
It’s better to describe this as large-scale centralized production and supply-chain management rather than claiming that every Mixue ingredient is manufactured in China. Mixue’s official information confirms its large production bases and centralized supply chain, but individual ingredients can have different sourcing arrangements.
4. The Franchise Model
Another major reason is the franchise structure.
Mixue doesn’t have to personally finance and operate every outlet in Malaysia.
Its franchise system allows local business operators to open stores under the Mixue brand while following the company’s operating requirements.
Mixue’s Malaysia franchise page currently describes a process involving consultation, application, store finding, store review, agreement signing, renovation, training and opening. It also lists store formats including mall kiosks, standard stores and containers.
The company currently lists an overall estimated setup requirement of RM300,000, with separate figures for items such as royalty, security deposit, equipment and initial inventory/opening costs; it also states that costs can vary by location.
This model allows the brand to expand without having to own every shop itself.
And more stores mean:
more customers → more product demand → greater purchasing scale → stronger supply-chain utilization.
That creates an important feedback loop.
5. High-Volume Strategy
Mixue’s strategy isn’t necessarily:
“Make RM10 profit from every drink.”
Instead, an affordable product can attract a much larger number of customers.
Consider the psychology of a RM2 ice cream.
A customer who might hesitate to spend RM10–RM15 on a drink may happily buy a RM2 dessert.
Then that same customer might add:
a tea
a sundae
a milk tea
another item for a friend
The low entry price therefore helps bring people into the store.
Mixue itself positions its brand around making ice cream and tea products available at prices people can afford.
The key concept is volume.
A business can sometimes make a smaller amount per individual transaction while generating a large number of transactions.
6. Low Margins — But Be Careful With This Claim
You’ll often see people say:
“Mixue keeps its profit margins very low.”
That sounds reasonable, but we should not publish a specific Mixue store-level profit margin unless we have reliable financial evidence for that particular claim.
A safer way to explain it is:
Mixue appears to compete heavily on value and volume.
Its low prices are part of its brand positioning, while the wider business model is built around scale, franchising, standardized products and centralized supply.
This distinction is important.
Low retail prices do not automatically mean low company-wide profit margins.
The economics of the franchisor, franchisee, manufacturing operations and individual stores are different.
So on your website, avoid statements such as:
“Mixue only makes 10% profit on every cup.”
unless you have an authoritative source proving that exact number.
7. Standardized Menu
Walk into different Mixue outlets and you’ll notice something important:
the menu is highly standardized.
A customer expects the same core products and recognizable preparation style across outlets.
This makes operations easier.
Instead of every outlet creating its own:
recipes
ingredients
packaging
preparation methods
supplier relationships
the brand can operate around a common system.
This also makes franchise training easier.
A new employee doesn’t need to invent a recipe for every customer. They follow standardized preparation procedures.
Mixue’s franchise information specifically highlights training as part of its store-opening process.
8. Limited Customization Can Keep Operations Simple
Mixue does offer customization on selected drinks.
For example, its current menu information lists different sugar and ice options, including 0%, 30%, 50%, 70% and 100% sugar, along with ice-level choices.
But compared with a restaurant where customers can completely redesign a meal, the basic Mixue system remains relatively structured.
That matters operationally.
A standardized drink is easier to:
prepare
train staff to make
calculate ingredient requirements
reproduce across hundreds or thousands of stores
So customization exists, but the underlying product system remains standardized.
9. Affordable Store Formats
Another interesting part of Mixue’s expansion strategy is that it doesn’t rely on only one type of expensive flagship shop.
The Malaysian franchise information lists:
Mall kiosk
Standard store
Container
as available store formats.
The company also provides minimum space and infrastructure requirements for these formats.
This gives franchisees flexibility to operate in different environments.
A smaller kiosk or container format can potentially require a different investment profile than a large standalone shop.
Again, don’t claim that every Mixue store has low rent. Rent varies enormously between Kuala Lumpur, Penang, Johor, Selangor and smaller towns.
The important point is that the brand has multiple store formats, allowing it to fit different locations.
10. Mixue vs Tealive vs Chatime Pricing
Mixue’s pricing becomes much easier to understand when you compare it with other Malaysian bubble-tea chains.
| Brand | Typical positioning | Example pricing |
|---|---|---|
| Mixue | Budget/value | Ice cream from around RM2; many drinks below RM10 |
| Tealive | Mid-range bubble tea | Many drinks around RM8–RM13+ |
| Chatime | Bubble-tea chain | Pricing varies by drink/outlet |
| Gong Cha | Premium/mid-range tea | Generally higher-priced specialty drinks |
Mixue’s current Malaysian menu listings show products such as Mixue Ice Cream at RM2, Fresh Lemonade at RM3, Lemon Jasmine Tea at RM4 and several milk-tea products around RM5–RM7.
For comparison, Tealive’s official menu currently includes milk teas, Bang Bang drinks, coffee and other categories, while published 2026 Malaysian menu references show many drinks around the RM8–RM13 range depending on product and promotion.
So what’s the real difference?
It’s not simply:
Mixue = cheap ingredients
Tealive = expensive ingredients
That’s too simplistic.
The brands have different:
recipes
positioning
product ranges
supply chains store
economics marketing strategies
customer expectations
Mixue’s strongest competitive advantage is its value positioning.
11. Is Cheap = Low Quality?
Not necessarily.
A low price doesn’t automatically mean a product is poor quality.
A business can reduce prices through:
economies of scale
centralized purchasing
standardized recipes
efficient logistics
high sales volume
franchise expansion
simpler store formats
The better question isn’t:
“Is Mixue cheap?”
It is:
“What are you getting for the price?”
For someone who wants an inexpensive ice cream or refreshing drink, Mixue can provide strong value.
For someone looking for premium tea leaves, specialty preparation or a more sophisticated café experience, another brand may be a better fit.
So cheap and low quality are not automatically the same thing.
12. Why Is the RM2 Ice Cream So Cheap?
The RM2 ice cream is probably the question most people are actually asking.
Mixue’s current Malaysian menu has the ice cream starting at around RM2, making it an unusually low-priced entry product.
There are several reasons this can work as part of the wider business model:
1. Simple product
Soft-serve ice cream is operationally simpler than many elaborate specialty drinks.
2. High volume
A very affordable product can attract large numbers of customers.
3. Brand awareness
The low price itself becomes marketing.
People see:
RM2 ICE CREAM
and remember the brand.
4. Add-on potential
A customer may come for the ice cream and purchase another product.
5. Scale
Mixue’s centralized production and distribution system supports a very large store network.
So the RM2 product shouldn’t necessarily be viewed as an isolated product.
It is part of the overall value-and-volume strategy.
13. Does Mixue Make Money From the RM2 Ice Cream?
This is where online discussions often become misleading.
We shouldn’t assume that Mixue makes a particular amount of profit from each RM2 ice cream.
The retail price is only one part of the economics.
The actual calculation would involve things such as:
ingredients
packaging
labour
rent
electricity
logistics
franchise-related costs
wastage
taxes
payment processing
And these costs vary from outlet to outlet.
So the better conclusion is:
The RM2 ice cream works because Mixue’s wider business model is designed around scale, affordability and high customer volume—not because we can prove that every RM2 serving generates a large profit.
14. Why Mixue Can Keep Expanding
There is another interesting part of the model.
More stores can increase demand for the centralized supply system.
More demand can support larger-scale production.
Larger production can potentially improve utilization and purchasing efficiency.
And a recognizable brand makes it easier for new franchisees to enter the market.
This creates a cycle:
Affordable prices
↓
More customers
↓
Higher sales volume
↓
Greater purchasing and production scale
↓
Stronger supply-chain economics
↓
Ability to maintain competitive prices
It’s not a magic trick.
It’s economies of scale combined with franchising and standardized operations.
15. What About the Ingredients?
Another common misconception is:
“Mixue is cheap because it uses bad ingredients.”
That’s not something we should state without evidence.
Mixue’s own information says its production system covers ingredients including sugar, dairy, tea, coffee, fruit, grains and specialty ingredients. It also describes large-scale production and centralized distribution.
The sensible conclusion is that the price alone cannot tell you whether ingredients are good or bad.
Ingredient quality is a separate question that needs to be assessed from product specifications, certification and independent evidence.
16. Does Mixue’s Supply Chain Really Come From China?
This needs a little nuance.
Mixue originated in China and its headquarters are in Zhengzhou, Henan, China. The company’s official site describes its Chinese headquarters and large-scale production infrastructure.
However, this is not a fact that
“Every Mixue ingredient in Malaysia comes from China.”
A better statement is:
Mixue is a global business supported by a centralized production and supply -chain system ,with major manufacturing infrastructure in china,while sourcing and distribution arrangements can vary by market and ingredient.
17. Is Mixue Halal in Malaysia?
Yes, there is official halal certification information for MIXUE MALAYSIA SDN. BHD. in Malaysia’s halal directory.
The official Halal Malaysia portal lists Mixue Malaysia Sdn. Bhd. and provides certification records and expiry dates.
The official record also lists specific products/menu items under the certification record.
Important distinction
Don’t simply write:
Halal certification is tied to the relevant certified entity/premises/products and should be checked through the official Malaysian halal system where necessary.
You can link readers to your dedicated Mixue Halal Malaysia Guide for the detailed explanation.
18. Frequently Asked Questions
Why is Mixue so cheap?
Mixue’s affordability is linked to its large-scale production, centralized supply chain, franchise model, standardized menu and high-volume strategy. These factors can help reduce costs across a large network and allow the company to compete heavily on price.
Why is Mixue ice cream only RM2?
The RM2 ice cream is part of Mixue’s value-oriented product strategy. Its low price helps make the brand accessible and can attract high customer volume. Current Malaysian menu information lists Mixue Ice Cream at around RM2.
Does Mixue use cheap ingredients?
A low retail price does not prove that ingredients are low quality. Mixue operates a large centralized production and supply system covering ingredients such as dairy, tea, fruit and sugar.
Is Mixue from China?
Yes. Mixue originated in China, and the company’s headquarters are in Zhengzhou, Henan, China.
Does Mixue make its own ingredients?
Mixue operates large production bases and describes a self-owned supply chain involving production, warehouses and distribution.
Is Mixue a franchise?
Yes. Mixue operates a franchise system. Its Malaysian franchise page describes the application, store review, agreement, renovation, training and opening process.
what cost to open a Mixue in Malaysia?
Mixue Malaysia currently publishes an overall estimated setup requirement of RM300,000, with individual costs depending on the location and store setup. Always check the official franchise information for the latest figures.
Is Mixue halal in Malaysia?
MIXUE MALAYSIA SDN. BHD. appears in the official Malaysian halal directory, with certification records listed by the Halal Malaysia portal.
Is Mixue cheaper than Tealive?
Generally, Mixue’s core menu is positioned at a lower price point. For example, current Mixue listings include products from RM2, while Tealive’s menu contains many drinks priced substantially higher depending on the product and promotion.
Is cheap Mixue worth trying?
For customers looking for inexpensive ice cream, fruit tea or milk tea, Mixue can offer strong value. Whether it is “worth it” ultimately depends on your taste, preferred drink style and budget.
Why does Mixue have so many outlets?
Its franchise model allows the brand to expand through franchise operators, while centralized supply-chain infrastructure supports its growing store network.
Does Mixue use a standardized menu?
Yes. A standardized product system allows the brand to maintain recognizable products across its network and makes franchise training and operations easier. Mixue’s franchise process includes training before opening.
Can Mixue customize sugar levels?
Selected current Malaysian menu information lists sugar options including 0%, 30%, 50%, 70% and 100%, although options can vary by product or outlet.
Is it a big profit on every RM2 ice cream?
There is not enough public evidence to claim a specific profit per RM2 ice cream. The better explanation is that the product fits Mixue’s broader high-volume, value-focused business model.
Do every tea company use the same recipy?
Different brands have different recipes, positioning, supply chains, store formats and customer expectations. A strategy that works at Mixue’s scale isn’t automatically suitable for every competitor.
19. The Real Secret Behind Mixue’s Low Prices
After looking at the business model, the answer becomes much less mysterious.
Mixue’s low prices are not explained by one single trick.
It’s the combination of:
Large-scale production
+
Centralized supply chain
+
Franchise expansion
+
Standardized products
+
Multiple store formats
+
High sales volume
+
Value-focused pricing
That combination gives Mixue an operating model designed to make affordable products available to a very large customer base.
And that’s probably the biggest reason you can walk into a Mixue outlet and see a RM2 ice cream while other bubble-tea chains often charge considerably more for their drinks.
20. Sources & References
For this article, I’d recommend keeping your references official wherever possible:
MIXUE Malaysia — official company information: MIXUE Malaysia official website
MIXUE supply-chain information: MIXUE About / Supply Chain
MIXUE Malaysia franchise information: MIXUE Franchise Information
Malaysia Halal Portal: Halal Malaysia official directory
Tealive official menu: Tealive Malaysia Menu
For the pricing comparison, I would not claim that the prices are permanently fixed. Menu prices, promotions and outlet pricing can change, so add a note such as:
Want to compare Mixue with other popular bubble-tea brands? See our complete [Mixue vs Tealive vs Chatime comparison] for prices, menu choices and what makes each brand different.
If you’re more interested in the nutritional side, our Mixue Calories & Nutrition Guide lists calories across popular menu categories.