Traditional Chinese Cultural Branding and Premium Positioning: A Critical Evaluation of CHAGEE's Marketing Strategy

China's freshly brewed tea market is growing rapidly, making cultural branding a key differentiator. This study explores how CHAGEE leverages traditional Chinese culture to build a premium brand position. It addresses three questions: (1) How cultural branding shapes its segmentation, targeting, and positioning, (2) How positioning is executed through the marketing mix—product, price, place, and promotion, and (3) What challenges threaten brand authenticity, perceived customer value, and message consistency. Using a qualitative single-case study approach, the research analyzes CHAGEE's official materials, industry reports, and academic literature. Findings show that CHAGEE targets urban consumers who prioritize tea quality, convenience, and brand experience. Its premium positioning is built through origin-sourced leaf tea, culturally resonant product names, heritage-inspired packaging, minimalist-store aesthetics rooted in Chinese design principles, and digital storytelling that modernizes tea culture. These elements jointly deliver both functional value (e.g., freshness, taste) and symbolic value (e.g., identity, tradition)—anchored firmly in tea itself as the core product. However, "premium" positioning alone does not automatically translate into higher willingness-to-pay, repeat purchases, or loyalty. Rapid physical expansion, inconsistent service quality across stores, and overuse of promotions risk diluting brand authenticity and eroding perceived value. The study concludes that cultural branding sustains differentiation only when grounded in three pillars: reliable product quality, demonstrable customer value, and consistently delivered service experiences.