Digital-native CHAGEE bets on localisation to crack the Philippines' experience economy

Born into the digital era rather than retrofitted for it, CHAGEE is betting that technology-led localisation - not simply aggressive expansion - will define whether global lifestyle brands can truly resonate in culturally nuanced markets such as the Philippines. 

Speaking at the 2026 Content360 Conference in a fireside chat marking International Tea Day, Oliver Rabatan (pictured), deputy general manager and head of marketing and user operations at CHAGEE Philippines, outlined how the tea chain is approaching localisation not as a campaign layer, but as a structural business strategy. 

The approach comes as the China-born tea brand rapidly scales beyond its home market. Founded in 2017, CHAGEE now operates more than 7,400 stores globally, with more than 200 stores in Malaysia alone. The company entered five new markets last year, including Indonesia, the US, Thailand, Vietnam and the Philippines, before expanding into South Korea this year. 

In the Philippines, the brand has already opened 17 stores in under 10 months. 

Don't miss: Tea, culture, consistency: CHAGEE's strategy for long-term differentiation in the Philippines

Moving beyond surface-level localisation 

The more revealing story is not the pace of expansion itself, but how CHAGEE is attempting to avoid one of the most common traps facing regional brands entering Southeast Asia: treating Asia as a monolithic consumer bloc. 

“Well, in a market like Philippines, that’s so nuanced, we have three distinct levels of localisation,” Rabatan said during the session. 

According to Rabatan, the first layer is surface-level localisation - adapting artwork into local languages, introducing localised products, or working with local KOLs. While necessary, he acknowledged that such tactics alone rarely build meaningful cultural connection. 

The second layer focuses on cultural and brand integration. Rabatan said CHAGEE’s Philippines strategy was shaped by observing the communal and family-oriented nature of Filipino consumers, particularly younger audiences who increasingly “consume experiences” rather than just beverages. 

The third layer, meanwhile, is personalisation. Rabatan described this as the “ultimate” form of localisation, made possible by CHAGEE being digital-native with tech systems and consumer data infrastructure already embedded into the business. 

“Back then, it was not possible to personalise your marketing at scale,” he said. “But understand that CHAGEE was born into the digital age, so we have systems… that are digital in nature, and that we use this data and infrastructure to know more about the individual.” 

Turning stores into experience-led social spaces 

That localisation insight has heavily influenced CHAGEE’s retail design strategy. Rather than treating stores as transactional spaces, the company positions them as social environments built around connection and aesthetics. 

“So that’s why you can see CHAGEE in the first level of a premium mall. That’s why we build our stores beautifully,” Rabatan said. 

The strategy reflects a broader shift taking place across Asia’s consumer landscape, where retail environments are increasingly expected to function as content engines, social touchpoints and experiential destinations simultaneously. 

Rabatan pointed to concept-driven flagship stores across markets - including pet-friendly stores in the Philippines and large-format experiential locations in Malaysia and South Korea - as examples of how the brand adapts physical retail to local community behaviour while maintaining a globally recognisable identity. 

“Our store is the best advertising medium for CHAGEE. It is also the best manifestation of our brand,” he said, adding that social media then helps amplify those in-store experiences and consumer interactions to wider online communities. 

From loyalty app to community ecosystem 

Throughout the discussion, Rabatan repeatedly framed technology not as a support tool, but as infrastructure underpinning everything from operations and employee engagement to loyalty, community-building and offline experiences. 

The company’s app-based ecosystem, for instance, extends beyond transactional loyalty mechanics into experiential activation. Rabatan shared how CHAGEE recently hosted exclusive tea workshops for loyalty members, transforming online communities into real-world social interactions. 

“They were strangers, but after the session, they literally became friends,” he said. 

The comments reflect how digitally native consumer brands are blurring the line between commerce platforms, social ecosystems and lifestyle communities - particularly as younger consumers seek emotional engagement alongside convenience. 

Balancing tea heritage with modern consumer culture 

At the same time, CHAGEE’s strategy also illustrates the balancing act many heritage-inspired brands now face: modernising tradition without diluting authenticity. 

Rabatan described this internally as “heritage in the cup, while outside of it is modernity”. 

He stressed that authenticity remains central to the product itself, from sourcing tea leaves grown in China to maintaining precise brewing standards. Around that core, however, the brand layers modern design, AI-supported preparation technology, experiential retail and social-first marketing. 

“Even the way we do marketing is modern,” Rabatan said. “We don’t do traditional marketing.” 

Instead, CHAGEE relies heavily on digital and social media strategies, user-generated content amplification and experiential activations. 

A digital-first future for tea retail 

The approach appears particularly suited to the Philippines, where social media penetration remains among the highest globally and digital commerce habits continue to accelerate. 

Rabatan said digital channels - whether through CHAGEE’s own app or online delivery platforms - already account for a significant share of business in the Philippines.

“The goal is to get close to 100% in terms of digital eCommerce or digital channels,” he said. 

Still, the country presents unique category challenges. Tea culture in the market remains largely associated either with bubble tea indulgence or traditional herbal drinks, while coffee continues to dominate mainstream beverage consumption. 

Rather than directly competing on caffeine culture, CHAGEE appears to be positioning itself around lifestyle, aesthetics and increasingly health-conscious consumption habits. 

Rabatan noted that consumer attitudes toward wellness have shifted significantly since the pandemic, particularly among consumers in their 30s who are becoming more conscious about healthier beverage choices. 

“We recognise that the Philippines is really a big market, and if we can create a space that we can truly own by serving our authenticity in a really nice place, I think that, for me, is an effective strategy that we will be sticking to,” he said. 

Step into PR Asia Philippines 2026 on 9 September in Manila, where communications leaders will unpack the realities of trust, nationalism, misinformation, and polarisation shaping the country’s evolving narrative landscape.

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CHAGEE opens first Philippine branches, bringing centuries-old tea culture to Manila
CHAGEE's Indonesia playbook: scaling tea culture across Jakarta and Bali