The bubble tea industry has been experiencing significant growth in recent years and isn’t slowing anytime soon. The global bubble tea market size is expected to grow from $2.29 billion in 2022 to $3.78 billion by 2029, at a CAGR of 7.40%, and has become an attractive investment prospect for motivated entrepreneurs. We’ll review several factors driving the growth of the bubble tea industry and why the time to franchise with Gong cha – is now.
CRAVING SOMETHING DIFFERENT
One of the primary factors is the increasing demand for non-alcoholic and non-carbonated drinks among consumers, especially younger generations. Bubble tea typically features an appealing tea base combined with milk, fruit flavorings, and chewy tapioca pearls. The drink can also be customized with a range of toppings, such as fruit jellies, pudding, or whipped cream.
Bubble tea’s unique taste and texture, combined with the ability to customize flavors and toppings, make it an appealing option for consumers looking for a unique and customizable beverage.
POPULARITY IN PRESENCE
Another significant factor driving the growth of the bubble tea industry is the sheer number of bubble tea shops and franchises worldwide, especially in the United States and Canada. Gong cha, has seen this rapid growth with more than 1,900 locations in 22 countries worldwide. We are projected to grow our store count by 40% in 2023 (up from 35% YOY in 2022) and add 80 new locations. Gong cha is on target to exceed 500 U.S. stores by 2025.
Joining forces with an established brand like Gong cha can provide you with a head start in terms of brand recognition and credibility. According to Gong cha Global CEO Paul Reynish, the time is now. “This is an exciting time for the bubble tea industry, and I believe we’re at the forefront of an emerging segment with enormous market potential.” Just ask millennials like Anchal Lamba, the largest U.S. franchisee of Gong cha with 115+ tea shops, who have capitalized on the moment and become young empire builders.
Bubble tea has become increasingly popular in recent years, particularly among younger generations – specifically Gen Z. This generation is unique, diverse, and connected. They share photos and videos of their bubble tea creations on platforms like Instagram and TikTok further spreading awareness of the drink and increasing its popularity among younger consumers.
Gen Z is more environmentally savvy and aware than generations before them. They’re also more health conscious, and because bubble tea is made with natural ingredients, they see it as a healthier alternative to other drinks like soda or energy drinks. Probably most importantly, Gen Z is drawn to the diversity and social aspect of the bubble tea experience—it’s a drink you enjoy with friends.
THE RIGHT INDUSTRY AT THE RIGHT TIME
The future of the bubble tea market is popular and promising. Joining the leader in bubble tea, by owning a Gong cha franchise, is the perfect opportunity to capitalize in the right industry, at the right time. Learn more about your franchising opportunity by scheduling a call with us today.