Bubble Tea Franchises Are Taking India by Storm

Sneha Santra
Sneha Santra Jul 09 2019 - 4 min read
Bubble Tea Franchises Are Taking India by Storm
With the increasing approach of bubble tea culture in India, many business opportunities have blown up for aspiring entrepreneurs.

Heading Towards A Tea-volution!

There’s no denying this fact that India is a tea-loving country, and when you merge tea and business together, the sky is the limit. However, in any business, innovation is an essential element for ensuring growth in the long run. One such innovation in the tea market is the emergence of Bubble Tea!

What started out as a tea stall in Taiwan in the 1980s, paved its way into the international market, and has been gaining momentum in India. Many may think that bubble tea is just a fad that will come and go, but its prolonged existence for almost two decades now tells a different story.

Thus, you are either a part of the bubble tea trend and create the hoopla, or watch it go by and wish that you "should've…"

With the increasing approach of bubble tea culture in India, many business opportunities have cropped up for aspiring entrepreneurs.

So, what exactly is Bubble Tea?

Bubble tea is a non-alcoholic beverage that is made with iced tea, coffee, flavourings such as Mango, Litchi, Peach, Plum etc., milk and chewy pearls (boba) at the bottom of the drink, usually made from tapioca.

 Many people may think that the drink is called “bubble tea” because of the presence of tapioca pearls. If you too feel the same, then it’s time to burst your bubble (pun intended).

The name actually comes from the fact that when the drink is prepared, it is shaken in a cocktail shaker to form air bubbles, making the drink light and frothy.

Why you should invest in a Bubble Tea Franchise?

As mentioned earlier, the bubble tea originated in Taiwan in the 1980s and the trend took the global market by storm by early 2000s. But what took it so long to enter the Indian market is the question of the hour. This also makes people sceptical of adopting the trend as a business idea.

The fact is that the trend of bubble tea did foray into India earlier, but couldn’t pick up the right pace. This is because of the fact that not everyone likes the original bubble tea. Traditionally, bubble tea was made only with black tea which, according to research, was not widely accepted in India. Thus, bubble tea made with black tea was rejected by customers.

However, with Indianisation and customisation, bubble tea gained momentum in the Indian market. The key was to experiment with flavours and variations of tapioca, which suits the Indian taste buds.

Sneaking through the back door of the China Towns, bubble tea has made its mark all over the world and India is the last piece of the puzzle. According to reports, the global bubble tea market is expected to grow at a high CAGR of 7.40% by 2023, with countries such as India and China, possessing high potential for growth.

Other reasons, which make bubble tea a lucrative business opportunity are as follows:

  • easy to prepare
  • less staff required
  • flexible format
  • easy training

Pop-up Franchise Opportunity

Bubble tea has huge potential in the Indian market as the trend is just picking up its pace here. This is the reason why a lot of international brands such as Presotea have shown interest in offering franchise opportunity in the country. Many Indian companies such as Dr Bubbles, Bubble Bar etc have also started franchising their bubble tea brand in India after tasting the fruit of success.

An average bubble tea shop serves between 150-300 bubble teas per day. A shop with a good location can serve between 500-1000+ bubble tea drinks per day thus making it a profitable franchise business opportunity.

Let’s take, for example, Dr, Bubbles, who introduced the original bubble tea flavour along with new flavours, has been offering low-cost franchise in India. The brand has created a niche for itself, with the presence of steel containers and jars filled with colourful liquids, which gives the outlet a laboratory-like feel, doing justice to the name.

Dr Bubbles offers its unit franchise with a total investment of 15-16 lakhs with an area requirement of just 150-250 sq. ft. The brand assures an average ROI of 66% with a payback period of 1 year 6 months. Apart from bubble tea, Dr Bubbles offers a variety of waffles, milkshakes, pancakes etc.
Another home-grown bubble tea brand, Bubble Bar, is offering its master franchise with an investment starting from 35 lakhs.

A unit-franchise of Bubble Bar costs 20-30 lakhs with an area requirement of 500+ sq. ft. The brand assures high returns within the payback duration, which is of 12-15 months.


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