Bubble Tea Business Analysis
Bubble tea shops have profit margins between 20-30%, which is significantly higher compared to restaurants and coffee shops. Market research on bubble tea popularity is crucial before opening a shop.
Chatime Bubble Tea Franchise
Chatime, originating from Taiwan in 2006, has expanded to over 70 stores in Australia. Its business model focuses on franchisees increasing sales through royalty fees.
Global Bubble Tea Market Overview
The global bubble tea market was $2.02 billion in 2019, projected to reach $3.39 billion by 2027. Thailand and the Philippines are major consumers per capita.
Starting a Bubble Tea Business
Startup costs for a bubble tea shop are around $23,500, covering franchise fees, location, decor, equipment, and inventory. Profit margins for retail food and beverage typically range from 75-80%.
Conclusion
A boba tea shop can be highly profitable with proper execution. Key strategies include market research, location selection, cost management, and financial analysis.