Bubble tea is a popular drink including tea and either milk, fruit flavors, or both. The drink often contains chewy tapioca balls which sit at the bottom. These tapioca "pearls" come from cassava root which provides vitamin C and calcium. Bubble tea is also known as "boba tea" and "black pearl tea".
The bubble tea industry is rapidly expanding due to the diverse flavor options available. The market was valued at USD 596.79 million in 2021. It is expected to reach USD 1,119.56 million by 2029 with a compound annual growth rate of 7.70% between 2023 and 2032. The growth is largely driven by rising consumption amongst students and working professionals who see it as a refreshing low fat, low calorie drink.
Bubble tea was invented in Taiwan in the 1980s by Tu Tsong He. He was preparing to open a teashop and wanted to create an innovative new drink. His breakthrough came when he added chewy white tapioca balls, called "fenyuan" in Taiwan, to tea. This combination became immediately popular at his shop, Hanlin Tea Room. It then spread rapidly across Taiwan and much of Asia before recently exploding in global popularity.
Major trends shaping the bubble tea industry include a focus on visually appealing, "Instagrammable" drinks, the use of eco-friendly materials like biodegradable cups and paper straws, and relentless innovation. New flavors, textures, and shelf-stable products are continuously emerging to attract customers. Digital transformation through mobile apps and social media integration has also become integral to successful bubble tea businesses. Overall, the industry is lean and nimble – ready to leverage shifting consumer preferences.