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Bubbles tea may have started as a playful drink, but it grew into a billions of billions.
Bubbles market market size will grow from 2.83 billion in 2025 to $ 4.78 billion by 2032, reports A report With Fortune Business Insights.
This year, three Chinese Tea Networks-Mixue Group, Guming Holdings and Neuutea Jenny-Overgrown in Hong Kong, and raised more than $ 700 million when investors are betting on a fast-growing consumer market.
“This is the right place at the right time,” said William MA, Chief Investment Group Investment, in an interview “CNBC explains.“
“Many world investors are trying to invest in the sector less sensitive to tariffs in the US. Thus, internal consumption, consumption of the younger generation, is a more stable or less vulnerable sector,” MA added.
Mixue has become a heavyweight sector weight that operates over 46,000 stores worldwide by the end of 2024. McDonald’s. Starbucks And the subway. Its ultra-naughty prices and a model with a large volume are greatly rested on franchise.
“In 2024, they grow by about 22% in terms of the new store growth,” said Me.
Franchizing is the main place in the tea industry of the bubbles. Most large tea chains with the bubbles themselves do not control the shops. Almost every outlet is franched. Parental companies earn the supply of ingredients and equipment, as well as collecting fees, while franchisee is overestimated to rent, work and utilities.
This model fits rapid growth, but comes with compromise: maintaining quality and avoidance of cannibalization of the store is becoming more, as outlets multiply.
“The usual payback period for the business owner for Franchise is from 18 to 24 months,” said MM, assessing the closure rates of about 20% on the market.
But foreign expansion is not a guarantee of success. CNBC Chinese reporter Elein Yu noted that replication of the internal formula abroad comes with additional problems.
“The supply networks are more difficult to control, and the tastes of consumers are different from the city to the city. That is why brands adapt to regional tastes and various store formats to defeat local customers,” Ya.
Home market saturation, cost growth and intense price wars also check the stability of these brands. Can they support their estimates, depend on their ability to balance the scale with profitability – and prove that they can build more than just admiration.
Look at the full interpreter by clicking the video at the top of the story.