Bubble Tea Market

Bubble Tea Market By Product (Black Tea, Green Tea, Oolong Tea, White Tea) By Component (Liquid, Flavor, Creamer, Sweetener, Others) - Global Opportunity Analysis, Region, and Industry Forecast, 2023-2031

Food & Beverages | March 2023 | Report ID: EMR0054 | Pages: 185

The global bubble tea market size was evaluated at USD 3.27 billion in 2022 and it is expected to hit around USD 6 billion by 2031, growing at a CAGR of 6 % from 2023 to 2031. The rising popularity of green tea across the globe is expected to boost the market for bubble tea during the forecast period.

Bubble tea, which was invented in Taiwan in the late 90s, is a cold and frothy drink made with cold milk and tapioca pearls known as "boba." Bubble tea has made its mark in the food and beverage industry with its distinct taste and wide range of flavors. Bubble tea is made up of tea, milk, ice, and a variety of flavors. 

The addition of tapioca pearls to bubble tea has increased its popularity in recent years, particularly among the younger generation. Tapioca pearls, the main ingredient in bubble tea, are made from cassava tapioca starch. These tapioca pearls are then softened and chewy by being sweetened with honey and brown sugar. Bubble tea's increased sales are attributed to the beverage's proven health benefits. Bubble tea's popularity has grown rapidly due to the combination of sweet and sour flavors, as well as the presence of refreshing tea.

Covid-19 Impacts:

The unexpected outbreak of Coronavirus disrupted the entire global economy by temporarily shutting down industries. Similarly, the pandemic had a negative impact on the global bubble tea market. During the Covid-19 pandemic, strict regulations forced restaurants, cafes, and shops to close, resulting in massive losses for the bubble tea market due to declining demand. Major regions, including North America and Europe, are reliant on Asian countries such as Taiwan, Vietnam, Singapore, India, and China for the base ingredients used in the preparation of bubble tea.

Because of the massive spread of the virus in these countries, export services were halted for an extended period of time in order to contain the spread of Coronavirus. The disruption in import and export facilities resulted in a scarcity of raw materials needed to make bubble tea. The critical period of the Covid-19 pandemic altered consumer behaviors, resulting in fewer visits to restaurants/cafés and lower consumption of upscale beverages. However, as governments began to ease the lockdown and restrictions, companies in the bubble tea market began to recover at a rapid pace.

Bubble Tea Market REPORT SCOPE & SEGMENTATION

Report Attribute

Details

Estimated Market Value (2022)

3.27 Bn

Projected Market Value (2031)

6 Bn

Base Year

2022

Forecast Years

2023 - 2031

Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment- By Product, By Component, & By Region

Segments Covered

By Product, By Component, & By Region

Forecast Units

Value (USD Billion), and Volume (Units)

Quantitative Units

Revenue in USD million/billion and CAGR from 2023 to 2031

Regions Covered

North America, Europe, Asia Pacific, Latin America, and Middle East & Africa, and Rest of World

Countries Covered

U.S., Canada, Mexico, U.K., Germany, France, Italy, Spain, China, India, Japan, South Korea, Brazil, Argentina, GCC Countries, and South Africa, among others

Report Coverage

Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST analysis, value chain analysis, regulatory landscape, market attractiveness analysis by segments and region, company market share analysis, and COVID-19 impact analysis.

Delivery Format

Delivered as an attached PDF and Excel through email, according to the purchase option.

 

Growth Factors:

Because of the growing popularity of fancy drinks in urban areas around the world, the global bubble tea market is expected to undergo significant change during the forecast period. Because of rising health concerns, consumers are shifting away from carbonated and alcoholic beverages and towards drinks made with natural ingredients; this factor is expected to increase the global popularity of bubble tea. Changing beverage consumption preferences, as well as the easy availability of bubble tea in restaurants and coffee shops, are driving the growth of the bubble tea market.

Another factor driving market growth is the rapidly increasing adoption of cross-continental food and beverages in many countries. Furthermore, the growing popularity of healthy beverages and the availability of a diverse range of flavors in bubble tea are driving the growth of the global bubble tea market. However, factors such as the availability of low-cost beverage alternatives in the market and the presence of added sugar in bubble tea are likely to stymie the bubble tea market's growth.

Regional Analysis:

In 2022, Asia Pacific will have a market share of more than 37%. Bubble tea originated in Taiwan, and the country's large consumer base has fueled market growth in Asia Pacific. The largest bubble tea markets in Southeast Asia are Indonesia and Thailand. Vietnam, as the third largest bubble tea market in Southeast Asia, remains an appealing market during the forecast period.

At the same time, the Singapore market is experiencing significant growth as a result of the country's rising purchasing power. Enough room for small and large-scale players in the region, as well as the availability of low-cost raw materials, is another factor supporting the growth of the Asia Pacific bubble tea market. The presence of major key players in the region has contributed to the growth of the Asia Pacific bubble tea market. Gong Cha, Chatime, Bubble Tea House Company, Coco Fresh, CuppoTee company, and teatime are just a few of the major players based in Asia Pacific.

Because of the younger generation's increased consumption of caffeinated beverages, North America is emerging as the second-largest bubble tea market. The rapid adoption of new food and beverage products by the food and beverage industry in North America has aided the emergence of a variety of Asian-based food and beverages. The rising popularity of Asian-inspired foods and beverages in North America is expected to propel the bubble tea market forward during the forecast period.

The lower tea consumption in Latin America creates a barrier to the growth of the bubble tea market. Similarly, the Middle East and Africa bubble tea market is expanding steadily. The changing food consumption trend caused by globalizations, on the other hand, is expected to cause a shift in the bubble tea market in Latin America, the Middle East, and Africa.

Recent Developments:

  • Jan 2023: Gong Cha, a leading global bubble tea market company based in Taiwan, reached a new milestone in January 2023 by expanding its store line in Portugal. The company made its European debut in 2019, and this will be the company's first store in Portugal. According to the company's announcement, Amelle Morisot will manage the store in Portugal.
  • Sep 2023: Gong Cha, an international bubble tea operator, announced the opening of its first outlet at the Merrion Centre in Yorkshire in September 2022. The company operates 1,500 stores worldwide. With this new addition, the Merrion Centre intends to expand its selection of Chinese food and beverages. Gong Cha in Yorkshire hopes to create at least 20 new jobs with this new location.
  • May 2022: Baskin Robbins, known for its incredible ice cream flavors, launched its first bubble tea, 'Tiger Milk Bubble Tea,' in May 2022. Unlike regular boba, the tapioca pearls used in Baskin Robbins' drink are made with brown sugar. The new item 'Tiger Milk Bubble Tea' will be available for a limited time during the spring and summer, according to the brand.

Competitive Landscape

The Global Bubble Tea Market Some of the major companies include:-

Key Market Players:

  • Chatime Group
  • Gong Cha
  • Yummy Towns Holdings Corporationis
  • K.O.I The Co. Ltd
  • Bobabox Ltd.
  • T Bun International
  • Troika J C
  • Fokus Inc
  • Lollicup USA Inc.
  • The Bubble Tea Company
  • Ten Ren’s Tea Time
  • Bubble Tea House Company
  • Cuppotee

Key Benefits of the Report

  • This study presents an analytical depiction of the Bubble Tea industry along with current trends and future estimations to determine the imminent investment pockets.
  • The report presents information related to market key drivers, restraints, and opportunities, along with detailed analysis of the Bubble Tea Market share.
  • The current market is quantitatively analyzed to highlight the Bubble Tea Market's growth scenario.
  • Porter's five forces research demonstrates the market power of suppliers and buyers.
  • The report provides a detailed Bubble Tea market analysis based on competitive intensity and how the competition will take shape in the coming years.

Bubble Tea Market Report Segmentation

ATTRIBUTE

DETAILS

By Product

  • Black Tea
  • Green Tea
  • Oolong Tea
  • White Tea

By Component

  • Liquid
  • Flavor
  • Creamer
  • Sweetener
  • Others

By Geography

  • North America (USA and Canada)
  • Europe (UK, Germany, France, Italy, Spain, Russia and Rest of Europe)
  • Asia Pacific (Japan, China, India, Australia, Southeast Asia and Rest of Asia Pacific)
  • Latin America (Brazil, Mexico, and Rest of Latin America)
  • Middle East & Africa (South Africa, GCC, and Rest of Middle East & Africa)

Customization Scope

  • Available upon request

Pricing

  • Available upon request

 

The Report Answers Questions Such As:

  • What is the potential opportunity for the Bubble Tea Market.
  • What are the major drivers, restraints, and opportunities of the Bubble Tea Market.
  • What is the market share of the leading segments and sub-segments of the Bubble Tea Market in the forecast period (2023-2031).
  • How is each segment of the Bubble Tea Market expected to grow during the forecast period.
  • What is the expected revenue to be generated by each of the segments by the end of 2031.
  • What are the key development strategies implemented by the key players to stand out in this Bubble Tea Market.
  • What is the preferred business model used for building Bubble Tea Market.
  • Which area of application is expected to be the highest revenue generator in the Bubble Tea Market during the forecast period.
  • Which end-user segment is expected to be the highest revenue generator in this industry during the forecast period.
  • What is the potential of Bubble Tea Market in the emerging countries during the forecast period.

Research Methodology

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Data Collection

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Primary Research

After the secondary research process, we initiate the primary research phase in which we interact with companies operating within the market space. We interact with related industries to understand the factors that can drive or hamper a market. Exhaustive primary interviews are conducted. Various sources from both the supply and demand sides are interviewed to obtain qualitative and quantitative information for a report which includes suppliers, product providers, domain experts, CEOs, vice presidents, marketing & sales directors, Type & innovation directors, and related key executives from various key companies to ensure a holistic and unbiased picture of the market. 

Secondary Research

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Top-Down Approach & Bottom-Up Approach

In the top – down approach, the Global Batteries for Solar Energy Storage Market was further divided into various segments on the basis of the percentage share of each segment. This approach helped in arriving at the market size of each segment globally. The segments market size was further broken down in the regional market size of each segment and sub-segments. The sub-segments were further broken down to country level market. The market size arrived using this approach was then crosschecked with the market size arrived by using bottom-up approach.

In the bottom-up approach, we arrived at the country market size by identifying the revenues and market shares of the key market players. The country market sizes then were added up to arrive at regional market size of the decorated apparel, which eventually added up to arrive at global market size.

This is one of the most reliable methods as the information is directly obtained from the key players in the market and is based on the primary interviews from the key opinion leaders associated with the firms considered in the research. Furthermore, the data obtained from the company sources and the primary respondents was validated through secondary sources including government publications and Bloomberg.

Market Analysis & size Estimation

Post the data mining stage, we gather our findings and analyze them, filtering out relevant insights. These are evaluated across research teams and industry experts. All this data is collected and evaluated by our analysts. The key players in the industry or markets are identified through extensive primary and secondary research. All percentage share splits, and breakdowns have been determined using secondary sources and verified through primary sources. The market size, in terms of value and volume, is determined through primary and secondary research processes, and forecasting models including the time series model, econometric model, judgmental forecasting model, the Delphi method, among Flywheel Energy Storage. Gathered information for market analysis, competitive landscape, growth trends, product development, and pricing trends is fed into the model and analyzed simultaneously.

Quality Checking & Final Review

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