Milk Tea is one of the most popular beverages in the country today. It is not surprising to see someone you know drink milk tea every day, willing to line up for hours or having it delivered to their doorstep. A lot of people love milk tea so much that they want to franchise it. But with so many choices out there, it’s important to understand the differences.
Here are the points to take when choosing a milk tea franchise:
1. Understanding your budget
There are tons of milk tea brands in the country today. Investment in milk tea carts with a size of 4 sqm can start from as low as Php 250,000+ while bigger, more established in-line with seating can cost Php 5M+. The bigger the store space you get, the larger investment you should prepare. You have to spend money to make money, but do not forget to keep your emergency and insurance fund in place.
2. Prospecting a location, defining your target market
Some brands offer milk teas at Php 40 pesos while premium brands offer at Php 150 pesos. Make sure your brand and price point match the location and target market. With that, it will be easier for you to build a strong connection to your future customers.
3. Choose: A new franchise brand? Or an established one?
A new franchise brand has more location opportunities especially if it offers unique products and promotions. You will be introducing a new breed of milk tea in the market. While established brand offers familiarity, brand recognition and network. Whichever you pick, whether it is new brand, established or an international one, make sure to be ready financially, mentally and physically.
Here are the top milk tea franchise brands to choose from:
Franchise Fee: Php 56,000
Total Investment: From Php 299k
Cha Thai Authentic Thai Drinks is the famous milk tea franchise by Farron Café. It’s a specialty Thai beverage store with drinks made from the finest grade of quality tea with unique superior flavor and refreshing taste. With a franchise fee worth Php 56,000 and a total investment worth only Php 299,000, you can have a milk tea brand that has great social media following, tried-and-tested operations, and inclusive management. Borne out of love of couple Farwa & Ronnel Hombre, Cha Thai is making waves in the milk tea franchise industry.
2. Sugar Panda
Franchise Fee: Php 180,000
Total Investment: From Php 600k
Serving Taiwan’s No. 1 drink “boba milk tea”, Sugar Panda entered the franchising scene here in the Philippines just last year and the milk tea lovers have gone ever wilder. Owned by couple Kathleen Ritz & Efren Tanyen, Sugar Panda started its operations in Davao back in 2018. Their strong selling point lies in the fact that all their premium ingredients come from Taiwan and they use brown sugar, which is healthier than white or refined sugar. Sugar Panda is also environment-friendly because their containers/tumblers are reusable!
3. Icelavie
Franchise Fee: Php 150,000
Total Investment: Php 415k to 750k
Sizing up the competition more is Icelavie. Coming from Malaysia, Icelavie has brought in gigantic-sized iced drinks in the Philippines that has helped the many beat the tropical heat. Started in May 2018, the popular Malaysian brand became the buzz because of its gigantic 32-ounce beverages, which can withstand 6 hours without losing the taste. Icelavie offers iced tea, coffee, and fruit drinks available in handy, recyclable containers that are fun and practical, and at the same time, absorb the cup’s wetness, making it easier to lug around. Truly unique!
4. Caffé La Tea
Franchise Fee: Php 650,000
Total Investment: From Php 4M
Caffé La Tea is a full-service restaurant that nurtures the Filipino tradition of gathering through good food, cozy dining ambience, and genuine service. It is owned by the four-woman team of Ciarra, Ermina, Happy, and Rona and was established in Cabanatuan City. “Caffé La Tea was conceptualized with the aim to provide a cozy and lively place for friends to gather and chitchat, while filling their cravings for a great cup of coffee or tea, paired with the perfect dessert,” as stated in their official website. If you want a full restaurant business serving exquisite drinks including milk tea, this is the perfect brand for you.
Total Investment: Php 1.88M to 3.68M
“Coffee. Tea. Connect.” Beanleaf Coffee and Tea is the best choice if you’re looking to have coffee and tea in one awesome place. It’s an attractive hangout for taste-diverse groups wherein some love coffee while some love milk tea. This concept was born in 2014 with the mission to satisfy Filipino customers through a selection of high-quality drinks and food enjoyable in a more relaxed café restaurant setup. As for franchising, it offers aspiring entrepreneurs with an effective, easy-to-learn, sustainable business model.
6. Chatime
Franchise Fee: Php 300k to 500k
Total Investment: Php 4M to 8M
Teatime, a direct translation of Chatime, happens anytime and anywhere with its 2,500 locations around the world. “Chatime was founded in Taiwan in 2005, and in 2011 opened its doors in the Philippines,” as stated in its official website. With a tried and tested business, quality, innovation, and fun as its values, Chatime is the brand that continuously leads the flourishing milk tea industry.
U-Franchise Sales & Management is a free franchise matching service that has helped thousands of Filipinos find the right franchise. To find the right franchise opportunity, visit www.ufranchiseasia.com, email franchising@ufranchiseasia.com or call (+63917) 881.69.99.