Bubble Tea Market Report 2025

The bubble tea market size has grown strongly in recent years. It will grow from $3.12 billion in 2024 to $3.37 billion in 2025 at a compound annual growth rate (CAGR) of 7.9%. The growth in the historic period can be attributed to cultural influence, youth appeal and trendiness, variety and customization, social media and marketing, health-conscious consumer shift.

The bubble tea market size is expected to see strong growth in the next few years. It will grow to $4.71 billion in 2029 at a compound annual growth rate (CAGR) of 8.7%. The growth in the forecast period can be attributed to menu diversification, celebrity and influencer endorsements, mobile ordering and delivery, sustainability initiatives, specialty and premiumization. Major trends in the forecast period include specialty and limited edition offerings, health and wellness focus, customization and personalization, sustainability initiatives, fusion and experimentation.

The growing consumption of tea is expected to drive the bubble tea market in the future. Tea is a beverage made by pouring hot water over dried and chopped leaves, and sometimes blossoms, primarily from the Camellia sinensis plant. This beverage has been popular worldwide for a long time, and its popularity has surged in recent years due to its numerous health benefits and versatility. As tea gains popularity, consumers are likely to seek out new and innovative tea-based drinks, such as bubble tea. This trend is expected to contribute to the growth of the bubble tea market as more people look for this unique and refreshing beverage. Additionally, the rise of specialty tea shops and the convenience of online ordering have made it easier for consumers to discover and enjoy bubble tea. For example, in January 2024, the United States Census Bureau, a US-based government agency, reported that in 2022, the value of US tea imports, including both flavored and unflavored varieties, reached $508 million, a significant increase from $131 million three decades ago. Therefore, the rise in tea consumption is likely to drive the growth of the bubble tea market.

The rising preference for healthier food options is expected to drive the growth of the bubble tea market in the future. Healthier food options refer to choices that are considered more beneficial for overall well-being and contribute to a balanced and nutritious diet. Many bubble tea shops now offer low-sugar or sugar-free alternatives to cater to customers who are mindful of their sugar intake, enabling individuals to enjoy bubble tea without consuming excessive added sugars. For example, in June 2024, the Food Insight Institute, a US-based food science and nutrition education organization, reported that the 2024 IFIC Food & Health Survey indicates an increasing interest among Americans in boosting their protein intake, which rose from 59% in 2022 to 71% in 2024. Furthermore, 50% of consumers are looking to enhance their consumption of fresh foods, which are widely regarded as the healthiest option. Thus, the growing preference for healthier food options is driving the growth of the bubble tea market.

Major companies in the bubble tea market are concentrating on developing innovative products, such as proprietary Coco jelly boba pearls, to enhance the consumer experience, improve texture and shelf stability, cater to health-conscious consumers, and differentiate their offerings in a competitive landscape. Proprietary Coco jelly boba pearls are unique chewy spheres made from fermented coconut water, providing a distinctively light and resilient texture for bubble tea. For example, in March 2024, SPI West Port Inc., a US-based beverage company, introduced JENJI, a new line of ready-to-drink (RTD) boba teas, to capitalize on the growing popularity of this beverage trend. This line features four flavors - Original Milk Tea, Matcha Latte, Strawberry Latte, and Brown Sugar - packaged in 16.5 oz (490 mL) aluminum cans. Notably, these drinks are free from artificial colors and flavors.

Collaborative ventures and strategic partnerships have emerged as pivotal strategies for major players in the bubble tea market to enhance profitability and market presence. These partnerships, aimed at achieving specific business objectives, mirror the industry's focus on innovation and expansion. An illustrative example is the recent partnership announced in January 2023 between Zest Food Partners and TeaJoy, both prominent UK-based entities. This collaboration aims to democratize access to bubble tea across the UK, tapping into one of the nation's fastest-growing beverage sectors. The alignment of shared objectives between these entities emphasizes the pivotal role of partnerships in driving market penetration and consumer accessibility for bubble tea.

In October 2024, Unsworth Family Holdings Inc., a Canada-based investment and holding company, acquired Aimia Foods Inc. for an undisclosed amount. This acquisition enables Unsworth Family Holdings to expand its portfolio by integrating Aimia Foods' diverse product range and manufacturing capabilities, thereby enhancing its overall operational scale and efficiency. Furthermore, it strengthens Unsworth's presence in the food and beverage industry by leveraging Aimia's established customer relationships and distribution networks. Aimia Foods Inc. is a Canada-based company that supplies products such as boba (tapioca pearls), flavored syrups, and other essential ingredients for creating bubble tea beverages.

Major companies operating in the bubble tea market include Lollicup Inc., CuppoTee Company, Bubble Tea House Company, Ten Ren’s Tea Co. Ltd., Boba Box Limited, Sumos Sdn Bhd, Troika JC., Fokus Inc., Tea Time, Kuaikeli Enterprise Co. Ltd., COCO International Co. Ltd., Kung Fu Tea, Gong Cha, Kevito Ltd., Qbubble Troika J C Inc., Biju Bubble Tea, Bubbleology, Chatime, Comebuy, Ding Tea, Fanale Drinks, Happy Lemon, Heytea, Koi Thé, Nayuki, OneZo, Presotea, Quickly, Royaltea, Sharetea, The Alley, The Tea Terrace, The Whale Tea.

Asia-Pacific was the largest region in the bubble tea market in 2024. Asia-Pacific is expected to be the fastest-growing region in the global bubble tea market during the forecast period. The regions covered in the bubble tea market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the bubble tea market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Bubble tea, also known as boba milk tea, originates from Taiwan and is a chilled, creamy beverage crafted with a tea base mixed with flavors, sweeteners, or milk, typically accompanied by tapioca pearls nestled at the drink's base.

The primary variations of bubble tea revolve around different tea bases, including black tea, green tea, oolong tea, white tea, among others. Black tea, distinguished by its higher oxidation level derived from the Camellia sinensis plant, presents a range of flavors such as original, fruit-infused, coffee-based, chocolate-infused, and more. Its components generally encompass flavorings, creamers, sweetening agents, liquid bases, tapioca pearls, and other optional additives.

The bubble tea market research report is one of a series of new reports that provides bubble tea market statistics, including bubble tea industry global market size, regional shares, competitors with a bubble tea market share, detailed bubble tea market segments, market trends and opportunities, and any further data you may need to thrive in the bubble tea industry. This bubble tea market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The bubble tea market consists of sales of teas without milk and milk teas. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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