Bubble Tea Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031

The Global Bubble Tea Market to grow from USD 2.96 Billion in 2025 to USD 4.56 Billion by 2031 at a CAGR of 7.47%. The Global Bubble Tea Market involves the trade of prepared tea-based beverages from Taiwan, typically distinguished by the mix of brewed tea, milk or fruit flavorings, and texturized toppings like tapioca pearls. This industry expansion is fundamentally underpinned by rising global demand for customizable, non-alcoholic functional drinks and the proliferation of specialized quick-service retail outlets designed for on-the-go consumption. These structural drivers differ from temporary market trends, signifying a permanent shift in consumer preferences toward personalized and experiential beverage options, particularly among younger demographics.

Conversely, the sector encounters a major impediment regarding health apprehensions related to the high caloric and sugar content of tapioca pearls, which could restrict market penetration among health-conscious consumer segments. Despite this challenge, the industry continues to demonstrate substantial economic scale in key regions. According to the China Chain Store and Franchise Association, in 2025, the market size of the new-style tea beverage sector was estimated to exceed 200 billion yuan, underscoring the robust commercial viability of the category within its largest market.

Market Drivers

The rapid expansion of international franchise networks and store footprints serves as a primary engine for market scalability, enabling brands to enter new geographical regions efficiently. By utilizing standardized operational models and supply chain logistics, major industry players can quickly multiply their point-of-sale locations, thereby increasing consumer accessibility and brand visibility globally. This aggressive scaling strategy is evident in the operational footprints of leading market incumbents who use franchising to secure dominance in both domestic and overseas territories. According to Mixue Group, January 2024, in the 'Application Proof', the company reported establishing a vast network of over 36,000 stores worldwide, highlighting the immense physical reach and distribution capability achievable through the franchise model.

Additionally, continuous product innovation and diverse menu customization act as critical differentiators that sustain consumer engagement in a highly competitive landscape. Brands are increasingly investing in product development to offer health-centric variants, fresh fruit integration, and customizable sugar levels, which appeals to evolving consumer preferences for higher quality and functional beverages. This strategic focus on premiumization and menu diversity translates directly into robust financial performance for adaptive brands. According to Nayuki Holdings Limited, March 2024, in the 'Annual Report 2023', the group achieved a revenue of approximately RMB 5.16 billion, driven by the optimization of its store network and product lineup. Furthermore, according to Sichuan Baicha Baidao Industrial Co., Ltd., April 2024, in the 'Prospectus', the total retail sales value of the company's tea drinks reached RMB 16.9 billion in 2023, reflecting the substantial liquidity circulating within the sector.

Market Challenges

The high sugar and caloric content associated with ingredients like tapioca pearls constitutes a substantial impediment to the growth of the Global Bubble Tea Market. As public awareness regarding the adverse effects of excessive sugar intake rises, a considerable segment of health-conscious consumers is increasingly reluctant to engage with the category. This hesitation restricts the market’s ability to expand beyond its core indulgent user base, as the perceived lack of nutritional value acts as a deterrent for demographic groups prioritizing weight management and functional diets. Consequently, the reliance on traditional, calorie-dense formulations limits the frequency of repeat purchases and hampers broader market penetration.

This shift in consumer behavior is quantifiable and reflects a structural friction against the industry's expansion. According to the International Food Information Council, in 2024, 66% of consumers reported trying to limit or avoid sugars in their diet, marking a distinct increase in avoidance behavior compared to prior years. This statistical evidence highlights a direct conflict between the market's staple offerings and evolving dietary preferences, indicating that the industry’s potential for volume growth is being actively constrained by this widespread nutritional scrutiny.

Market Trends

The integration of robotic automation and smart service technologies is fundamentally reshaping the operational infrastructure of the bubble tea market. Major brands are increasingly deploying proprietary automated tea-making devices and digital management systems to standardize product quality and mitigate rising labor costs. This technological shift allows for precise control over brewing parameters and ingredient ratios, which is critical for maintaining brand integrity across rapidly scaling franchise networks. The commitment to this structural modernization is evident in the capital allocation strategies of leading industry players. According to Sichuan Baicha Baidao Industrial Co., Ltd., April 2024, in the 'Prospectus', the company allocated approximately 20% of the net proceeds from its global offering specifically to developing digitalization capabilities and engaging professional talents to support its smart store operations.

Simultaneously, there is a distinct strategic pivot toward the expansion of Ready-to-Drink (RTD) retail and supermarket offerings, allowing traditional fresh-tea brands to capture consumption occasions outside of physical teahouses. By leveraging partnerships with convenience store chains and FMCG distributors, bubble tea franchises are commoditizing their signature flavors into shelf-stable formats to secure new revenue streams and enhance brand ubiquity. This trend bridges the gap between premium on-premise experiences and mass-market accessibility, effectively transforming the beverage from a destination purchase to a convenience product. A notable instance of this channel diversification occurred when Gong Cha Japan, June 2024, in a 'Press Release', announced the launch of its first-ever PET bottle tea range, including Brown Sugar Oolong Milk Tea, exclusively across 20,000 7-Eleven stores nationwide.

Key Players Profiled in the Bubble Tea Market

• Bobabox Ltd.
• Bubble Tea House Company
• Gong Cha
• ChaTime
• Fokus, Inc.
• Lollicup USA, Inc.
• Bubble Tea Supply, Inc.
• Ten Ren's Tea Time
• T Bun International
• Troika JC

Report Scope

In this report, the Global Bubble Tea Market has been segmented into the following categories:

Bubble Tea Market, by Product Type:

• Black Tea
• Green Tea
• Oolong Tea
• Others

Bubble Tea Market, by Flavor:

• Fruit
• Taro
• Strawberry
• Classic
• Coffee

Bubble Tea Market, by Distribution Channel:

• Online
• Offline

Bubble Tea Market, by Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Bubble Tea Market.

Available Customization

The analyst offers customization according to your specific needs. The following customization options are available for the report:

• Detailed analysis and profiling of additional market players (up to five).

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