Let’s start with Bubble Tea Knowledge 101. Opening a Bubble Tea Shop is a big commitment in your life since it requires big capital to open and run it (I will cover a sample of startup expenses in Chapter 4). It is important that you know why you are investing in a Bubble Tea Shop. You need to have the right vision and see if there is a potential market to make money out of this industry. I will compare a Bubble Tea Shop and a coffee shop so that you can understand why you stand a chance. In 2014, research showed that average Americans buy 2.1 coffee drinks per day and that number increases with age. On average, Americans pay $3.28 for a cup of coffee.
So many meetings, dates, and hangouts have occurred in coffee shops all over the world; so much so that coffee shop can be considered a pillar in people’s lives. However, certain American entrepreneurs and Taiwanese chains are determined to use Bubble tea to alter this allegiance to coffee. You can be one of these entrepreneurs who is already changing the market with this new drink in the eyes of Americans.
The U.S. presents great opportunities for the tea business, with a big and ready market. Coffee is hugely popular globally, but tea is the most widely-consumed beverage in the world next to water (and right before beer). Both coffee and tea have their benefits, although it is always hard to point to exactly what those are due to a lot of contradictory studies.
The Harvard School of Public Health analyzed coffee’s overall effect on a person’s health and concluded that the beverage was pretty neutral. It didn’t cause any severe health problems, but it also did not necessarily have any specific health benefits, either. Oon the other hand, Tea is filled with antioxidants and potential cancer-fighting properties.
According to the National Cancer Institute at the National Institutes of Health (NIH), tea contains polyphenol compounds, which are antioxidants that might aid in cancer prevention. Although coffee contains more caffeine than tea, since customers are more concerned about their health, well-being, and lifestyle, tea has better health benefits than coffee.
There are various other factors that may make it seem like a good time to be in the coffee industry in the current market, but the tea market has been around just as long as coffee. The prospects for the tea market will continue to grow, and I believe Bubble tea is helping to boost the tea market. This is the time to start investing in the Bubble tea market before it gets too big.