Gong cha

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PUSHING THE BOUNDARIES OF BEVERAGE INNOVATION

How Tea is Meant to Be

World-leading bubble tea brand, Gong cha, is known globally for its high-quality whole leaf tea made with premium ingredients. Franchise Business Leader, Keaton Myburgh, reflects on how a recent industry boom has impacted the company’s growth in Europe and the Middle East

Bubble tea, which has undergone an exciting evolution in today’s food and beverage landscape, has captured the imagination of consumers.

Whilst the drink has been around for decades, its sudden popularity has seen it become a go-to drink for many.

Gong cha, one of the world’s leading bubble tea brands, has been able to capitalise on this recent growth.

“We think this explosion is driven by three trends which have contributed to a shift in consumer tastes,” introduces Keaton Myburgh, Franchise Business Leader for Gong cha in the Middle East.

Firstly, Myburgh notes how consumers are increasingly seeking alcohol-free alternatives when catching up with friends or

celebrating a special occasion.

Secondly, the market has become more focused on experiential products and services.

“For example, our bubble tea is fully customisable and can be served with innovative and exciting toppings, jellies, and foams, which capture the diverse preferences of our customers,” he points out.

Meanwhile, the entire industry has

witnessed a surge in demand for nearly all aspects of Asian cuisine over the past decade.

According to global research company, Fortune Business Insights, the bubble tea market is expected to grow at a compound annual growth rate (CAGR) of 7.74 percent from USD$2.63 million in 2024 to USD$4.78 billion by 2032.

“It’s clear to see that bubble tea is,

indeed, an exciting new phenomenon in the food and beverage industry!” Myburgh excites.

UNPRECEDENTED EXPANSION

Founded in Taiwan in 2006, Gong cha is known globally for brewing happiness through its delicious, highquality, whole-leaf tea made with only the best ingredients.

After expanding internationally in 2009, the company has grown to operate in over 2,200 locations across more than 28 markets, serving thousands of delighted guests daily.

Gong cha’s recent expansion into the Middle East has seen the region emerge as a particularly lucrative new market for the company.

Myburgh points out how Gong cha’s guests in the Middle East are normally at one of two stages in their bubble tea journey.

“The first type of guest has never tried bubble tea before and requires some type of education around flavours, combinations, and inclusions.

“The second type of guest, on the other hand, has already tried bubble tea but not yet experienced a product with the same high-quality ingredients we offer.”

Both types of customers are ideal for Gong cha, whose tea is unique in its premium offering.

Due to its growth in the Middle East, the company currently has three locations in Saudi Arabia in partnership with its master franchise, Shahia, with another four under construction.

Part of this expansion includes the launch of a brand-new store in The View Mall, Riyadh.

“Our new store has been a great success. Located in a high footfall area, it has played an important role in introducing local consumers to Gong cha and the joys of high-quality whole-leaf tea,” Myburgh explains.

Since opening its store in The View Mall, the company has also opened

MENU FAVOURITES FROM THE MIDDLE EAST

Since its expansion into the Middle East, namely Saudi Arabia, Gong cha has seen its unique and innovative bubble tea flavour combinations take off. Some favourites include:

• Caramel black milk tea with pearls – served hot

• Black milk tea with pearls –served over ice

• Strawberry almond jelly milk tea – served over ice

• Pistachio milk tea with pearls – served over ice

• Mango latte with milk foam –served over ice

Popular toppings, foams, and jellies include:

• Pearl

• Milk foam

• Almond jelly

• Crème brûlée milk foam

• Coffee milk foam

• Coconut jelly

• Aloe

• Coffee jelly

• Kanten jelly

two more stores in the capital, serving hundreds of cups of bubble tea on a daily basis.

“Four more stores are currently under construction in Riyadh, all of which are due to open between now and the end of January 2025,” he confirms.

Gong cha’s master franchise agreement with Shahia is set to be the largest in its history with plans to open at least 300 stores, firmly establishing the company’s position in the Middle East.

“We’re at the start of our journey at the moment but have been pleased with the progress so far.

“This partnership has given us great confidence to continue with our expansion in the United Arab Emirates (UAE) and Bahrain in 2025.”

PREMIUM TASTE AND AUTHENTICITY

Committed to new product development and innovation that pushes boundaries, Gong cha’s

delicious drinks incorporate unique flavours.

“Whether this be through pairing our teas with spicy hot sauce, chewy tteok rice cakes, or creamy peanut butter – we’re constantly monitoring and identifying the next biggest flavour profiles,” Myburgh elaborates.

The company’s deep awareness of the market has allowed it to remain ahead of the curve, incorporating ongoing trends into its menus as they emerge.

Meanwhile, a transparent and sustainable supply chain has allowed Gong cha to monitor every step in the creation of its drinks, ensuring that its high standards and commitment to fair treatment of workers are maintained at every stage.

“We pride ourselves on our reliable, streamlined, diverse, and efficient supply chain and its management – both domestically and internationally,” he divulges.

Moreover, the company’s exclusive use of high-quality ingredients helps

it to deliver premium taste, freshness, and authenticity, complemented by its continued collaboration with longstanding and trusted suppliers across Asia.

“Today, we work with over 100 suppliers across the finest tea gardens in Asia to ensure their expertise and knowledge as tea masters is passed down to our transparent supply chain and translated in every cup served to our guests.”

Gong cha’s dedication to whole-leaf tea and its vow to never use powders or flavourings ensures that it serves

a fresh product whilst respecting farmers and suppliers.

BREWING A BRIGHT FUTURE

On a mission to scale to 10,000 sites by 2032, Gong cha will leverage its strong footprint in Asia and the US to boost opportunities in Europe and the Middle East, franchising with ambitious businesses that also seek to make bubble tea an everyday ritual.

Belgian-based franchise platform, Mad Vision Group (Mad Vision) – who became a master franchisee as part of Benelux in 2022 – is a prime example

GONG CHA 2.0 STORE DESIGN PROJECT

Demonstrated by its new stores in Riyadh, Gong cha celebrates its high-quality bubble teas through a state-of-the-art store design project.

Its new store format offers a consumer-centric experience that reflects the provenance of the company’s whole-leaf tea, as well as the creative flavours and innovation in its menu.

For example, the rollout of in-store digital screens showcases the steps taken to harvest, dry, and roast its tea leaves, whilst new finishings reflect the jelly and boba inclusions found in its drinks.

“The project is special to us as it places our guests at the heart of Gong cha’s strategy, offering them the opportunity to enjoy their bubble tea in an aesthetically pleasing and high-quality space,” Myburgh prides.

of the kind of partner the company is looking to collaborate with.

“Led by business entrepreneur, Adlane Draou, Mad Vision has expanded the Gong cha brand rapidly in Europe, opening more than 10 new stores so far,” Myburgh shares.

Following a strong start, Draou and the Mad Vision team have expanded the company’s franchises further within France and, more recently, into Morocco and Mauritius – its first foray into Africa.

Going forwards, the Middle East remains a key region for Gong cha’s expansion.

“Though we can’t yet reveal any concrete plans, we’re expecting to open stores in the UAE and Bahrain,” he insights.

The company is also looking to strengthen its position in new and existing markets in Europe and is likely to expand in both areas.

Gong cha is thrilled to be the bestknown bubble tea brand in the Middle East, with a commitment to quality and creativity set to delight customers as it continues its development across the region.

“Given our ongoing expansion, it only seems right that we have now identified new regions for growth. We’re excited to bring our delicious freshly brewed whole leaf bubble tea to guests throughout these areas!” Myburgh passionately concludes.

https://www.gong-cha.com/

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