Bubble tea, or boba tea—a conventional Taiwanese drink stuffed with tapioca pearls—is exploding in recognition in America. We spoke with Kung Fu Tea‘s advertising and marketing supervisor Matthew Poveromo about how the franchise model, which is ranked No. 57 on Entrepreneur’s 2023 Quickest-Rising Franchises record, is harnessing that development to speed up progress.
How did Kung Fu Tea get began?
Our 4 founders are from Taiwan, they usually noticed a possibility to deliver genuine Taiwanese bubble tea taste to America. They opened April 30,, 2010 and took a few yr for proof of idea, opening 13 shops and simply working by means of the menu and actually constructing out the infrastructure that allowed them to develop fairly quickly once they opened up for franchising in 2011.
So what precisely is bubble tea?
Bubble tea, or boba tea, comes from Taiwan, and it is a conventional drink with both tea and milk or tea and fruit. Its most identifiable attribute is these tapioca pearls on the backside of the drink, and you’ve got a bigger straw so you may chew on these when you drink, and it is tremendous scrumptious. It was created within the ’80s in Taiwan and it came to visit to America within the ’90’s, primarily in city areas with extra range. However as demographics shift in America, you are now seeing it being embraced an increasing number of in rural communities as effectively.
Why do you assume bubble tea is gaining popularity in America?
It was historically very large in cities and nonetheless is, however as individuals are leaving these cities, they’re bringing this tradition with them and sharing it with buddies. It is a very communal, social drink. And in addition, if you find yourself pondering of getting a deal with with a buddy, bubble tea is a really sturdy various to conventional desserts. With bubble tea, you may management the sugar stage and the components that you simply’re placing into it. It may be a really guilt free indulgence, so it is form of driving the well being development.
With that rising recognition, there are an increasing number of manufacturers providing bubble tea now. How does Kung Fu Tea stand out from the gang?
A few of the different manufacturers have a a lot bigger world footprint, however perhaps not essentially in North America. Kung Fu Tea is concentrated on being “America’s Bubble Tea,” so every little thing we do, from menu design and taste profiles to manufacturers we associate with, has this objective in thoughts. We’re centered on offering an genuine Asian and Asian-American expertise, whereas on the similar time serving to the drink develop into extra mainstream in American tradition.
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I additionally assume it is our fearless model. It is a part of our id that we’re a little bit extra daring and in your face, which I feel lots of people can relate to. And also you see that in our social following. We’re actually centered on constructing a group on our social platforms. Associated to that group constructing, we based Nationwide Bubble Tea Day on our eighth anniversary, April 30th, 2018, and it is enjoyable to see different manufacturers within the house now celebrating it with us.
What does Kung Fu Tea search for in its franchisees?
After we onboard franchisees in our company workplace in New York, we at all times ask them, ‘Why Kung Fu Tea?’ and the largest factor is simply their expertise with the drink. They’re very passionate in regards to the business, the product, and particularly our model and the standard we put behind our contemporary tea. We’re not completely on the lookout for folks with franchise historical past or enterprise historical past. What we are on the lookout for is adaptability. The business is at all times altering, so having retailer house owners who perceive that it is a fast-moving business and are there to develop with us is precedence primary.
What are your targets for 2023?
The quantity [of open stores] we’re circling on our whiteboards is 410. And for systemwide gross sales, we’re aiming for $240 million. So these are two bold numbers to hit, and we’re very excited.
What methods do you will have for hitting these numbers?
One of many largest is we’ve some partnerships lined up for 2023 which I am very enthusiastic about. In 2022 we partnered with Nintendo to advertise their latest Kirby recreation. We developed a customized cup and a customized taste known as Kirby’s Fruity Flurry that was accessible for a restricted time. It obtained our clients tremendous excited. Individuals made fan artwork and comics based mostly on it, and that is how you already know it is a profitable program—when folks do not similar to what you created, but it surely evokes them to create as effectively. So these are the varieties of partnerships we’re seeking to proceed in 2023, with iconic manufacturers and family names.
We’re additionally enthusiastic about our app, which was important for us these previous few years, because it was launched proper earlier than Covid. Now we’re overhauling our reward system and dealing on simply having a prime tier app and streamlining the ordering course of. Ordering bubble tea can probably be intimidating as a result of you will have the power to regulate the ice stage, sugar stage, toppings, and flavors. So having an app that breaks that down in a easy means is essential.
Lastly, we even have two different ideas, TKK Fried Rooster and Yasubee Ramen. We’re actually enthusiastic about providing twin idea shops to increase our portfolio providing not only for franchisees however for our clients as effectively.
