Simple-to-Operate Bubble Tea Franchise Boasts High Tech and Strong Margins
- Ranked the No. 1 tea brand for five consecutive years by Entrepreneur’s Franchise 500®, Gong cha is rapidly expanding across traditional and non-traditional venues throughout the U.S.
- Flexible 200 to 800 square foot footprints and simplified operations with no exhaust hood, fryer or freezer requirements create a scalable model with lower buildout and operating costs for franchise operators.
- Gong cha 2.0 integrates kiosks, digital ordering and proprietary Super Wu beverage automation technology capable of automating approximately 70%–85% of beverage preparation in as little as 43 seconds while improving peak-hour throughput by up to 65%.
- Self-order kiosks now account for approximately 70% of U.S. transactions while generating 10%–15% higher average check sizes and loyalty opt-in rates exceeding 80%.
- As one of the few major tea brands with its own tea farms, Gong cha delivers over 2,000 customizable beverage combinations while maintaining strong quality control and supply chain consistency across more than 2,200 global locations.
The Gong cha bubble tea franchise has geared up for growth with strong multi-unit franchise opportunities as demand for premium tea concepts continues rapidly expanding throughout the U.S. Grand View Research valued the U.S. bubble tea market at $3.3 billion last year and predicts annual growth of 12.7% over the next several years, eclipsing $8.3 billion by 2033.
Allure of Gong cha
“Modern consumers appreciate bubble tea as a social, experiential and highly customizable beverage category that fits a variety of dayparts and occasions,” says Michael Nedelkovich, vice president of non-traditional franchise sales and development.
“The category itself has evolved significantly over the past several years. Bubble tea is no longer viewed as a niche product, but rather a highly sought-after beverage category that consumers actively seek out within shopping centers, airports, universities and entertainment destinations. Perhaps one of the clearest signs of the category’s explosive growth is the number of major national chains now attempting to introduce bubble tea through limited-time offerings. While these brands may test the category with one or two beverages, Gong cha represents the authentic destination consumers actively seek out for premium tea experiences, customization and category expertise,” he says.
“Our stores feature over 2,000 possible drink combinations, creating highly customizable beverage experiences that encourage repeat visits as consumers continue discovering new favorites. We continue to focus on innovation through new products, evolving store formats and operational enhancements while continuously refining layouts and design efficiencies to help franchisees navigate rising construction costs and improve operational functionality. We are not just a bubble tea brand — we are a category-leading tea brand offering premium tea experiences customized to each guest’s preference. Gong cha is highly visual, social and experiential, which strongly resonates with Gen Alpha, Gen Z and Millennial consumers.”
Benefits of Gong cha Franchise Ownership
- Flexible footprints ranging from approximately 200 to 800 square feet allow Gong cha to thrive across both traditional and non-traditional venues, including airports, universities, malls, transportation hubs, food halls and inline retail locations.
- Simplified operations require no exhaust hood, fryer, freezer or large back-of-house kitchen, reducing labor, utility and construction costs while making multi-unit expansion easier to scale.
- Gong cha 2.0 integrates kiosks, digital ordering and proprietary Super Wu beverage automation technology capable of automating approximately 70% to 85% of beverage preparation in as little as 43 seconds.
- Recent operational testing demonstrated throughput improvements of up to 65% during peak operating periods, while many locations can efficiently operate with only 1 to 2 employees per shift.
- Integrated POS and digital ordering systems provide franchisees with stronger forecasting, reporting and operational visibility to support smarter, data-driven decisions.
- Self-order kiosks are also driving strong guest adoption, with kiosks accounting for approximately 70% of U.S. transactions while generating 10%–15% higher average check sizes and loyalty opt-in rates exceeding 80%.
Technology Forward Solutions
Advanced technology and an automation platform refine operations. “Kiosks streamline ordering and improve the guest experience,” Nedelkovich says, “while SuperWu, the brand’s automated beverage-preparation technology, is designed to improve consistency, speed and efficiency even on highly customized beverage orders and during peak hours.” The technology also helps reduce product waste and over-pouring, which are common operational challenges across many beverage concepts, while improving portion consistency and inventory management. Integrated POS and digital ordering systems provide franchisees with stronger forecasting, reporting and operational visibility to support smarter, data-driven decisions.
A Mounting U.S. Presence
Gong cha currently operates across 28 states and Puerto Rico and continues expanding across both traditional storefronts and non-traditional channels including airports, universities, transportation hubs, entertainment venues and resort destinations.
Recent growth initiatives include expansion across higher education campuses and the brand’s first major Top 10 U.S. airport deal, with additional airport opportunities currently in development.
“The Gong cha franchise is highly attractive to experienced multi-unit operators looking for a high-growth category without the operational complexity of a traditional restaurant concept,” says Nedelkovich. “Operators can diversify with a beverage concept that is easier to train, staff and scale while still delivering strong consumer demand and operational efficiencies.”
Gong cha’s accelerated expansion follows the strategic reacquisition of approximately 170 U.S. stores, creating stronger operational alignment and positioning the brand for long-term growth across the Americas.
From Coast to Coast
“A major part of Gong cha’s recent momentum has been the brand’s accelerated expansion west of the Rockies, particularly across Arizona, California and the Pacific Northwest,” says Nedelkovich.
Following the reacquisition of the California rights from its former master franchisee, Gong cha is now actively expanding throughout California through a combination of corporate development and experienced multi-unit franchise operators, while also advancing development efforts across New York City and the surrounding Northeast markets.
Gong cha has also continued building strong momentum throughout the California college and university network, with several campus openings expected to commence operations later this summer.
At the same time, the brand has seen increasing development interest across the lower Midwest and throughout the Northeast as operators continue seeking scalable beverage concepts with strong consumer demand and operational simplicity.
Gong cha’s growth across multiple U.S. regions reflects rising demand for premium tea concepts that offer strong unit economics, broad demographic appeal and flexible development opportunities across both traditional and non-traditional venues. The brand also continues accelerating development throughout the Southern U.S., with significant growth initiatives focused across Florida, Georgia and Tennessee, while actively evaluating several larger-scale development opportunities across Texas as Gong cha continues expanding throughout high-growth Sunbelt markets.
For more information about ownership opportunities with the bubble tea franchise, visit the Gong cha franchise website.
