Bubble milk tea is a local favourite that has become as ubiquitous as coffee.
Bubble milk tea shops, kiosks and trolleys are at every corner of retail shopping complexes, office buildings, train stations, hospitals, universities and business areas. Bubble milk tea is also offered at major beverage and restaurant chains.
Thailand's market for bubble milk tea is estimated at 2.5 billion baht. The market comprises numerous brands, both local and international. A preliminary list would include Ochaya, Seoulcial Club (Fire Tiger), Gaga, Seven Twenty-Two, Brix, The Alley, Coco Fresh Tea, Fuku, Bake a Wish, Mikucha, Kamu and KOI The.
Tiger Sugar is the latest bubble milk tea brand to jump on the growing bandwagon, opening its first store on the second floor of The Market Bangkok opposite CentralWorld on Ratchaprasong Road.
Mr Isareit says there are more than 30 bubble milk tea brands in Thailand.
Isareit Chirathivat, senior vice-president for leasing at Central Pattana Plc (CPN), the operator of Central malls, said there are more than 30 bubble milk tea brands, both Thai and international, in the market, with dozens more on the waiting list to parade into Thailand this year.
"Bubble milk tea started to blossom in Thailand early last year, and the popularity has sustained, as evidenced by long queues at bubble milk stores in our complexes," he said. "At least 10 brands are waiting for an opening at our shopping complexes."
Mr Isareit said bubble milk tea is among the top five businesses aiming to open at Central shopping complexes. There are already about 30 bubble milk tea brands in operation at Central complexes across the country.
"With its popularity and a long waiting list of bubble milk tea operators, we are considering increasing space at some complexes for pop-up stores for bubble milk tea soon," Mr Isareit said.
He said bubble milk tea first became trendy over a decade ago in Thailand. The product became popular again early last year, largely thanks to social media posts, bloggers, marketing gimmicks, new tastes and attractive store decorations.
Originating in Taiwan, bubble milk tea features chewy tapioca balls and is known by various names such as pearl milk tea, boba juice, boba tea or simply bubble tea.
"Bubble milk tea never died," said Sethaphong Phadungpisuth, managing director of Gnosis, an international franchise consultant. "The return of bubble milk has been influential in Thailand and a few other countries. Options have better quality, fresh milk, freshly-made boba and fresh-brewed tea."
Mr Sethaphong said the creativity of menu items and exposure on social media have also drawn consumers, especially towards Taiwanese brands.
Since Taiwan began granting visa-free entry to Thai nationals in 2016, the number of Thais visiting Taiwan has increased and they have acquired a taste for the original tea.
Nunthanut: Owner of Fire Tiger operator
The Taiwanese government has promoted bubble milk tea as the national drink and supports domestic businesses related to bubble tea in their expansion overseas.
"I recently visited the Taipei International Chain and Franchise Summer Exhibition 2019," Mr Sethaphong said. "The mascot of the show was a unicorn drinking bubble tea. There are plenty of bubble tea brands and Taiwanese tea shops planning to franchise internationally. Some renowned Taiwanese brands, including Presotea and Cha Ji Tang, are also looking for master franchisees in Thailand."
Nunthanut Eursirisub, the owner of Ruay Sabai Sabai Co, the operator of Fire Tiger bubble milk tea, said the company launched the Fire Tiger bubble milk tea brand in March of last year.
With a better-than-expected response from customers, the company plans to open five Fire Tiger points of sale this year, including the latest kiosk that opened at Siam Center last month.
More kiosks will open at Siam Paragon and CentralPlaza's Lat Phrao branch, Ms Nunthanut said.
"I entered the bubble milk tea market by accident, offering it as a choice at our Seoulcial Club, a Korean-style cafe," she said. "I was surprised because 90% of customers at our cafe ordered Fire Tiger bubble milk tea."
Based on that popularity, she decided to set up a Fire Tiger shop separate from the coffee house.
"But competition is very fierce," she said. "New brands open every day, but our brand is still one of the customers' choices, because of our attractive store decorations, customer experience and social media influencers, who help people gain awareness of our brand."
Ms Nunthanut said the company plans to open more Fire Tiger kiosks and shops nationwide. Future plans include a listing on the Market for Alternative Investment to raise funds for expansion.
The company also hopes to explore business opportunities in the US, Vietnam, Malaysia and Indonesia.
Customers queue for bubble milk tea at Tiger Sugar, a Taiwanese brand, during the opening at The Market Bangkok on Ratchaprasong Road. (Photo by Pitsinee Jitpleecheep)
Sathit Sangkanarubordee, chief operating officer of Charoen Pokphand Foods Plc (CPF), said his company entered the bubble milk tea market in Thailand earlier this year as part of a strategic plan to keep up with the younger generation, whose appetites change quickly and who are thirsty for entrepreneurship.
"We studied the business opportunity for bubble milk tea in Thailand for only a month before deciding to open our first branch at Fortune Tower to cash in on the trend," Mr Sathit said.
Lamoon Chabar operates under the operation of CPF Restaurant and Food Chain Co, a unit of CPF, the flagship subsidiary of agribusiness giant Charoen Pokphand Group.
An investment of 30,000-40,000 baht is required from investors who are interested in opening a Chalamun bubble milk tea kiosk. There are three Lamoon Chabar branches in Bangkok.
"Milk tea is among the new beverage businesses that we want to grow within the next two years, along with the Star coffee business," Mr Sathit said.
He said Chester's Food Co, the quick-service restaurant operator under CPF, also launched Crown Bubble milk tea in the Thai market in the first quarter. There were four Crown Bubble milk tea kiosks in Bangkok as of April, and more will open soon.
In the meantime, Pornphan Rattanahirunya, the owner of Seven Twenty-Two bubble milk tea, said she opened her first shop on the seventh floor of CentralWorld in April.
"I entered this market not only because of the milk tea wave, but also because I have a passion for tea," Ms Pornphan said. "Tea is widely known to benefit the body, and competition is still low compared with other beverages."
She said the company will open its second branch at The Park community mall on Rama IV Road this year.