February 21, 2024
Pearl Milk Tea Market

Market Is Estimated To Witness High Growth Owing To Rising Consumption Among Millennials and Increasing Product Innovation

The Pearl Milk Tea market is estimated to be valued at US$ 2.29 billion in 2023 and is expected to exhibit a CAGR of 7.51% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

Pearl milk tea is a sweetened tea beverage that contains boba, pronounced “buh-ba” which are chewy tapioca pearls. The tea generally consists of black tea and sugar mixed with evaporated or condensed milk. It originated in Taiwan as a popular street food and has spread as a global trend in recent years particularly among young urban dwellers. It is consumed as a breakfast drink, post-meal drink or as a snack.

Market Dynamics:

The Pearl Milk Tea market is witnessing high growth owing to rising consumption among millennials and increasing product innovation. Youngsters are attracted towards this beverage for its unique texture of chewy pearls and variety of flavors available. Manufacturers are launching new flavors such as strawberry, taro, chocolate to cater to evolving taste preferences. They are also offering small sugar contents, low fat options to expand consumer base. Furthermore, growing popularity of boba teas on social media platforms and convenient availability across retail stores, cafes and quick service restaurants is boosting the market growth.

SWOT Analysis

Strength: Pearl milk tea contains various nutrients that are beneficial for health. It tastes good and provides instant energy. Brands are introducing new flavours and toppings to attract more customers.

Weakness: The ingredients and process of making pearl milk tea is perceived to be less healthy than other beverages. Frequent consumption can cause weight gain. Marketing budgets of small players are relatively lower compared to bigger brands.

Opportunity: Rising health consciousness is prompting brands to introduce low sugar and plant-based pearl milk tea options. Growing popularity of Asian fusion cuisine and beverages provides an opportunity to expand to newer global markets.

Threats: Strict regulations around food labelling and marketing of sugar-sweetened beverages can hamper growth prospects. Entry of new local and international beverage brands increases competition.

Key Takeaways

The Global Pearl Milk Tea Market Demand is expected to witness high growth, exhibiting a CAGR of 7.51% over the forecast period, due to increasing popularity among millennials and younger consumers. The market size is projected to reach US$ 3.91 billion by 2030 from US$ 2.29 billion in 2023.

Regional analysis: Asia Pacific dominates the global pearl milk tea market currently due to vast production and consumption in countries like Taiwan, China and Singapore. Countries like the US and Canada also provide lucrative growth opportunities owing to growing Asian influence on food and beverage preferences.

Key players: Key players operating in the pearl milk tea market are Bubble Tea House Company, Bubblelicious Tea, Lollicup USA Inc., Ten Ren’s Tea Time, Boba Box Limited, Sumos Sdn Bhd, Gong Cha USA, Boba Tea Company, Troika JC. (Qbubble), and Fokus Inc. These companies are focusing on product innovation, brand visibility and expansion into new markets to strengthen their position.

 

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it