Are you about to open a bubble tea shop? here is an example of a complete feasibility study of a Bubble Tea Shop business plan template that you can use for FREE .
Ok, so we’ve covered all the requirements for starting a bubble tea store. We also took it a step further by analyzing and writing a sample bubble tea store marketing plan template, supported by actionable guerrilla marketing ideas for bubble tea stores. So let’s move on to the section on business planning.
Why open a Bubble Tea store?
Bubble Tea is a sweet and refreshing tea that originated in the early 2080s in Taiwan. There are different names by which bubble tea is known. These are pearl milk tea, bean tea, and zhen zhu nai cha. Bubble Tea is so named because of the bubbles that form when you shake the tea while brewing the tea; Additionally, another reason is its lower, domed bowl. This Asian drink usually has small, soft balls – tapioca pearls in nature and pass through the drinker’s straw.
To enter the bubble tea business, an entrepreneur needs to be innovative and creative when mixing blends or coming up with a base for the tea. However, since it is not a popular business, you will need the help of a business consultant to help you with your marketing research on the viability of this business. It is from the conclusions of a consultant that will help you determine whether it is worth starting a business or whether it should remain just a business idea.
After receiving positive feedback from your business consultant, you will need to write a business plan for your bubble tea business. A business plan is a very important document that will help you critically assess whether a business will succeed or fail.
A business plan takes into account the factors you intend to sell and market your product, your financial analysis, and the type of business structure you intend to have for your business. It is for this reason that a sample bubble tea business plan has been prepared for you below.
Bubble Tea Shop Business Plan Template Example
- Overview of activities
Even though Americans are numbered In the coffee society, bubble teas are struggling to grab the attention of Americans and get them to turn to tea. Introduced to Taiwan in the early 2080s, tea is used by health conscious people to ditch other drinks.
According to a report compiled by Foursquare, the popularity of the bubble tea business increased as more and more people went to bubble tea stores in 2015 to buy or drink bubble tea or to shop. tea. ingredients that would allow them to make their own teas at home.
However, as more and more people now turn to bubble tea, it has yet to reach the scale of some of the giant coffee shops in the United States of America. America. For example, coffee shops like Starbucks and Dunkin ‘Donuts have more than 13,000 and 8,000 stores in the United States of America, respectively.
There are tea shops in the United States as well, but they sell bubble-free tea and lag far behind the cafes, preventing bubble tea from gaining a strong market position as few bubble tea shops do. do not have a strong brand presence.
According to statistics, Americans have more coffee than people who drink 8 ounces of tea. coffee a day, and only a third of the tea. This fact also puts bubble tea at an uncertain level, as it would be difficult to break the American tradition of coffee.
However, that doesn’t mean that everything is doomed and dark for bubble tea, as most drinkers point out that bubble teas offer a refreshing variety, as it could be a cocktail or tea. Plus, the fact that bubble tea is caffeine-free makes it a favorite for those who don’t want caffeine in their drinks.
In the United States of America, bubble tea stores are mainly located on the west coast. due to the large number of Asian and Asian-American communities. For example, in most Asian restaurants in Los Angeles, bubble tea products are often found on the beverage menu.
While much of the growth in bubble tea is mostly concentrated in a few regions, there is still room for growth, especially with media attention being captured and a lot being done on media platforms. social. to promote bubble tea.
Bubble Tea Shop Business Plan Summary
Due to our wide acceptance of bubble teas in the United States of America, we are establishing our bubble tea business to provide our various customers with quality teas as well as a selection of different flavors. We have our own truck dedicated to serving all of our customers in parks and other public places.
Our bubble tea business is strategically located in an unsaturated location, which allows us to attract more customers. In addition, we are located in a location that customers and employees can easily access.
We have carefully considered our competition here in Mississippi and are confident that we will set ourselves apart with our quality products and services at affordable prices and because we have developed advertising strategies that will help us stand out after implementation.
Because we intend to serve our bubble tea in different varieties and also believe in professional packaging, we are investing in specialized bubble tea equipment such as shakers, sealers and electric induction heaters. . We have also invested in small quality equipment such as stirrers, sugar dispensers, tea cups and a point of sale vending machine.
Even if bubble teas represent a particular niche, our customers always have the choice between different flavors; That is why we have developed a menu which will feature different flavors of bubble tea to satisfy all the wishes of our customers.
Because we know how important it is to use only quality bubble tea equipment, we intend to source the ingredients from Taiwan. Our purchasing manager has done the necessary research on this and has identified quality suppliers and suppliers that match our budget.
Our employees are the face of the business, and therefore, we will not only select competent employees who will help organize the business, but also be able to effectively inform our customers about the brand. In addition, our staff will be trained in the preparation of delicious bubble tea.
Teelicious Bubble Tea is owned and operated by two sisters Jackie and Robin Tury. Jackie has a business management degree and Robin has a background in the beverage industry, the two will share their experiences and knowledge to influence the business.
- Our products and services
Teelicious Bubble Tea is a tea establishment that deals with all flavors and types of bubble teas. We will sell our bubble tea as a ready-to-drink bottled beverage. Our bubble tea will be an extraordinary substitute for traditional tea, while offering the best to our customers.
The goal of Teelicious Bubble Tea is not only to generate income, but always to generate healthy profits. In addition, we are not going to sell bubble tea alone as we intend to deal with various products related to bubble teas, and we also provide services that match bubble tea and other tea related business bubble which is acceptable according to the legislation. The United States of America.
Therefore, some of the products and services:
- Different flavors (fruit tea, milk tea) and types (mixed, whipped, tea based, smoothies, slush, milk tea or fruit juice)
- Tapioca pearls
- Jelly and scoop juice
- Bubble tea equipment and machines
- bubble tea recipes
- consulting services
our vision statement
To be the preferred bubble tea store in D’Iberville, Mississippi, and throughout the United States of America; and that we never compromise on quality in the manufacture of our products.
- Our mission statement
To achieve our goals, we will always check what ingredients are used in our bubble teas and communicate honestly and transparently with our customers.
- Our corporate structure
Teelicious Bubble Tea is a tea company that was founded for profit, as well as to compete favorably with its competitors; However, in order to achieve this we need to make sure that our business structure is correct, as this will go a long way in determining whether or not we will meet our goals and objectives.
Therefore, by creating the right base, we intend to attract competent and experienced employees who are well versed in the trade and who also have the experience necessary to achieve our goals and objectives. The employees we intend to hire should also understand our core values, what we stand for and be able to communicate it effectively to others as well as to lower level staff.
Due to the fact that we intend to make, sell and serve bubble tea, as well as some of the ingredients that those who are going to make this tea for themselves will need, we will need several employees assigned to different positions. which will cover all products and services. which we intend to sell here Tea Bubble.
Below is the business structure that we intend to create in our company Teelicious Bubble Tea;
- General manager
- Quality Insurance Manager
- HR Manager and Administrators
- Sales director
- Accountant / Cashier
- Stock manager
- Store manager
- Marketing and Sales Department
- Customer service executives
- Truck’s driver
Roles and responsibilities
- Responsible for the overall strategic direction of Teelicious Bubble Tea
- Communicates and ensures the implementation of the organization’s vision and goals for employees
- Continuously assesses the success of the organization
Quality Insurance Manager
- Ensures that the brewed bubble tea has passed hygienic conditions
- Make sure the ingredient is of poor quality They are not purchased or used to make bubble tea on behalf of the organization.
- Make sure our standards are not lowered for any bubble tea produced.
HR Manager and Administrators
- Ensures the proper functioning of all services of the organization
- Recruit and orient new employees
- Responsible for conducting our employee performance reviews
- Sources for Trusted Bubble Tea Ingredient Suppliers and Suppliers on behalf of Teelicious Bubble Tea
- Prepare and review contracts with suppliers to identify any gaps
- Liaise with the accountant, especially during budget preparation, to ensure accurate numbers are used
Accountant / Cashier
- Responsible for preparing financial statements and reports on behalf of the organization
- Responsible for payroll management for Teelicious Bubble Tea employees
- Prepares and submits accurate tax documents on behalf of the organization
- Responsible for storing bubble tea ingredients in the laundry room
- Provides inventory and ensures that ingredients taken are recorded and accounted for
- Communicates with the purchasing manager regarding what is needed in the store
- Provides sufficient base amount of bubble tea and other ingredients for buyers
- Ensures the store is well ventilated and user friendly enough for employees and customers
- E ensures that the store is always well protected
Marketing and Sales Department
- Responsible for carrying out market research on the best way to retain and attract customers
- Provides retail services on behalf of the organization
- Place ads on print, electronic and social media on behalf of Teelicious Bubble Tea
Customer service executives
- respond to customer questions and report complaints and ensure they are dealt with in a timely manner
- Stores and updates an accurate customer database
- Constant updating of knowledge on new information, recipes and technologies used both in the company and in the industry as a whole.
- Responsible for selling our bubble tea to customers in public places
- Keeps the vehicle clean at all times
- Performs easy maintenance of the truck and reports serious problems to the administrative administrator
- Make sure the bubble tea store is always clean
- Ensures equipment is kept clean for employees and customers
- Make sure there are adequate detergents and that stocks are exhausted
SWOT Analysis of Bubble Tea Shop Business Plan
Bubble Tea Business is an excellent business concept that will allow us to create our niche and become a nits recovered in the market. However, due to our pride in professionalism, we decided to hire a business consultant to take a hard look at our business concept and let us know if we have any chance of survival in this business.
The business consultant intends to use a SWOT ( strength, weakness, opportunity and threat ) analysis to determine what we are likely to experience when starting and running a bubble tea business in Mississippi. . Here is the result of the delicious tea bubble analysis;
There are several strengths. that we have that will be useful for our bubble tea business. First, we have a strong distribution channel which will ensure that our bubble tea is penetrated and available for our customers far away.
Second, we have efficient and knowledgeable employees who understand the beverage market and know what it takes to get us to the top. Plus our owners, who have the experience to make us the brand we intend to become.
- Weak sides
Our disadvantages stem from the fact that it is not a well-known segment, and therefore it will be much more difficult to penetrate this market and attract the right customers, especially from the soft drink market. In addition, we will fight against other healthy drinks on the market to build personality and set us apart.
We have many opportunities open to us, and they abound in our intention to continually introduce new products and innovations. In addition, we are creating a brand that we want to offer to global investors and partners.
With every business facing threats, we expect stiff competition from new competition in the same place or around us. In addition, we also expect people who claim to have health issues to accept our product. Regardless of the threats we face, we are optimistic that we will stand out as we have developed strategies to ensure we are proactive on these issues.
Bubble Tea Shop Business Plan MARKET ANALYSIS
- Market trends
Nowadays, more and more people are health conscious, so fewer people prefer soft drinks and more people are looking for healthy alternatives. like smoothies, milk and fresh juices. This has led more established soda companies to branch out into producing these healthy alternatives in order to maintain their share of the target market.
Even though this trend is barely affecting the bubble tea market, someone in the business will need to take the initiative to explore new flavors and types that will excite existing customers while also attracting new customers to patronize the business. .
Another trend in the bubble tea business is that most bubble tea companies have gone beyond just making and selling bubble tea to customers, but they have also come up with recipes and products. finished for customers who wish to make these bubble teas themselves. Houses.
In addition, in order to attract more attention to bubble tea, most bubble tea stores not only sold the tea in physical stores, but also made sure that it could be sold to people through a van. in parks and other public places, he raised awareness of bubble tea.
The fact that we live in the internet age has a big impact on any business, especially bubble tea. The site is a great place to advertise and promote bubble tea, as well as social media sites like Instagram, Facebook, and Twitter. In addition, there are now mobile apps that let customers know when a new recipe is released, and provide tips and tricks and even information on bubble tea.
- Our target market
As more and more people become aware of what they are taking and their health, more and more people are opting for healthy drinks, and bubble tea is one of them. This means that there is a huge target market waiting to be taken over.
It is not a drink that can only be limited to a certain age group as it can be consumed by almost anyone. Our strategic location in Mississippi places us in an advantageous position close to many of our target markets.
However, we have conducted marketing studies that would allow us to develop sound marketing strategies when we are on the verge of gaining our share of the target market. Market research will help us define our target market through demographics and psychography.
Therefore, we will sell our bubble tea and related products or services to the next group of people;
- Young professionals
- Business leaders
- Athletes and women
- young people
Our competitive advantage
Our goal of launching Teelicious Bubble Tea ensures that we are the preferred bubble tea company in Mississippi and the United States of America. We have specific strategies in place to ensure that we can not only achieve the intended profit, but also that we can profitably compete with our competitors.
It is for these reasons that we have developed several competitive advantages that will allow us to remain unique and also to differentiate ourselves from other Bubble Tea competitors.
Our first competitive advantage is that our bubble tea truck is customizable with a vending machine, as this will allow us to prepare bases on site and serve our public customers without wasting time. Our truck will also be well equipped with POS machines for those who have no money to pay.
We have another competitive advantage – we are constantly releasing new recipes that create different flavors and types of bubble tea. We want our customers to be intrigued by the different flavors we can offer. In addition to the different flavors we intend to offer, we also strive to ensure that the ingredients used in our bubble tea are of the highest quality.
Another competitive advantage we have is the excellent customer service we provide to all of our customers. We know how important it is for companies to have repeat customers and, therefore, with our strategy, we expect to retain over 80% of our customers and also strive to attract new ones through our strategies. advertising and advertising.
Finally, we have the best employees who are not only experienced but also knowledgeable. We strive to ensure that our employees not only receive adequate compensation, but also continuous training, which will ensure their professional development.
Bubble Tea Shop Business Plan SALES AND MARKETING STRATEGY
- Source of income
Teelicious Bubble Tea is a Bubble Tea Shop set up to produce different flavors of bubble tea for our different customers, and to maximize profits and maximize the profits of the different products that we will be making for our customers.
Teelicious Bubble Therefore, Tea intends to generate income by selling the following products to its customers:
- Different flavors (fruit tea, milk tea) and varieties (mixed, whipped, tea based, smoothies, slush, milk tea or fruit juice)
- Tapioca pearls
- Jelly and scoop juice
- Bubble tea equipment and machines
- Bubble Tea Recipes
- Consulting services
The fact that people now know what they are drinking is proof that the demand for bubble tea will increase faster than before.
This is why our supply of quality bubble tea, our different flavors and our position in the market have made us quite optimistic that we will not only generate sufficient income, but also reach our target in the following year. starting our bubble tea business.
Taking a critical look at the beverage industry we saw that bubble tea is a great niche for us, and after analyzing our odds with the help of a reputable business consultant here in Mississippi, we are fairly confident that we will not only grow, but also prosper. market.
Our sales consultant has collected data and information from the field to help us arrive at the following sales projections below. The assumptions are based on certain factors such as location and type of business. Here are the sales forecasts for Teelicious Bubble Tea:
- First fiscal year -: $ 300,000
- Second fiscal year -: $ 600,000
- Third fiscal year -: $ 1,200,000
Note . The above predictions have been made based on several assumptions regarding the location and also what is available in the industry. Some of the assumptions used to make these projections were based on the fact that there would not be a major economic downturn and that there would also be no new competitor between the forecast periods.
Any change in these assumptions could result in a change that could result in sales forecasts higher or lower than the values indicated.
- Marketing strategy and sales strategy
The decision regarding our marketing and sales strategy is very important to us, as we understand that without marketing we will not be able to sustain the business and develop it to the desired level. Considering the importance of marketing and sales, we intend to conduct a thorough marketing analysis that will allow us to understand the market we are about to enter and how best to enter.
In addition to helping us understand our target market, marketing research will also help us better structure our business so that we can be proactive in our relationships with our customers and their changing needs. The right marketing strategy will also help us differentiate ourselves from our competitors and allow us to compete profitably.
Inappropriate marketing strategy can lead many customers to leave and potential customers will not want to come, which is why we hired a reputable marketing consultant who not only understands the beverage market, but also knows what to do. to make sure we have the customers that we might need for our bubble tea business.
A Marketing Consultant will work with our Marketing and Sales team to ensure that all strategies are implemented effectively and in line with our core values within the business, and we will not overlook the Internet as a vector for promoting our products and services at Teelicious Bubble Tea because we are aware of the general effect of the Internet.
Therefore, the marketing and sales strategies that we intend to adopt for Teelicious Bubble Tea are;
- Make sure we run massive ads in local newspapers, magazines, as well as radio and TV to get us noticed
- Take part in the epic Teelicious Tea Bubble Party that catches our attention
- Make sure our business is listed in both offline and online directories
- Do direct marketing and sales
- Take advantage of our social media platform – Facebook, Twitter, Instagram so that we can fully promote our products and services.
- Reward our customers with discounts and incentives to refer us to others
Bubble Tea Shop Business Plan for Announcements and Advertisements
Objective The Teelicious Bubble Tea advertising campaign aims to raise awareness among consumers about our bubble tea and related products, and to build a brand that will become the market leader in this segment of the industry. Therefore, we intend to explore all ways to promote Teelicious Bubble Tea to our customers – existing and potential.
As we want to have very strong advertising and promotional strategies for our brand, we intend to bring in the best consultant in Mississippi who has the reputation and experience to grow Teelicious Bubble Tea.
Our goal is to make ourselves known not only in Mississippi, but also in neighboring states and, ultimately, throughout the United States of America. Therefore, some of the platforms that we intend to use to promote Teelicious Bubble Tea are:
- sponsor relevant health programs in the community
- Make sure we advertise in local newspapers and magazines, as well as radio and TV stations
- create a unique logo and place it on all our official bottles, trucks, t-shirts and vehicles
- visit other blogs and forums to make sure we participate in the tea bubble discussions, thereby educating more people and raising awareness
- Use our social media platforms like Facebook, Instagram and Twitter to reach and engage our audience
- Distribute our flyers to targeted locations
- Visit fairs and carnivals to sell and promote our products
- Install billboards in strategic locations in Mississippi and beyond
Our pricing strategy
When it comes to setting the price of a product, several factors need to be taken into account. such as the quality of the product, how much it took to make the product and the running costs incurred in producing the product are accepted. There are different powders and syrups that are used for bubble tea which differ in quality and therefore the higher the quality of the ingredients used, the higher the price will be.
Since we source most of our products from Taiwan, we also need to take shipping costs into account when pricing our bubble teas or the ingredients used in making the tea. However, we would like to assure our customers that our bubble teas are very affordable and easy to use.
In addition, during the first two months of operation, we will offer our customers a purchase discount. We believe that our tea will be a way to attract more customers to our business.
- payment methods
Because we understand that our customers will want access to different payment methods when they buy from us at Teelicious Bubble Tea, we have developed different payment platforms to accommodate all of our different customers.
Therefore, the payment options that will be available to all our customers for one of our products and at one of our points of sale are:
- cash payment
- Payment by check
- payment by credit card
- Point of sale (POS) payment
- Pay via PayPal
The above payment methods have been careful. We chose our bank for us after careful study of our type of business and will work smoothly for all of our clients.
- Start-up costs (budget)
Every business needs start-up capital so that it can be used to fund some aspect of the business until the business can sustain itself and make a profit, so we intend to spend most of it of our capital in raw materials. receive a truck, as well as pay our employees and the bills that we may incur at certain times of our activities,
The key areas where we intend to spend our start-up capital are:
- business registration and registration $ 700
- Obtaining licenses and permits in order, plus accounting software and other legal fees $ 1,800
- Purchase cost of raw materials (powder, syrup, tapioca pearls) USD 30,000
- The cost of the packaging (bottle and label) 10,000 USD
- The cost of hiring a business consultant is $ 5,000
- Insurance coverage (general liability) and workers compensation) USD 2,500
- Operating expenses for the first three months (utility bills and employee salaries) USD 120,000
- Other start-up costs (furniture, office supplies, computers, telephones and printers) $ 2,500
- Marketing advertising (inauguration and general commercial promotion) $ 7,000
- Bubble tea equipment $ 15,000
- The cost of storage equipment and materials (shelves, racks, bins, cash register, security devices) is $ 15,000 .
- $ 30,000 USD Used Pickup Price
- Website launch costs $ 500
- Tea Bubble Launch Party costs $ 5,000
- Miscellaneous 5000 USD
According to the above report, we will need about 250 000 $ to start and successfully manage our bubble tea business here in Mississippi. This amount mainly covers the salaries of our employees and utility bills for three months. It also covers overhead costs such as bubble tea equipment.
Create fundraising / start-up funds for the Teelicious bubble tea business
Teelicious Bubble Tea is a family business run by two sisters, Jackie and Robin Tury. We want the business to be family owned, and for this reason we have decided not to attract outside investors who might want to partner with us in the process of generating capital.
Therefore, we have decided to limit our sources of capital to these four sources only. Here are the sources from which we intend to generate capital:
- Personal savings
- Friends concessional loans
- Small Business Administration Agency (SBA) loan
- bank loan
Note: Thanks to our personal savings, we were able to obtain an amount of $ 20,000 . We received $ 20,000 in concessional loans from friends. We contacted the SBA for a small amount that was approved to us, $ 60,000. We also asked our bank for a loan of 150,000 USD and provided the necessary documents and we were assured that our request would be approved soon. ; after checking all the necessary documents.
Bubble Tea Shop Sustainable development and business plan expansion strategy
The goal of every business is to generate sufficient income and ultimately a profit that will sustain the business. throughout its life cycle. To achieve this, some factors are very important, such as having competent employees, minimizing costs and reinvesting profits and having repeat customers.
Not having the right staff can be detrimental to the business because not only will employees not understand what the business wants to achieve, but they will also fail to meet the performance quota requirements demanded by the business. the company.
It is for this reason that we intend to use only employees who are competent and who also understand what we stand for as a company. We will ensure that our employees receive adequate compensation both internally and externally.
As we continue to produce quality bubble tea for our customers, we know that our operating costs will be reduced slightly over time, which will allow us to minimize costs and maximize our profits, which we have the ‘intention to reinvest in the business to increase our results, ensuring that we will stay in business for a long time.
Finally, our customers are very important to us because we would not exist without them and therefore we are ready to listen to our customers’ comments and complaints and provide them with prompt service. We also intend to ensure that our loyal customers are effectively rewarded with discounts and other incentives, especially when they refer other customers to us.
Checklist / checklist
- Company name availability check: complete
- Company registration: complete
- Opening of corporate bank accounts: complete
- Point of Sale (POS) Security: Completed
- Opening of Mobile Cash accounts: complete
- Launch of online payment platforms: complete
- Request and receipt of tax identification number: in progress
- Business license and permit application: Completed
- Purchasing business insurance: complete
- Feasibility study: completed
- Creation of the family capital: complete
- Bank loan applications: in progress
- Preparation of the business plan: Completed
- Compilation of employee handbook: complete
- Drafting of contractual documents and other relevant legal documents: in development
- Creation of the company logo: finished
- Graphic design and packaging printing Marketing / promotional material: in development
- Recruitment: in development
- Creation of an official website for the company: In development
- Raising awareness among businesses online and within the community: ongoing
- Health and safety and fire safety conditions (license): protected
- Planning to open / launch a participant: in progress
- Establishing Business Relationships with Suppliers – Suppliers / Wholesalers: Ongoing
- Truck purchase: complete