Bubble tea brand Gong cha has solidified its expansion in Puerto Rico through a 30-unit development agreement with SID Tea, a quick-service restaurant franchise operator in the region.
The move follows Gong cha’s successful entry into the Puerto Rican market in early 2024 with openings in San Juan and Manatí.
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In San Juan, the store is situated at 1705 Calle San Javier while the Manati store is in the Plaza Atenas Shopping Center on 9 PR 2.
SID Tea, one of Subway’s major global operators, manages a portfolio of more than 180 units along with brands such as Wingstop and Acai Express.
Gong cha’s team is on track to inaugurate two additional stores in the summer of 2024 and aims for a total of five by the end of the year.
SID Tea’s strategy to introduce Gong cha to the local market is to leverage its existing portfolio by opening multiple locations in the same vicinity. This includes a variety of location types, from larger standalone units with drive-throughs to smaller kiosks within shopping centres, to maximise customer traffic and encourage trial of the product.
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By GlobalDataSID Tea operations director Mario Gaztambide said: “We specifically chose to partner with Gong cha based on its premium quality products, the strength of the brand, and the ease of its operating model.
“The resounding success and warm reception the brand has experienced in the Puerto Rico market within such a short timeframe has truly exceeded our expectations. Gong cha quickly validated its ease of operations, and seamlessly complements our existing brands.
“Based on these results, we’re delighted to make a larger commitment to grow Gong cha across the island.”
Originating in Taiwan in 2006, Gong cha initially ventured into the Americas through a master franchise strategy.
The brand recently diversified its franchising opportunities to include direct franchising, selecting SID Tea as its first direct franchisee based on its considerable operational knowledge.
