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Milk Tea Business Primer © Milkteamart

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Milk Tea Business Primer © Milkteamart MILK TEA BUSINESS In Demand and Profitable Beverage Business Today PRIMER INCLUSION The Basics of Milk Tea Business History and Origin of Tea | Types of Tea | Benefits | Milk Tea Trends Capital and Costing Basic Ingredients Cost | Capital and Costing | Suggested Selling Price Menu and Recipe Preparation Basic Menu | Customized Flavors | Business Best Practices History and Origin of Tea Historically, all tea originated from China. Tea in mandarin is called cha. The Dutch merchants are the first people to bring tea to Europe. They bought tea from the traders on junk ships from the port of Amoy in Fujian province during 1600s. In the Amoy dialect, tea is commonly called te (pronounced “tay”). TOP 10 TEA PRODUCERS In the world. 1 2 China (2,473,443) 3 India (1,325,050) 4 Kenya (439,857) 5 Sri Lanka (349,699) 6 Vietnam (260,000) 7 Turkey (234,000) 8 Indonesia (139,362) 9 Myanmar (104,743) 10 Iran (100,580) Bangladesh (81,850) 1. Turkey 2. Ireland 3. United Kingdom 4. Iran TOP 10 TEA (Kung Fu Tea) 5. Russia LOVER NATIONS 6. Morocco 7. New Zealand 8. Egypt 9. Poland 10. Japan TYPES OF TEA All types of tea come from the same basic plant, the Camellia Sinensis plant. The differences between teas arise from processing, growing conditions, and geography. The Camellia Sinensis plant is native to Asia but is currently cultivated around the world in tropical and subtropical areas. With over 3,000 varieties, tea is the most consumed beverage in the world after water. Black Tea is allowed to wither, which precedes a Green Tea is allowed to wither only slightly Oolong Tea (also known as wulong tea) is process called oxidation (sometimes incorrectly after being picked. Then the oxidation allowed to undergo partial oxidation. These referred to as fermentation), during which water process is stopped very quickly by firing teas have a caffeine content between that of evaporates out of the leaf and the leaf absorbs (rapidly heating) the leaves. Therefore, when green teas and black teas. The flavor of more oxygen from the air. Black teas usually brewed at lower temperatures and for less oolong (wulong) teas is typically not as undergo full oxidation, and the results are the time, green teas tend to have less caffeine robust as blacks or as subtle as greens but characteristic dark brown and black leaf, the (10-30% of coffee). Greens also tend to has its own extremely fragrant and intriguing typically more robust and pronounced flavors of produce more subtle flavors with many tones.Oolongs (wulongs) are often compared black teas, and when brewed appropriately, a undertones and accents that connoisseur's to the taste and aroma of fresh flowers or higher caffeine content compared to other teas treasure. fresh fruit. (50-65% of coffee, depending on the type and brewing technique). Tea May Help Protect Your Bones Tea May Keep Your Smile Bright Tea May Boost the Immune System Tea May Help Battle Cancer Herbal Tea Soothes the Digestive System Tea – Unadulterated – is Calorie Free Tea Helps Keep You Hydrated Tea Lowers Stress Hormone Levels WHY MILK TEA A common staple in many countries, tea is pretty much anywhere in Asia and many other countries usually comes served with milk. Hence, it is becoming a popular and profitable business these days. Milk tea is simply what it sounds like – brewed tea with milk added to it. This combination produces smoothness in flavor and slight sweetness to regular bitter teas such as black tea. Milk tea can be made into anything, such as bubble tea or masala chai tea. Milk tea taste well when mixed with sinkers such as the chewy tapioca pearls, egg pudding, grass jelly, and other add on. MILK TEA IN THE PHILIPPINES Although we don't have an extremely rich history with tea like in China, Filipinos have always had a taste for tea. Nestea Iced Tea and Lipton Iced Tea are household and restaurant staple; C2 went extremely big back in the day, and most of us brew our own salabat or ginger tea. In fact, milk tea has always been there even before the craze. Chow King has always been selling Nai Cha, traditional Hong Kong milk tea made with black tea and evaporated milk sans pearls. In 2017, with the passage of time, new milk tea products and the arrival of new milk tea shops straight from Taiwan meant one thing: the milk tea trend was officially back. Recently, the milk tea industry experience a sudden surge with much interest especially among young generation consumer. THE TREND THAT IS MILK TEA “Parang nagsulputang kabute” is one term that could describe milk tea shops anywhere, especially more recently. Franchises of popular brands from Hong Kong, Taiwan and Singapore have since entered the Filipino market. Seeing that milk tea is going to be a favorite beverage for a long time, many Filipinos were encouraged and created their own brands, many of which have gained their local following as well. Just in the last two years as well, few local brands have gained more popularity as seen by multiple stores opening in the Metro and even in the provinces. While most milk tea shop owners have physical store locations, banking on the aid of delivery riders have started a new trend in this line of business. This has all the more sparked the interest of aspiring business-people to convert their passion for milk tea drinking into a business, even just at the comfort of their homes. *Updated October 2020 CAPITAL and COSTING BASICS Important Points to Know (1) How much is the capital cost per cup? (2) How much is the profit per cup? (3) How much will be the suggested selling price per cup? How to Compute Cost per Ingredient Price of Ingredient per Pack × Number of ml per Serving Number of ml or kg per Pack TEA BASED ATLEAST 100% PROJECTED PROFIT Using Milk Tea Powder Flavor INGREDIENTS RECIPE CAPITAL COST Cup Size 12oz 16oz 22oz 12oz 16oz 22oz Tea Based 150ml 200ml 250ml 1.40php 1.80php 2.75php Milk Tea Powder* 2 scoops 3 scoops 4 scoops 7.80php 11.70php 15.60php SUGGESTED SELLING PRICE Non-Dairy Creamer 1 scoop 2 scoops 3 scoops 2.90php 5.80php 8.70php 12oz 50.00php Quality Ice Cube 150ml 200ml 250ml 1.00php 1.20php 1.50php 16oz 70.00php Sinker or Topping** ¾ scoop ¾ scoop 1 scoop 3.00php 3.00php 5.00php 22oz 85.00php TOTAL (excluded labor, rental, cups, straw, utilities’ costs) 16.10php 23.50php 33.55php *500g Powder; Capital Cost May Vary Depending on the Target Market **Tapioca Pearls, Egg Pudding, Nata De Coco, Coffee Jelly, Grass Jelly TEA BASED ATLEAST 100% PROJECTED PROFIT Using Milk Tea Syrup Flavor INGREDIENTS RECIPE CAPITAL COST Cup Size 12oz 16oz 22oz 12oz 16oz 22oz Tea Based 150ml 200ml 250ml 2.50php 3.30php 5.00php Flavor Syrup* 30ml 40ml 60ml 7.20php 9.60php 14.40php SUGGESTED SELLING PRICE Non-Dairy Creamer 2 scoops 3 scoops 4 scoops 5.80php 8.70php 11.60php 12oz 60.00php Quality Ice Cube 150ml 200ml 250ml 1.00php 1.20php 1.50php 16oz 75.00php Sinker or Topping** ¾ scoop ¾ scoop 1 scoop 3.00php 3.00php 5.00php 22oz 85.00php TOTAL (excluded labor, rental, cups, straw, utilities’ costs) 19.80php 25.80php 37.50php *1L; Capital Cost May Vary Depending on the Target Market **Tapioca Pearls, Egg Pudding, Nata De Coco, Coffee Jelly, Grass Jelly ATLEAST 100% PROJECTED PROFIT FRUIT TEA Using Flavored Syrup INGREDIENTS RECIPE CAPITAL COST Cup Size 12oz 16oz 22oz 12oz 16oz 22oz Tea Based* 150ml 200ml 250ml 2.50php 3.30php 5.00php SUGGESTED SELLING PRICE Flavor Syrup** 30ml 40ml 60ml 7.20php 9.60php 14.40php 12oz 60.00php Quality Ice Cube 150ml 200ml 250ml 1.00php 1.20php 1.50php 16oz 75.00php Sinker or Topping*** ¾ scoop ¾ scoop 1 scoop 4.00php 5.00php 7.00php 22oz 85.00php TOTAL (excluded labor, rental, cups, straw, utilities’ costs) 14.70php 19.10php 27.90php *Water Based Fruit Tea May Be Used When Using Jams **Tapioca Pearls, Rainbow Jelly, Fresh Fruits ***1L; Capital Cost May Vary Depending on the Target Market ATLEAST 100% PROJECTED PROFIT SODA BASED Using Flavored Syrup INGREDIENTS RECIPE CAPITAL COST Cup Size 12oz 16oz 22oz 12oz 16oz 22oz Soda Based 150ml 200ml 250ml 7.50php 10.00php 14.00php SUGGESTED SELLING PRICE Flavor Syrup** 30ml 40ml 60ml 7.20php 9.60php 14.40php 12oz 65.00php Quality Ice Cube 150ml 200ml 250ml 2.00php 3.00php 4.00php 16oz 80.00php Sinker or Topping*** ¾ scoop ¾ scoop 1 scoop 3.00php 3.00php 5.00php 22oz 95.00php TOTAL (excluded labor, rental, cups, straw, utilities’ costs) 19.70php 25.60php 37.40php *1L; Capital Cost May Vary Depending on the Target Market **Tapioca Pearls, Rainbow Jelly, Fresh Fruits CAPITAL COMPARISON PHYSICAL MILK TEA STORE HOME BASED OR ONLINE STORE 1. Initial Stocks 20,000php 1. Initial Stocks 20,000php 2. Utensils 10,000php 2. Utensils 10,000php 3. Stall Rental 15,000php 3. Stall Rental 0 4. Store Renovation 50,000php 4. Online Store 10,000php 5. Others 10,000php 5. Others 10,000php Total 105,000php Total 50,000php MENU and RECIPE *Will Be Provided Upon the Purchase of the Business Package MILKTEAMART For more details, you may visit our website, Facebook page, or email us at: www.milkteasupplier.ph facebook.com/milkteamartph [email protected].
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