Home » Ding Tea Franchise: One of the Best Bubble Tea Franchise Available!

Ding Tea Franchise: One of the Best Bubble Tea Franchise Available!

Ding Tea franchise
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The ding tea franchise is a tea brand that serves a large, fresh, and well-prepared selection of tea. The company is committed to maintaining a professional level of quality and perfection. In the same year that it was founded, the company began franchising. Their idea is to create a well-known marketing strategy that gives the brand a significant advantage over the competition. 

Ding Tea adheres to high-quality and high-specification principles, launching a variety of unique beverages with the goal of becoming the “World Milk Tea Expert.”This Taiwanese tea drink brand is eager to promote Taiwanese tea culture to the rest of the world by mainstreaming exclusive tea-based drinks. So, if you are interested in a tea franchise, you can read our article to learn more.

Ding Tea franchise

What is the Ding Tea franchise?

Ding Tea shop, founded in Taichung Feng Chia in 2004, offers fresh tea, a comprehensive and carefully made tea selection, and unique taste beverages. “Esteem, Service, Professionalism, Creativity” is the company’s philosophy. According to the company, every detail is important, and they are eager to maintain professional quality and perfection.Whether it’s milk tea or black tea, the company releases new products on a regular basis. Cactus green tea, Hokkaido milk tea, and French iced tea are among the brand’s unique offerings.

They offer their franchisees ongoing support and training to help them start and run a successful business. The franchisor and company are now looking for new franchisees to join their team. It has an advantage over the competition due to its low-cost concept, proven business model, and well-established marketing. Dedication to quality propels franchise owners to new heights of productivity while providing the community with a delicious taste of Taiwan. You will enjoy all of this as a its owner to ensure your success. The ding will also give franchisees the option of having a personal store or a rented store.

Ding tea franchise

Ding Tea franchise opportunity

Ding Tea, which was founded in 2004, made its franchise option available the same year. In just 17 years, the has expanded to over 400 locations. Ding Tea has locations in 55 cities across 15 countries. 

The brand was introduced in 2004, and the first this franchise was available for purchase. In over 17 years, the chain has expanded to 400 locations worldwide. Ding Tea has the highest market share in Vietnam and the United States. All teas are made with fresh ingredients and do not contain any artificial flavors or preservatives. Ding Tea’s commitment to quality has helped it become one of the most popular bubble tea brands. Brand visibility has evolved into a significant manifestation of brand value. 

The market for bubble tea and tea drinks in the United States is growing, and the bubble tea industry is expected to grow at an 8.9% CAGR from 2020 to 2027. Ding Tea franchisees must compete with businesses that sell tea drinks, blended juice drinks, smoothies, and other similar products.

Ding Tea franchise

Facts That Nobody Told You About Ding Tea  Franchise

  1. It is a popular franchise with locations throughout the United States.

2. Ding Tea is known for its unique tea flavors, which can be customized to fit the preferences of each customer.

3. Ding Tea has a wide array of tea products, including loose-leaf tea, tea bags, and tea blends.

4. Ding Tea is a fast-casual restaurant that serves traditional Chinese tea cuisine.

5. It has a strong reputation for providing high-quality service and products.

6. It is a high-profit franchise with a strong net income.

Ding Tea  Franchise Information
Industry TypeFood and Beverage 
Sub CategoryTea and beverage 
Year Established2004
Company NameDing Tea Norcross, LLC 
Founder/Management HeadMr. Xu Wei-Xiang
Franchising Started2004
Employees at Company H.OMore than 100
Franchise Expansion PlanThe United StatesCanada , Vietnam and internationally
Number of Units516
Number of Franchise Units100(only in the US)400 (Rest of World)
Social Media HandlesFacebook
Twitter
Youtube
Instagram
Company Office location21F-2, No. 88, Sec. 1, Huizhong Rd., Xitun Dist., Taichung City 407, Taiwan (R.O.C.)

Ding Tea  Franchise Requirements

No specific skill set or prior experience is required to obtain the this option. To obtain a this

To obtain this,

1. You must be at least 20 years old, have good credit, and be  both sexes.

2. Have a strong interest and determination in the tea industry.

3. Franchise owners must attend training in order to learn new skills and run the store efficiently.

4. Regardless of whether franchisees choose franchise or master, all operational materials related to “Ding Tea” should be purchased directly from the headquarters of this to maintain consistency in quality and brand.

Ding Tea franchise

How much does an Ding Tea franchise cost

In the United States, a standard this franchise will cost in the United States between $123,000 and $422,000 USD. Its fee is $200,000, and the minimum liquid investment is $100,000. The standard this franchise fee is up to $20,000. The royal fee will be approximately 2-5% of gross sales. Other fees, such as ad fees, net worth requirements, and liquid cash requirements, will be communicated following franchise approval. 

The Ding Tea master franchise business costs between $833,000 and $895,000, with the franchisor receiving between $800,000 and $820,000. The franchise fee per location is $700,000 USD. that franchisees pay a service fee of 2.5% of gross revenue to the company.

Ding tea Inital and On-going Franchise Cost
Ding Tea Franchise Fee$ 20,000
Ding Tea Franchise Cost$123,000 – $422,000
Royalty Fee2-5%
Advertising Fee1-3%(expected)
Term of Agreement3 years
Is franchise term renewable?Yes
Renewable Franchise Fees50% of Initial Franchise fees

Ding Tea Franchise Training

It provides comprehensive training and pre-opening support to their franchisees. They help their new franchise owner with third-party financing and real estate support. To teach, a two-week comprehensive training programme is also held. 

It provide comprehensive franchise training in which franchise owners learn systematical planning techniques, cost and revenue educational courses, and customer relationship management. They also provide new franchisees with hands-on experience in their stores. They also offer operational courses to franchise owners to help them understand how the company works.

Ding Tea  Operations & franchise support

Ding tea also provides all basic operational support, such as developing new drinks and introducing new trends. Also provide newsletters and assistance with the working process at the bar and kitchen. Assist with equipment maintenance as well. In addition, they provide a store marketing management team to ensure national and local marketing.

How is Ding Tea Franchise Territory Granted

Franchises can operate from their own or rented locations. However, the store location must first be evaluated and confirmed by franchise headquarters.

Ding Tea franchise

What is Ding Tea  Franchise Term of Agreement and Renewal?

It Agreement is for three years. For the first time, franchisees are not required to pay any fees after signing a three-year contract. However, you must pay the entire maintenance fee every half year.

Does Ding Tea  Franchise provide Financial Assistance?

The company does not provide direct financing. The company franchisor cannot provide any lease or note obligation for franchisee guarantee. As long as the company has a relationship with an investor, they can provide third-party financing to cover start-up costs, inventory, equipment, payroll, and accounts receivable. SBA financing may be available to assist with the purchase of a franchise.

You can review these franchise loans options

  1. OnDeck 
  2. Smartbiz
  3. ApplePie Capital franchise loans
  4. Credibily franchise loans
  5. Funding Circle

I will strongly recommend you to buy a franchise insurance before owing this.These franchise insurance options can be explored 

  1. Nationwide 
  2. Travelers 
  3. Liberty Mutual 
  4. Progressive 
  5. State Farm 
  6. Hiscox 
  7. The Hartford 

Pros & Cons of Ding Tea Franchise

When it comes to consuming tea, many people prefer the taste and convenience of bottled tea over loose-leaf tea. However, there are a number of tea lovers who enjoy the unique flavor and health benefits of loose-leaf tea. If you’re one of these people, you might be interested in experiencing and owning a this.

While there are a number of pros to ding tea franchises, there are also a few cons to consider. Here are the pros and cons of this.

Advantages of owning a Ding Tea franchise 

1. Stores are high-end. HQ plans an annual marketing schedule and promotional selling activities. 

2. an international competitive brand, Swaying around the world. 

3. qualified materials with high quality.

4. A strong group insists on quality and providing the best image, demonstrating Professional Attitude.

5. Broad marketing experience

6. good interaction with the media and public relations

7. Completed training opportunities in systematical planning, practical experience, and operational courses.

8. Its benefits all franchise stores by developing new drinks and introducing new trends.

9. The marketing of bubble tea is rapidly expanding.

10.Last but not least,the bubble tea is high gross profit margin product.

Disadvantages of owning a Ding Tea franchise 

1. More room for development

2. Marketing fees and other fees are not available to interested parties.

3. A large variety of tea can make store operations difficult.

4. Marketing in the United States is lagging.

5.The franchise agreement term is of 3 years,which is very less compared to standard terms of 10 years.

Ding Tea franchise

How much do Ding Tea franchise owners make?

One thing to keep in mind when considering a Ding Tea franchise is that the owners make a range of income based on how many stores they own and the level of involvement they have in the day-to-day operations. However, in general, the average owner makes between $50,000 and $70,000 per store.

What is Ding Tea franchise profit?

Ding Tea is a franchise that specializes in selling tea. The franchise has locations in the United States and Canada. The franchise makes a profit by selling tea, and by charging customers for services such as tea tastings. The franchise also makes money by charging customers for tea boxes, tea accessories, and other tea related products.

Its profit and Average Unit Volumes is not disclosed in latest franchise disclosure document of this.

If we work on unit economics,then we can conclude the below 

Expected Annual Ding Tea Franchise Profit
Average Per Product$ 4
Daily Products Sold200
Expected Daily Sales$ 800
Expected Daily Net Profit (20%)$160
Expected Monthly Profit$4800
Exppected Annual Profit$ 57,600

As per my research and unit economics,Ding tea franchise can make a annual profit of $ 55,000 to $ 60,000. This profit is purely on basis of assumptions and franchising and retail metrics.

Ding Tea franchise reviews

Ding Tea franchise reviews are generally positive.Existing franchises say that the business is profitable and easy to operate. Some reviewers say that the quality of the tea is excellent, and that the customer service is great. Some reviewers say that the franchise offers a lot of potential for growth.

You can see the top 10 Ding tea drinks from Ding tea Carson in California.

Ding Tea Franchise Rankings

Ding Tea is a popular tea franchise with over 100 locations in the U.S. and Canada. The company offers a variety of customizable tea options, such as black tea, green tea, oolong tea, and pu-erh tea. Ding Tea franchisees can also create their own blends and sell them through their locations.

Ding Tea is known for its high-quality tea selections and customizable options. The company has a loyal following among tea drinkers, and its tea blends have been praised for their unique flavor profiles.

Ding Tea is one of the Top 10 bubble tea franchise in the United States.

Franchise Deck Analysis and Overview

So, after being founded in Taiwan 17 years ago, the ding tea is spreading Taiwan culture internationally. The company offers a wide range of teas that are high in quality and free of preservatives. The mission of the company is “Esteem, Service, Professionalism, Creativity,” which distinguishes them from their competitors. In almost two decades, the company has expanded to over 400 stores worldwide and over 100 stores in the United States. With the growing market demand for bubble tea, the company has a bright future ahead of it.

In addition, they provide all assistance and training to their franchise owners to ensure market success. However, the company has yet to reach its full potential and transparency. However, according to our analysis, ding tea has a bright future in the market. So, if you want to start a great tea franchise, the ding tea can be a great option to consider.

The Franchise Deck rating for the Ding Tea franchise is 3.3/5.0.

Ding Tea franchise

Competition Analysis of Ding Tea Franchise

Cost to FranchiseFran FeesRoyaltyy + Ad feesExpected ProfitRecoup of CapitalFD Rating
Sharetea franchise$386,900 to $492,200$ 48,0006%+ 2%$ 45,000 to$ 64,8005.8 to 8.3 years3.7/5.0.
Ding Tea Franchise$123,000to $422,000$ 20,0004%+ 2%$ 57,6006 to 8 years3.3/5.0.
Kung Fu Tea Franchise$124,050 to $428,050$37,0004% +2%$ 65,000- $ 100,0004 to 6 years3.5/5.0
Boba Time Tea Franchise$389,100 to $531,700$ 40,0005% +2%$ 96,867 to            $ 134,1233 to 5.5 years4.0/5.0.
Gong Cha Franchise$177,430 to$335,400$41,5005.5% + 2%$ 45,000 to $ 64,8006 to 9 years3.7/5.0.
Happy Lemon Franchise $309,000 to $509,000.$25,000 to$40,000.7% + 2%$ 50,625 to$ 72,9006 to 9 years3.6/5.0.

Conclusion 

The rapidly growing milk tea industry attracts not only all ages of customers, but also entrepreneurs and investors. Ding Tea Franchise, as one of the industry’s global brands, can assist you in developing a strong customer base. However, their lack of transparency in financial performance and marketing in different markets is discouraging potential franchisees. They must interview several current franchisees for additional information.

Entrepreneurs who want to open a franchise in the bubble tea franchise opportunities categories can look at 

  1. Kung Fu Tea Franchise 
  2. Boba Time Franchise
  3. Gong Cha Franchise
  4. Happy Lemon Franchise 
  5. Sharetea Franchise 
  6. Tropical Smoothie Cafe Franchise

Frequently Asked Questions (FAQs)

  1. Is the Ding Tea franchise profitable?

Yes, the Ding Tea franchise can be profitable, though we don’t have the financial numbers disclosed in FDD.

  1. Can you make money owning a Ding Tea?

Yes, you can make money with ding tea.

  1. Is Ding Tea a franchise?

Yes, Ding Tea is a master and unit franchise

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