A Taiwanese bubble tea brand's first Manila store: three decisions in the first 90 days on taste, pricing, and store size

Short answer: A Taiwanese bubble tea brand's first 90 days in Manila involve three decisions that differ from Taiwan: recalibrate the taste, let pricing determine the comparison set, and make the first store large enough for people to want to stay.

Scenario: your joint-venture partner sends the first menu draft, and your first reaction to the prices is "too expensive"

Your bubble tea brand has dozens of stores in Taiwan, and you are now seriously considering the Philippines. In the second week after signing the joint-venture agreement, your Manila partner sends a first menu draft: the signature milk tea is sweeter than full sugar in Taiwan, the ice option says "standard = extra ice," toppings have gone from three choices to seven, and the peso price of the core drink works out to 40% higher than its Taiwan price.

Your first reaction is: "Is this still our brand? And will this price sell in Manila?" Then your partner says the first store should be in BGC and twice the size of a Taiwan store. You begin to wonder whether you are being taken for a ride.

These three reactions — an altered formula, a price that feels too high, and a store that feels too large — are ones Taiwanese bubble tea owners almost all have in their first 90 days in Manila. We will go through why the partner may be right in each case, and where you need to hold the line.

First decision: taste — Filipino preferences differ from what you expect

Sweetness. What Taiwanese consumers call "half sugar" is often described in the Philippines as almost tasteless; the usual sweetness of local bubble tea is around or above full sugar in Taiwan. Move the Taiwan menu over unchanged and consumers will give the first sip a low score.

Ice. Manila is much hotter than Taipei, and consumers expect "the whole cup to be cold." Less ice is almost impossible to sell here, not because people are unfamiliar with it, but because it is genuinely too hot.

Toppings and appearance. Pearls, grass jelly, coconut jelly, taro balls, and pudding are treated in the Philippines as shareable visual selling points, not only texture upgrades. A bubble tea brand created in the Philippines by our partner works the same way: it starts with Taiwanese tea and adjusts taste and pricing for the local market ¹.

The direction of the sweetness and toppings in the menu your partner sent is therefore probably right. What you need to protect is not every number in the formula but the brand story: "Taiwanese taste" is a story, not a sweetness level.

Second decision: pricing — which shelf will your peso price sit on?

An owner's instinct is to convert the Taiwan price of a cup directly into pesos. That literal conversion creates two problems.

First, Manila's bubble tea market already has international brands operating in it ¹. The converted price can easily fall into an awkward position: not high enough for people to feel it is worth waiting in line for, but not low enough for students to buy every day.

Second, "from Taiwan" does not automatically create a premium. The store, packaging, and staff training must all make the difference visible before consumers will pay more.

Back to the scenario: the price your partner set is 40% higher than in Taiwan. The question is not whether it is expensive, but which shelf that price places you on and who consumers will compare you with. Make this decision before opening; it is difficult to reverse after launch.

Third decision: location and store size — the first store is a brand investment, not a rent expense

Taiwanese bubble tea stores are usually small, ordered from standing, and built for takeaway. When a partner says the first Manila store should be twice as large, the owner's usual first reaction is "Why pay twice the rent?" Manila consumption habits differ:

• The dine-in share is high. Many consumers sit down after ordering to use their phones, chat, or wait for friends. Taiwanese consumers buy and leave; Manila consumers buy and sit down.
• The experience of waiting in line is part of the brand image. Seeing people queue attracts more people to queue. But if the waiting area has no air conditioning, no seats, and a confusing flow, they will not return a second time. An air-conditioned waiting area is not a luxury here; it is a basic need.
• The weather. You would not want consumers waiting outside.

This is also what we discuss in Company Setup: the first store is not the cheapest store; it is the one that tells the brand story best ².

After 90 days

This is how our partner's bubble tea brand progressed: international brands were already in the market when it entered, so it had to find its position while protecting its formula; it opened a first store to validate the model, opened franchising only after it had established itself, and now has more than ten stores in the Philippines ¹. So the concern in the scenario — "Am I being taken for a ride?" — is valid, but it should be applied in the right places: formula protection, trademarks, and contracts, not sweetness or store size.

When we do not recommend opening the first store yet

• You have not done a Market Test and do not know whether local consumers accept your price tier. Opening a store is a decision involving millions; spend a small amount to verify it first.
• The joint-venture partner has not yet signed formula-protection and trademark-ownership terms.
• The local supply chain has not been tested. Test pearls, tea leaves, and syrup with local suppliers before opening. Do not rely on "it should work."
• You want to test by economizing on the first store. If the first store is made small and cheap, the brand will not take shape in Manila. If you need to save, save through Consignment or a Market Test, not at the first store.

Frequently asked questions

Can Taiwan's signature formula be moved to the Philippines unchanged? In our experience, no. Sweetness, ice, and toppings all need to be recalibrated for the local market ¹.

Can we price by directly converting New Taiwan dollars into pesos? We do not recommend it. Pricing is a shelf-position decision: the price you set determines who consumers compare you with.

Why not make the first store smaller to save on rent? Manila consumers sit down after buying, the experience of waiting in line is part of the brand, and the weather is hot. The first store is the one that tells the brand story best.

One small next step

If your brand is considering the Philippines, tell us one thing on LINE first: are you most concerned about the formula, pricing, or location? We will tell you how that question is usually handled in Manila before discussing whether to meet.

Last verified: October 3, 2026. The numbers in this article are only those already made public on our case-study page; all other details are qualitative descriptions.