The 200‑Store Bet: Can UK Bubble Tea Brand defy the odds?

Can UK bubble tea brand Cupp scale to 200 stores in India? Discover the bold expansion strategy, market risks, and secrets to international franchising success.

A huge franchise development agreement promises rapid expansion, but India has historically been a difficult market for international food and beverage brands to scale.

When a young franchise brand announces a plan for hundreds of locations in a new country, the headline number often captures most of the attention. Yet seasoned franchise operators know that large development deals are rarely just about ambition. They are about execution, local partnerships and the realities of operating in a complex market.

UK bubble tea brand Cupp has now entered that conversation. After more than a decade building its domestic network, the Bristol founded concept has opened its first location in India and unveiled plans for a development agreement that could see as many as 200 stores open across the country.

For founder Lee Peacock, the moment carried the emotional weight familiar to many franchisors launching a brand abroad for the first time. Opening day in Hyderabad marked the start of the company’s international chapter and the first step toward what could become one of the most ambitious overseas expansions attempted by a UK beverage franchise.

From Bristol Startup to National Franchise

Cupp began in 2012 after Peacock discovered bubble tea during time spent in Taiwan, the birthplace of the drink. At the time the category was still relatively unfamiliar to most UK consumers. Over the following decade, however, bubble tea moved from niche curiosity to mainstream youth culture across many Western markets.

The brand gradually built a network of around 30 plus locations across the UK while refining its operating model and supply chain. Like many emerging franchise systems, Cupp used its domestic growth phase to prove the concept, test store formats and build a franchising infrastructure capable of supporting multi unit operators.

That foundation is essential before entering international markets. A franchise brand expanding abroad must be able to transfer its systems, supply chains and brand experience to operators thousands of miles away.

India now represents the most ambitious step in that journey.

Why India Is So Attractive to Beverage Brands

On paper, India offers enormous potential for beverage chains built around tea. The country has one of the largest tea drinking populations in the world and a rapidly growing urban middle class that increasingly embraces modern café style concepts.

Younger consumers in cities such as Hyderabad, Mumbai and Bangalore are particularly receptive to new formats and globally inspired food and drink brands. Domestic chains like Chaayos and Chai Point have demonstrated how large the opportunity can be when traditional tea culture meets contemporary retail formats.

For bubble tea brands, this combination of youth culture, social media appeal and an existing tea drinking tradition appears promising. The category remains relatively early in its development compared with markets such as Taiwan, the UK or parts of Southeast Asia.

That leaves room for new entrants to shape consumer awareness and define the market.

The Reality Check: India Has Challenged Many Global Chains

Yet the history of international food and beverage expansion in India suggests that scale is far from guaranteed. Many global brands have entered the market with ambitious plans only to discover that operating conditions can be far more complex than expected.

Several factors have repeatedly challenged foreign chains. Real estate economics vary dramatically between cities. Consumer price sensitivity can be higher than in Western markets. Supply chains often need significant localisation. Menu adaptation is frequently required to match regional tastes and dietary preferences.

A number of international restaurant brands have experienced these realities first hand. Dunkin closed most of its Indian stores after struggling to translate its Western positioning to local consumers. Subway has faced waves of store closures as franchisees grappled with profitability. Even successful global brands have typically relied on strong local joint venture partners and slow, careful expansion rather than rapid rollouts.

For beverage concepts specifically, competition can also emerge quickly. Local entrepreneurs and regional chains often adapt international trends at lower price points, creating a crowded landscape within a short period of time.

Why the Local Partner Matters

This is why large development deals usually hinge on the capabilities of the master franchise partner. In markets as diverse as India, the local operator must navigate property networks, recruitment, supplier relationships and regulatory frameworks that vary widely across regions.

If that partnership works well, expansion can accelerate rapidly. If it struggles, even strong consumer concepts can stall.

For Cupp, the 200 store development target signals significant confidence in both the category and the local operating partner. But like many ambitious franchise rollouts, the true test will come in the performance of the first cluster of stores.

Early units will reveal how well the concept resonates with Indian consumers, how efficiently supply chains can be localised and whether the pricing model fits local expectations.

A Defining Test for a Growing UK Brand

For a UK franchise brand with a few dozen domestic locations, launching into a market the size of India represents a bold strategic leap. Success could transform Cupp from a national chain into a global franchise platform.

Failure would not be unusual. India has humbled many international operators before.

What makes the expansion fascinating is precisely that tension. The opportunity is enormous, but so is the operational challenge.

Image credit: Cupp