Gong Cha plans a big push in Texas
Gong Cha signs a 50-unit deal for Texas, marking the largest in its history.
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Gong Cha has secured a 50-unit development deal with Bakers Acres & Cattle Company to expand in Texas over the next seven years. This deal is part of Gong Cha's broader growth strategy in the U.S., following their acquisition of master franchise rights for 170 U.S. stores. The brand currently operates nearly 2,200 locations globally and 241 in the U.S., reporting $94 million in system sales for 2025.
Why It Matters
This expansion may compress available territories in Texas for competing brands, signaling strong demand for bubble tea franchises. The interest from multi-unit operators suggests positive unit economics for franchisees considering this brand.
Gong Cha, the bubble tea brand with approximately 2,200 locations globally, is set to significantly expand its presence in Texas by signing a 50-unit development agreement with Bakers Acres & Cattle Company (BACC). This deal, the largest direct franchising agreement in Gong Cha's history, is part of the company's ongoing efforts to enhance its footprint in the United States following its acquisition of master franchise rights to 170 U.S. locations, including those in Texas. Under the agreement, BACC will open new locations in prominent Texas cities such as Austin, Houston, San Antonio, and Dallas over the next seven years.
Geoff Henry, president of Gong Cha Americas, remarked that the brand is experiencing a surge of interest from multi-unit operators eager to collaborate with "the global leader." He emphasized that franchisees are gravitating towards concepts characterized by operational simplicity, robust consumer demand, and the potential for efficient scaling at relatively low cost, all of which Gong Cha offers.
BACC, a Houston-based franchise operator established in 2015, already manages Nothing Bundt Cakes outlets and will leverage its experience to develop Gong Cha stores. The chain ended 2025 with a total of 241 locations across the U.S. and reported nearly $94 million in system sales, a figure that saw a 5.6% increase from the previous year, according to Technomic.
