Logo of Phnom Penh Post newspaper Phnom Penh Post - Thai bubble tea and coffee brands 'hits' in Cambodia

Thai bubble tea and coffee brands 'hits' in Cambodia

Content image - Phnom Penh Post
Bubble tea/Shutterstock

Thai bubble tea and coffee brands 'hits' in Cambodia

Thailand's Department of International Trade Promotion (DITP) is advising Thai businesses to invest in coffee and milk tea products in Cambodia, as it already has more than 800 coffee shops nationwide and is showing good potential for more.

DITP director-general Somdet Susomboon said: “Coffee and bubble tea are a big hit in Cambodia with more than 300 shops in Phnom Penh and 500 in other provinces.

“Thai brands like Amazon, Black Canyon, True Coffee, Inthanin, Arabitia, Doi Chang, Doi Lor and Chao Doi have become very popular, with Thai coffee shops holding more than 45 per cent market share in Cambodia. Amazon is the biggest player after having opened 140 branches nationwide.”

Founded in 2002, Cafe Amazon is a chain of coffeehouses owned by Thai-listed State-owned energy giant PTT Pcl, which has operated in Cambodia since August 3, 2000 through PTT (Cambodia) Ltd. PTT petrol stations are often accompanied with a Cafe Amazon outlet.

PTT Cambodia managing director Suthon Choothian previously told The Post that the first Cafe Amazon outlet opened in Cambodia in 2013, with PTT Cambodia becoming the franchiser of Cafe Amazon in the Kingdom after it was granted a master franchise in 2016.

Somdet said foreign companies are also eyeing the Cambodian market, with Starbucks opening its 20th branch in the country.

“Local brands like Brown Coffee are also strong players, making Cambodia a promising market with the potential of high competition in the future,” he added.

DITP Cambodian Office director Jirawut Suwanart said entrepreneurs wanting to set up coffee shops or bubble milk-tea businesses in Cambodia can contact the office for details on documentation and regulations.

“Thai businesses can enter the market in three ways – opening and managing the shop with 100-per cent-ownership, which is suitable for well-established brands; co-investing with a local investor, which is suitable for expanding into rural areas as the insight of locals will help secure the market; and the third is to sell franchise licence to locals.

“The last option is the cheapest with low financial risks, though brand owners must ensure that franchisees maintain the product’s quality or they risk injuring the brand image,” Jirawut said.

THE NATION (THAILAND)/ASIA NEWS NETWORK

MOST VIEWED

  • Capital-Poipet express rail project making headway

    The preliminary results of a feasibility study to upgrade the Phnom Penh-Poipet railway into Cambodia’s first express railway indicate that the project would cost more than $4 billion and would take around four years to complete. The study was carried out by China Road and

  • Thai boxers to join SEA Games’ Kun Khmer event

    The Cambodian SEA Games Organising Committee (CAMSOC) – together with the Kun Khmer International Federation (KKIF) and Khmer Boxing Federation – have achieved a “great success” by including Kun Khmer in the upcoming biennial multi-sports event on its home soil for the first time, said a senior

  • Bullets to bracelets: Siem Reap man makes waste from war wearable

    Jewellery is often made from valuable gemstones like emeralds or diamonds and precious metals like gold or silver, or valueless things like animal horns. But a man in Siem Reap has approached the manufacture of delicate pieces from a different angle. His unique form of

  • Second Hungary business forum set for H2

    Cambodia has asked Hungary to provide GSP- (Generalised System of Preferences) Plus facilities for when the Kingdom sheds its least-developed country (LDC) label, as the two countries prepare to hold a second business forum in the second half (H2) of this year to expand trade

  • 61% of 2022 imports came from just 3 markets

    The three largest exporters to Cambodia – mainland China, Vietnam and Thailand – accounted for 60.94 per cent of the Kingdom’s total merchandise imports last year, at $18.245 billion, which was up 11.99 per cent over 2021, according to the General Department of Customs and Excise. Cambodia’s total imports

  • CPP sets out five primary strategic goals for 2023-28

    The Cambodian People’s Party (CPP) on January 29 concluded its two-day extraordinary congress, setting the party’s priority goals for 2023-2028. The ruling party’s congress was attended by more than 3,000 members from across the Kingdom, including the members of the permanent and central committees,