The bubble tea industry is a major hit in Malaysia since it first entered the local market. New bubble tea concepts mushrooming in town targeting urban and youth consumers. Besides key players like Tealive and Chatime, a Malaysian brand bubble tea – Chatto is on the rise.
1. A combination of Japanese and Chinese
The unique name of Chatto comes from the word “Chat”. According to the founder, in Japanese, they pronounce “Chat” as “Chat To”. In the meantime, tea in Chinese also pronounces as “Cha”. Thus, the unique combination of chatting and tea add in the name of Chatto which fits with the concept of the tea bar.
According to the founder, their objective of starting up the handcrafted tea bar is meant to provide a third place that is comfortable for people to chat beside home and workplace.
2. Established in August 2017
Chatto was established by two founders, Terence and Yan who saw the potential in starting their own tea business. Terence was a senior marketing manager in a corporate company with a passion for building brands and creating new ideas.
Yan, on the other hand, was an experienced person in the tea market in Taiwan. She was the key person to develop the entire Chatto menu. Previously, she was running a cafe business and decided to convert it into the first Chatto outlet in Iskandar Johor.
3. Their ingredients are sourced from overseas
Even though the bubble tea market is highly competitive, for Chatto, they are offering a different concept. Positioning themselves as the first Japanese concept tea bar in Southern Malaysia, it is different as most of the bubble tea rely on Taiwanese bubble tea concept.
Chatto’ teas are sourced from overseas, mainly from Japan, Taiwan and China. They also design their products with less sugar so people won’t be drinking really sweet drinks in Chatto.
4. 23 outlets in Malaysia
Since their very first establishment in Johor, Chatto team has expanded its business into 23 outlets in Malaysia. There are 12 outlets in Johor itself and 5 outlets in KL.
They are targeting to open 40 outlets in total by 2019 and some branches are on progress. Besides, they are also expecting some
5. RM 5 million sales revenue accumulated
The interesting story about Chatto is, the business was all self-funded by both founders, Terence and Yan. It all paid off as for the first year of their operation, the brand has successfully managed to accumulate RM 5 million sales
They are lucky enough to have loyal customers who have been following the brand since the beginning. The team have planned to launch new products every three months.
As for Chatto, they seem to have the ambition to replace the go-to coffee shop – Starbucks as the favourite spot for chilling and hanging out.