KIDO Group today announced its plan to launch its own coffee and milk tea brand Chuk Chuk with the goal of opening 1,000 outlets by 2025.
|KIDO is planning to rapidly scale up its new Chuk Chuk coffee and milk tea shops |
The stores will serve ice cream, tea, milk tea, coffee and other beverages under TTV Trading Investment JSC – a member of KIDO Group. With a total investment capital of VND100 billion ($4.35 million), KIDO will hold 61 per cent of the controlling stake at the chain to inject investment capital and scale up operations in the future.
Tran Le Nguyen, general director of KIDO Group said that the group has been preparing for the opening for the past year with a view to become Vietnam’s leading food and beverage (F&B) brand both in market coverage and customer preference. The chain will be operated under franchise model with 1,000 stores across the country by 2025.
At the same time, Chuk Chuk will team up with foreign partners to extend its reach to the Asian market between 2021 and 2023. Tran Tuyet Van, one of the three daughters of Tran Le Nguyen is the general director of Chuk Chuk.
"Although being a newcomer, our F&B chain offers a unique selling proposition for young people. It will source coffee from a strong coffee exporter in Vietnam. The caffeine content will be safe for people with heart palpitations to consume. Other materials will be sourced locally at affordable prices," he added.
Chuk Chuk will be developed with a variety of business models including a system of stores, trolleys, and kiosks deployed on main roads and in commercial centres.
2021 will be a crucial year for Chuk Chuk to develop a system of stores, kiosks, and trolleys in Ho Chi Minh City with the goal of developing 58 stores by the end of the year.
Accordingly, the first Chuk Chuk stores in Ho Chi Minh City will open in June, while the kiosk and trolley system is expected to launch a month later. In the next 2-3 years, Chuk Chuk will make its debut in Hanoi and other big cities in Vietnam.
In addition to beverages, Chuk Chuk also sells fresh bakery under KIDO’s Bakery brand, as well as tea and coffee packages, glasses, and souvenirs.