From an American coffee bean store to a chain of cafes in 1,200 locations across 24 markets, The Coffee Bean & Tea Leaf® (CBTL) has come a long way from its SoCal origins. Owned by Philippine multinational corporation Jollibee Foods Corporation (JFC), CBTL is pursuing its vision of becoming a top five global café brand and leading global franchisor in the coffee and tea industry, from its base in Singapore.
Before cold brew became a trend, CBTL was already selling the product in its cafes in the 1980s, right around the time it created the very first Ice Blended coffee, kickstarting the frozen coffee craze.
Recognising the potential of the brand, JFC acquired CBTL in 2019 as a key part of the company’s ambitious growth strategy, which aims to triple JFC’s value by 2028 and increase its return on invested capital to 20 per cent.
This acquisition allowed JFC to become an important player in the large and fast-growing coffee business and will help bring the group closer to its vision of becoming one of the top five restaurant companies in the world. JFC has 19 brands with close to 10,000 stores spread across 32 countries, with the coffee and tea segment accounting for 52 per cent of its store network.
When acquired by JFC, CBTL already had a significant presence in Southeast Asia (SEA), the Middle East and Southern California in the United States. Its SEA expansion had come on the back of the proliferation of second wave coffee between the 1960s and the 1990s, before the introduction of third wave coffee globally in the 2000s. Second wave coffee emphasised specialty coffee and the café experience, moving away from a highly commoditised offering coined as “first wave coffee”. This aligned with the evolving tastes and preferences of Southeast Asian consumers, that were being shaped by the rise in disposable incomes.
But CBTL recognised that there was still huge growth potential in SEA - with the specialty coffee and tea industry tipped to expand at a compound annual growth rate of 8 per cent between 2023 and 2028.
The company began hiring personnel for its Singapore-based global headquarters (GHQ) in 2020, and moved into its current location, named Home Grounds, in 2023. Located in the Somerset area, it’s a unique space for collaboration and innovation, and a hub for franchise support and general training for business partners and employees from around the world.
"Singapore is a mature market characterised by copiously diverse options and discerning consumer taste expectations. This makes it one of the most challenging markets to operate and stay relevant in for any concept. The kind of presence we have established underlines our strength as a brand and our ability as operators. Our global nerve centre sitting in the right place allows us to have front row seats to the dynamism of Asia, personified by Singapore."
Mary Ann Say
CFO
The Coffee Bean & Tea Leaf
Chief Financial Officer (CFO) Mary Ann Say highlighted several factors that spurred CBTL to anchor strategic corporate functions in Singapore to drive global operations:
“The Singapore work place is quite an interesting paradox for me. What could have been seen as fragmentation in work culture, due to the country’s rich diversity, actually allows for the convergence of expectations and values to be more clearly centred around performance, accountability, and meritocracy,” explained Say.
For Chief Development Officer (CDO) Yousif Abdulghani, having CBTL’s GHQ in Singapore has made it easier to support Asia and Middle East markets. The time zone that Singapore is in and its connectedness to the rest of the world has allowed for stronger collaboration with teams globally and ensures corporate teams can be responsive to dynamics in key markets and to their franchisees in the region.
“Being closer to our consumer base allows us to better understand and respond to their needs and evolving lifestyles,” said Abdulghani, adding that Singapore’s cultural diversity meant CBTL could innovate, adapt and validate its menu to cater to a diverse and broader mix of consumer profiles.
Singapore’s strategic location and business-friendly environment have created a fertile space for almost all serious players in the franchising community to establish global/regional headquarters in the country, thus facilitating connections among them. Furthermore, “our success story of being based in Singapore has played a significant role in creating interest in our brand by potential investors,” said Abdulghani.
CBTL has ramped up hiring in Singapore in the past few years, in areas such as Coffee, Tea & Beverage Innovation, Digital & Technology, Development, Marketing and Consumer Insights, and Commercial Growth.
The brand now has approximately 65 team members at its Singapore global office, serving as a “central hub of expertise across various functions and disciplines,” said Chief Human Resources Officer Grace Munsayac.
“This includes marketing, brand management, finance, supply chain, and more. Here, we cultivate a culture of innovation, developing new coffee and tea offerings, digital loyalty programs, and café development concepts. This expertise is readily accessible and transferable to both our franchise partners and company-owned stores worldwide,” she said.
CBTL has focused on local talent development, through training programmes, providing exposure to global best practices and opportunities, and offering competitive rewards and benefits.
One of those who have benefitted is Chien Chien Lin, a Singaporean with over 20 years of experience with CBTL. The Vice President and Country Head for Singapore, Lin has played a pivotal role in the company's success. Starting as an accountant when CBTL had 30 stores in Singapore, she has risen through the ranks, holding various roles in finance, real estate, and general management. Today, she oversees the Singapore market, which has 80 stores, demonstrating growth potential in Singapore.
“It has been an amazing journey, and I am grateful for the coaching and investment from current and previous owners and leaders,” says Lin.
Lin’s ability to move vertically and laterally across the organisation while staying in the country has been inspirational. “Being able to spend time with my children as they were growing up without compromising career growth has been invaluable,” she said.
Lin has led and contributed to several major projects that have shaped CBTL's presence in Singapore.
Under Lin's leadership, CBTL Singapore has pushed the boundaries of traditional store design to stay relevant in the volatile café scene. The company has also made strides in delivering healthier products, focusing on reducing sweetness in beverages and cakes while maintaining the brand's signature taste.
“I'm proud to have led the profitable expansion of our Singapore stores by approximately 25 per cent over the past five years despite the challenges of COVID, delivering meaningful innovation that delights our consumers and serving them how they want to be served,” says Lin.
"Singapore has been a cornerstone of The Coffee Bean & Tea Leaf®’s success in Asia and globally. Its dynamic environment fosters innovation, while its strong business climate and talent fuels growth. Singapore’s open and friendly culture allows us to meet and develop our business partners, suppliers, and future customers in a safe and welcoming environment. We’re excited to leverage Singapore's unique strengths as we continue to brew curiosity and elevate our brand experience for our customers around the world."
John In de Braekt
CEO
The Coffee Bean & Tea Leaf
Bolstered by Singapore’s strong intellectual property protection and access to world-class research institutions, CBTL has established its research and development (R&D) team in the country. Its state-of-the art Innovation Experience Centre is equipped with fully operational laboratories and a testing café. This facility plays a pivotal role in consumer-driven product development, ensuring a pipeline of brand-relevant innovations.
How does this work? The Singaporean team collaborates closely with local markets, to respond quickly to trends and facilitate the development and launch of products tailored for specific market preferences. These customisation efforts that resonate with local consumer preferences can be further scaled across global markets through collaborations with global marketing team members and franchised operators.
The Innovation Centre has also worked on healthier and more flavourful coffee and tea options, an area that CBTL hopes to collaborate on further with Singapore government agencies and research institutions, as part of its Environmental, Social and Governance (ESG) commitments. It also continues to pursue sustainable sourcing.
CBTL's commitment to quality and sustainability is led by Jay Isais, vice president of coffee. “I've dedicated the past 25 years of my career preserving CBTL's deep heritage in specialty coffee, while continuing to be inspired by innovation in coffee agriculture and shifting consumer tastes,” says Isais. “To this day, we continue to work with farmers in key growing regions to ensure both quality and fair trade practices.”
CFO Mary Ann said EDB’s support for the company through providing information on setting up their GHQ and providing connections to relevant local partners has been integral to CBTL’s successful expansion in Singapore. CBTL was quickly able to “fine tune our legal entity structure to better manage our supply chain flows, access a robust pool of talent and benefit from an environment conducive to doing business, right from the get-go,” she said.
Learn about how Singapore can support your business’ growth and expansion in SEA here.
