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HOSPITALITY AND TOURISM BUSINESSES » FOOD AND DRINK BUSINESSES About This Article

How to Start a Tea Business Co-authors:


22
Updated:
August 24,
Views:
251,432
Author Info Download Article 2020
Last Updated: August 24, 2020 References Approved
METHODS
Tea is a drink which is popular in many countries.
1 Creating Your Own Tea Brand
91% of readers found this article helpful.
Not only is tea available in a variety of flavours, they 2 Starting an Online Tea Business 83 votes - 91%

are both caffeinated and decaffeinated. Its numerous 3 Opening a Tea Room Click a star to add your vote

antioxidants make it a nutritionally sound beverage. OTHER SECTIONS

Deciding to start a tea business can be a profitable Questions & Answers


Video Jaks Rajendran
way to share this product with other tea lovers
Related Articles Jul 27, 2016
around the world. You could start an online tea retail
References "I am native of Nilgiri district Tamilnadu. I
business, open up your own tea room cafe, or Article Summary worked in tea factory in 1986-92. I know the
develop your own brand of tea. process of manufacturing..." more

More success stories Share yours!


A D V E RT I S E M E N T

A D V E RT I S E M E N T
1. SEARCH FOR BUSINESS NAME ❯ 3. HEALTHIEST GREEN TEA ❯
2. TOP TEA BRANDS ❯ 4. BEST GREEN TEA TO DRINK ❯
Ad | Advance Simple

Method Download Article


1 Creating Your Own Tea Brand

1 Evaluate existing brands. Developing your own tea brand is one way to start your
own tea business. This will involve you buying unpackaged tea leaves from suppliers
and developing your own packaging and branding for your distinct product. There are also
long-established brands in traditional tea-drinking countries such as the UK.[1]
Research these brands and determine what makes them successful. Some market
tea as a healthy option.
When you do this research look for gaps in the market or ideas that nobody has
thought of yet.

2 Have a clear picture of your tea brand. While you are doing research on the
existing brands you should be trying to formulate a clear vision of what will distinguish
your own brand of tea. It's essential to have clarity of purpose to help drive you through
difficult times. Maybe you will present your tea as a healthy alternative to sugary drinks, or
a tasty and perhaps slightly exotic drink that you can have throughout the day as an
alternative to coffee.
Once you have this clear vision you need to find the place in the market to pitch
your product, and the customers you want to target.
You need to be able to confidently express the distinct features of your brand.[2]
During this stage, it's also helpful to brainstorm possible names for your brand. Your
brand name should be memorable, unique, and linked to your overall vision for your
tea brand.

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3 Draw up your business plan. An essential part of any new business is the
establishment of a clear and focused business plan. This plots the core values and
identity of your business as well as mapping your plan for growth and success. Typically a
business plan should begin with an executive summary, and then a company summary.
There are helpful online tools to help you build your business plan to a basic template, and
give you examples to follow.[3] The following should be covered in your plan:
Products and services. This section details what your business will be selling, what
your products are and your reasoning.
Market analysis summary. Here you will record your market research and clearly
identify the area in the market where you will push your product.
Strategy and implementation summary. This section should give a clear outline of
how you will develop your business. Start with getting your goods to market and
then detail your plans for growth with a clear timeline and objectives.
Management summary. This section will give details on how the business will be
run, what your management style will be and how this will affect the business
culture and operations.
Financial plan. Finally, you will need to give detailed information about the finances.
Provide a full breakdown of costs and revenues. Mark break-even points and when
you will turn a profit.[4]

4 Find your tea leaf suppliers. You can buy leaf loose, or in prepared tea bags. It's
likely that you will sell it as you receive it, just re-packaged, so bear this in mind.
Decanting loose tea leaves into individual tea bags would be very time consuming, but if
you are going for a homemade look and feel it could be a good choice. Make sure you
know exactly what you are getting and ask for samples before committing to orders.
Search online at first to get a basic idea of suppliers globally and those operating in
your locality. Some online databases can be useful first points of call.[5]
Think about environmentally friendly and sustainably produced tea leaves which
can become a part of your brand identity as well as be an ethical way to do
business.
Go to trade shows, read trade publications and ask around people in the industry.
This kind of specialist knowledge and experience can be invaluable.[6]

5 Design and order your packaging. Once you have a clear supply route planned out
you need to move on the next phase of your product development, namely designing
the packaging and branding artwork. You may choose to hire someone with expertise in
graphic and product design to help with this. It will probably have to be produced on a
computer and be of high quality for any manufacturer to produce it for you.
Remember in the early stages you need to start small, so get a small run for
samples and promotions first.
The packaging will be the main way people identify your brand so think about this
very carefully.to do anything...
Consider running some focus groups with people you can PRO
trust to
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give you honest feedback.
Think about function as well as form. Do some research online and ask for advice
from professional designers.[7]

6 Create a sample box of tea. When you have drawn up the plan for your brand, it can
be helpful to produce a sample box or two. You will need to get the tea you want to
sell and package it as you like. Once you have this you can use it to promote your tea
business in local stores and tea rooms to gauge interest and develop contacts before you
put in any big orders with suppliers.
A prototype product enables you to test it for durability as well as get a proper
impression of how it looks and functions.
Having a prototype will make people take you more seriously. Your product is
becoming a physical reality rather than just an idea. Being able to hold and use
something makes a big difference.[8]

7 Decide how you will sell your tea. Once you have a clear picture of the brand you
want to create you need to decide how you will sell your tea. Will you be an online-
only business, taking orders and shipping tea across the world? Maybe you will try to sell to
local tea rooms and stores. Or perhaps both! How you sell is the major part of your
business so it's important you consider this fully and have a clear plan and target audience.
It is relatively easy to create a website, but there are already a large number of
online tea stores so you need to think about how you will stand out.
If you plan to sell face-to-face locally, ensure you survey demand in interest in
advance. Visit some local tea rooms and shops and ask if they are interested in
getting a new supplier. And bring your samples!

8 Register your business. Before you start business you need to ensure you have
completed all the legal and regulatory requirements in your area. This can be a
complicated area so it's a good idea to consult an expert in small business start-ups to
ensure all the bureaucracy is properly taken care of.
You will need to officially register your business name, as well as registering with
to do anything...
local state agencies. In the US you can do this through the government'sPRO
Small
Business Administration.[9]
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9 Market your tea online and in person. Once you are ready to sell you need to begin
marketing your tea. Your marketing plan should have taken shape when you were
drawing up your business plan, and now it's time to put this into action. Try to market your
brand in a way that speaks to your desired brand identity. You will need to consider how
you will reach your audience and distinguish yourself from the competition.
Using an social media campaign can be effective way to set yourself out from other
older tea brands.
Having a strong and consistent social media presence for your brand can help you
to establish a distinct identity and foothold. You can consider including recipes and
facts about tea to broaden your output.[10]

A D V E RT I S E M E N T

Method 1 Quiz Score


Why is it important to have a sample box for your tea? 0/3

Because it’s easier to ship across the country.

Because it doesn’t take a lot of effort to make.

Because it can help you promote yourself to local businesses.

Method
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2 Starting an Online Tea Business

1 Research the market. Before you make any decisions about starting a new business
you need to do some thorough research of global tea markets and the wider tea
business world.[11] Look online for stories and statistics that can tell you about the big
picture of tea. Here you will get a good idea of the state of the market, where there is
growth, and where there is stagnation or decline. You can also get an idea of the potential
long-term trajectory of a successful tea business.[12]
Look for case studies on tea companies in national and international business and
financial websites to learn from successful businesses.
If you are starting an online business and intend to sell your goods internationally,
it's important to get this broader perspective from the start.
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2 Decide what your business will do. In today's ever-growing entrepreneurship


environment, determining how you will set your business apart is crucial. No matter if
you choose to sell nutritionally sound, high-end, or exotic teas, identifying your specific
angle and sticking to it is a necessary step. Ask yourself what would be unique and
different about this business.

3 Develop a business plan. Now you need to develop a sound business plan. A tea
business can be a relatively simple buy and sell business so you should try to keep
your business plan clear and focused to reflect this. Include information on what will make
your business unique, as well as your goals and the strategies you will enact to reach these
goals. Try to include all the pertinent details, but keep it concise.[13]
Have a clear timeline with specific goals you will achieve by specific dates.
This could include the day the website will go live, and the point at which you will
turn a profit.
A good clear and achievable business plan is essential, especially if you are hoping
to gain funding from a bank to support your start-up costs.
There are some examples of tea business plans available that you can read
online.[14]

4 Investigate the legal requirements. As part of the process of developing your


business plan, you will need to ensure you have a full understanding of all the legal
requirements associated with starting a new business. This will include things such as
taxes and rates. You cannot skip this part, and it's important to get it right. For this reason
it's advisable to speak to a solicitor who specialises in new businesses for advice and
guidance.
For an online business you need think particularly about how you will protect your
customers' privacy and financial information.
In the US the Federal Trade Commission deal with new online businesses.[15]
5 to do Typically,
Find your suppliers. anything...
the best and most popular teas come from PRO
the leaves,
barks, and roots of plants and trees grown in China, Africa and India. While you may
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be able to obtain teas from other parts of the world, their quality may not be as high as
those grown in these three regions. Contact companies who are already experienced in
exporting tea to other parts of the world.
Make sure that these individuals are aware of exactly what types of teas you are
interested in carrying, and have agreed to a specific price, before signing a
contract.
Speaking to other people in the tea business can be a helpful way to find out more
about the reputations of specific suppliers.

6 Develop your website. The next step is develop your website. This is effectively your
storefront so it's essential that it is attractive and draws in customers who won't
dawdle on your site if they don't like it. You need to keep it simple and clear, as you will
have just a seconds to grab someone's attention. Research successful sites online, and try
to stick with the following basic principles:
Make navigation across the site simple, easy, quick and intuitive. You should have a
template so that every page is negotiable in the same basic way.
Keep the page clean, with just one or two basic fonts on a white or pale
background. Only use video, graphics or audio if they really enhance your
message.
Make it easy to buy with as few clicks as possible between the potential customer
and the check-out.[16]

7 Market your business. Once you have your site live, with your goods ready to go,
you need to drive traffic to your online store. Consider using pay-per-click (PPC)
advertising to get traffic to a new site. PPC ads appear immediately on search pages so
you can avoid some of the lengthy process of moving your site up the list of search results.
You can also use PPC ads to test out which keywords are the most effective for you.[17]
Once you know which keywords come up most frequently you can ensure that they
appear throughout your website to optimise it for search engines.
Use analytics to assess the performance of your website and see where your traffic
is coming from.

Method 2 Quiz Score


True or False: The best countries to import tea from include the United Kingdom, 0/3
Australia, and Thailand.

True

False

Method
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3 Opening a Tea Room
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1 Research the local tea room scene. Tea is versatile enough to allow for sale both in
person and over the Internet. If you want to open up your own tea room you need to
follow some of the same steps as for an online business, but particularize them for your
business. A tea room will be in a fixed locality so when you research the market you are not
looking at worldwide sales as much as what is going in your town, or where you plan to do
your business.
Take a look around and evaluate areas where a tea room might be successful.
Think about the neighborhood and the businesses that are already there.
If there are already tea rooms nearby this could indicate a strong demand in the
locality, but that doesn't necessarily mean there is enough demand to support a
new tea room too.
The sunk costs and liabilities for this kind of business will likely be higher than an
online business so be sure to research your local market thoroughly.

2 Find your premises. Once you have decided which part of town to have your tea
room you need to find the premises that will house your business. This is a decision
that could make or break your business so don't rush it and regret it. Your location needs
foot traffic as well as parking opportunities. It needs to be easily visible and easy to
access.[18]
There might a tea room available to buy, so check your local listings. This could
potentially save you money on furnishings, but it might be for sale because it's
poorly positioned.
Remember that when you are negotiating a lease, everything is negotiable. Stick to
your guns and don't get involved if you are not comfortable with the landlord.
Seek specialist legal advice for any contracts and lease agreements.

3 Develop your tea room business plan. The same principles of the business plan for
an online tea shop apply. You should aim for a clear, concise and achievable business
plan that is well-researched and fleshed out with all the detail you need. The trajectory,
goals, and strategies for a tea room will be different for an online store, but a clear timeline
with estimated dates for break-even and turning a profit should still be the corner stones.
Other landmarks could include the date you sign for a lease on premises, by when
you will have purchased or leased all the required equipment, and the date you
begin the marketing campaign.[19]
Again, there are examples of tea room business plans you can read on the web for
an outline.[20]
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4 Build up your supplier relationships. Just as with an online store you will need
solid and dependable suppliers. If anything it is more important at a physical store. If
someone has travelled to your tea room and you are out of stock, don't expect them to
come back. In the initial period, when you don't really know how many people will come
through your door, it's important to have enough stock.
Choose your teas carefully and test as many as possible. There are a huge number
of tea varieties, and the ones you go for will help shape your tea room's identity.[21]

5 Fulfill all legal requirements and secure funding if necessary. You will need to
register your business with all the appropriate official bodies as well as having proper
business banking arrangements. You should consult with a legal expert with specialist
knowledge on small business start-ups and not take any chances with legal and financial
stipulations.
The legal requirements will vary depending on where in the world you are, so be
sure to seek expert help.[22]
You also need to investigate any licences and permits that you will require. These
could include food hygiene and health and safety certificates for you and any staff.

6 Know what will distinguish your tea room. When you are getting ready to open
your doors for business you need to have a clear idea of how it will look and what will
distinguish it. As well as having a particular selection of teas, you might want to go for a
particular look and atmosphere that you think will attract your target customers. Everything
from decor, to music, to staff can have an impact on the impression someone gets when
they come through the door.
Coffee and tea shops can develop a strong core of regulars who provide reliable
and consistent custom for your business. This can make it hard to break in, but if
you find your niche it can be very fruitful.[23]
As well as the decor, don't neglect the actual equipment that you will use to make
teas and coffee. You can have a great looking tea room, but it is not likely to be
successful if the drinks are lousy.
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7 Promote your tea room before the launch. Depending on the type of business and
the customer base, marketing and advertising can be done on the Internet, through
magazines, newspapers, or even in television commercials. If you are opening a local tea
room, target your promotion in the nearby area. Consider using an online promotion on
social media with special offers to attract customers at the start.
In an increasingly crowded market, it's essential to emphasise what makes your tea
room unique and special.[24]
Think about the various ways to market your teas which will appeal to different
people. Some will be attracted by the health benefits, others by the uniqueness and
unfamiliarity.
Update your advertisements on a regular basis to stay fresh and attract new
customers.

Method 3 Quiz Score


Where is the ideal place to establish a tea room? 0/3

A crowded urban area.

A location with lots of foot traffic.

The site of a previously-established tea room.

Community Q&A

Question

How do I promote my tea business?

Community Answer

I suggest reading through wikiHow's article on promoting your business for some useful tips.
Helpful 13 Not Helpful 1

Question

I want to start making herbal tea for treating hoarseness. Would eBay be a good place to
start selling, or is there another way I should get started online?

Community Answer

eBay is one option. Another would be Etsy, a marketplace for homemade crafts/creations.
Helpful 12 Not Helpful 3

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References

1. ↑ http://ratetea.com/brand.php
2. ↑ http://www.forbes.com/sites/ericwagner/2014/01/07/honest-tea-a-100-million-brand-15-
years-in-the-making/
3. ↑ http://www.bplans.com/tea_room_business_plan/executive_summary_fc.php
4. ↑ http://www.bplans.com/tea_room_business_plan/executive_summary_fc.php
5. ↑ https://www.wholesalecentral.com/
6. ↑ https://www.sba.gov/blogs/4-tips-researching-and-finding-wholesale-suppliers
7. ↑ http://www.creativeguerrillamarketing.com/advertising/5-essential-packaging-design-tips-
smaller-brands/
8. ↑ http://www.entrepreneur.com/article/80678
9. ↑ https://www.sba.gov/category/navigation-structure/starting-managing-business/starting-
business/choose-register-your-busi

More References (15)

About This Article

wikiHow is a “wiki,” similar to Wikipedia, which means that many of our articles are co-written
by multiple authors. To create this article, 22 people, some anonymous, worked to edit and
improve it over time. This article has been viewed 251,432 times.

Co-authors: 22
83 votes - 91% Updated: August 24, 2020
Views: 251,432

Categories: Food and Drink Businesses

In other languages:
Español: empezar un negocio de té Bahasa Indonesia: Memulai Bisnis Teh
Português: Abrir um Negócio de Chá Français: se lancer dans la vente de thé
Русский: начать чайный бизнес Nederlands: Een theebedrijf beginnen
Italiano: Aprire un Negozio di Tè ‫ﺑﺪء ﻣﺸﺮوع ﻟﻠﺸﺎي‬:‫اﻟﻌﺮﺑﯿﺔ‬

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