Monday, December 8, 2008

Private Label Loose Teas vs Private Label Tea bags

More choices, options, colors and kinds can make any decision difficult. Though this choice may seem relatively simple as there are a growing list of companies that can supply a line of private label teas, as the number of companies grow, so to does the difficulty. Though this choice may seem relatively simple as there are a growing list of companies that can supply a line of private label teas. Though this choice may seem relatively simple as there are a growing list of companies that can supply a line of private label teas.

In a rapidly growing tea industry, a variety of companies are looking to expand their product base by adding a line of private label teas.
But now with the rise of Gourmet tea bags, where a high quality loose tea is included in the tea bags, all of the sudden this is a very real, and potentially better option. Though originally the choice was private label loose teas, now many companies are looking to add a line of private label tea bags was far lower than the private label loose teas.
This is where a vast majority of competition is. Either high quality loose teas that are green tea, black tea or oolong tea, or regular tea bags with low quality green tea and black teas in them. For those looking to enter into the tea industry, and have done their research have found that there are a vast number of "standard" teas on the market.

One of the reasons that the market is growing so fast however, is the nearly endless number of possibilities; differentiation. An industry such as tea is rapidly growing, which means the number of competitors is also, rapidly growing; a barrier to entry.
And as non tea drinkers are looking to improve their health, but have been turned away by the bitter taste of green teas, your Private Label Herbal Teas will be their to save them. Also high health benefits of the herbal teas and smooth taste makes them a favorite among tea drinkers as well as chunk of the population, non-tea drinkers. The reason is due to a significantly lower number of competitors and a potentially endless number of herbal blend options.

This is where a high percentage of growth in the tea industry can be found. If a company is interested adding Private Label Loose Teas to their product base, the best option would be to have loose Organic Herbal Teas, and Organic Herbal Tea Blends. But now, we can look at the options.
So if we could mix the two, High quality Loose Tea (either herbal or standard) and the easy use of a tea bag, then this would allow the company to differentiate their product whether using "Standard" teas or unique herbal blends, instead of with loose teas where only the unique herbal blends will allow your Private Label Tea to truly stand out. This is large reason why commercial tea bags have become so popular despite their general low quality. Loose tea takes more time to make, special tea utensils, all of which may not work well in this every day reality. But for any tea drinker, and especially non tea drinker, who lives in the modern day reality of a hustling and bustling business world, loose tea may not be the best option.
And overall, which is best for you ? Which part of the industry do you see fits with not only today's market, but also tomorrow's ? Which part of the industry do you see the most growth and most potential?

This is a very important part of the decision tree when looking to either add a new product to your already established company, or looking to start a company from scratch.

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