Private Label Coffee and Tea Packaging
Lead to New Growth Opportunities

The beverage industry is turning over a new leaf as private label trends support brisk growth and reveal hot opportunities for tea and coffee retailers. While newsworthy trends are beginning to unfold, savvy private label sellers explore the impact these changes have on consumer behavior in concurrence with their marketing strategy and product offering. Small and mid-size businesses are no longer limited to established tea and coffee brands, and entering the market with their own propriety private label brand defies tradition and repositions with a premium image and product.

Private label coffee and tea packaging is upscaling in both perception and practice as black tea fires up to green chai spice. Originally perceived as an affordable substitute to the national brand, the generic brand is stepping aside to the new concept in private label - the premium private label brand. Premium, specialty and gourmet tea and coffee sales are surging as the seller’s own private label brand evolves and expands into new market segments building company and product awareness.

As demographics and culture change, so does market demand for new satisfying beverage offerings complimenting lifestyles of comfort, pleasure and luxury. Consumers are snubbing their nose to commodity tea and coffee; they desire high quality, tempting flavors brewed from the finest ingredients. Major health and wellness trends are driving sales of private label tea brands as consumers seek healthy alternatives to traditional products, switching to natural, organic, fair trade and nutritious beverages such as specialty fruit, herbal, black and green teas, and organic air-roasted coffee.

Distribution channels are opening up in the service sector as private label coffee and tea packaging is no longer a marketing success used exclusively by retailers. Businesses, from high-end hospitality to professional services, are serving up signature brand private label tea and private label coffee to enhance the client experience while at the same time build company recognition. Generic private label tea brands are becoming a popular pick in international markets with the premium private label soon to follow, and there is room to grow. Marketplace dynamics indicate there has never been a better time for small and mid-size business to consider the power of private label to market, sell and profit on their own brand of tea and coffee products.

Private Label Tea & Coffee, A Phenomenon All of Its Own

Traditionally, private label went hand in hand with generic household staples including tea and coffee. The term "private label" was used interchangeably with "generic brand.” Consumers have long expressed favorable views to generic brands, as an AC Nielsen study supports, citing private label brands as an extremely good value for the money and a good alternative to national brands. Large discounters had the economy of scale advantage, marketing generic label by employing a low price, high volume system to generate profits. Of course this made it difficult, if impossible, for smaller firms to compete.

The exciting, really pioneering news in the survey is consumers are now seeing private label coffee and tea packaging to be of equal or higher quality in comparison with other brands, unlocking opportunities for small business. Sellers are now successfully fighting fierce competition, armed with a proven small business marketing tactic; pull in profits with smaller sales volumes by offering a high price, high quality, unique brand through the support of a private label wholesale partner.

Private Label - Anytime, Anyplace

The service industry is driving private label brands into non-traditional avenues and leaving their mark. Distinguished food service and hospitality companies are putting their own name on the teas, coffees and other beverages they serve giving their patrons a taste of something only offered at their establishment. Beyond hospitality, other service industries are joining the trend, personal, entertainment, business and professional services to name a few. Serving signature private label tea and coffee brands build and reinforce their business image and ambience, in addition to enhancing their client experience. Many of these service companies are adding on profits centers, complimenting the core business through direct sales of their carte items.

Afternoon tea has become tea anytime, anyplace and anyway, as the opportunities are endless. Teahouses are evolving into bubble tea cafes serving a frothy hot or cold beverage made from tea, milk, sugar and tapioca balls, alluring the younger crowd. The over 21 age group is sipping up creative and flavorful cocktails of tea, liquor and ice at trendy tea bars and lounges. What these entrepreneurs have in common is the ability to introduce their own brand that set them apart from their competitors, with the support of a private label wholesaler. At the same time, coffee has evolved from the realm of the commodity, to a $4 per cup 'experience.'

In the beverage industry distinct trends are pouring out opportunities with consumers ready to taste. Changes in consumer perception, demographics, lifestyle and culture lay the foundation for a unique offering of products and services. To capitalize on these trends sellers are no longer stocking standard off-the-shelf tea and coffee brands. Instead they are formulating a custom blend of product, label and package to create their own exclusive private label tea and coffee brand, satisfying the unfulfilled needs of changing consumer tastes. Private label is a powerful ingredient in their recipe for success. Trends and marketplace dynamics point out now is the time for small and mid-size business in all industries to consider the power of private label coffee and tea packaging to leave their mark.