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Tea is an opportunity to boost profits

According to a new survey by vending operator Selecta, tea represents a growing profit opportunity for operators as out of home consumers seek to replicate their quality home brewed cuppa. <<

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Over the last twelve months we conducted a large survey of hot drinks vending which provides useful insight into the habits of consumers. Of the 6850 people surveyed, tea was chosen by 23% of respondents as their preferred drink.

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“It shows that despite the nation’s coffee culture over the past decade, tea retains its traditional appeal with consumers who value the quality of a freshly brewed cuppa from our vending machines. Coffee is very popular but tea shouldn’t be underestimated in the profitability stakes or be an afterthought for caterers.”

Indeed nearly twice as many cups of tea are consumed vs. coffee every year (65:35)* and though coffee is a popular choice for consumers out of home, tea continues to lead the way at home and is a growing opportunity for out of home.
Sarah adds; “Coffee has had the edge over tea in the workplace but over the last three years this advantage has been eroded* and now the split is nearly 50/50. People who drink tea also tend to drink it more frequently compared to coffee drinkers, so if you get your brew right the profit potential of tea is significant, representing an opportunity for caterers and Facilities Managers.”

PG tips, the nation’s No 1 tea brand**, is available from Selecta’s hot drinks machines. In fact, the company serves up more than 82,000 cups of PG tips leaf tea from its vending machines every day.

Much of that success is down to the quality of the offer as Selecta has been working in partnership with PG tips to provide a great drinks experience for consumers. Selecta’s “whole cup” approach is driven by a focus on quality ingredients, using filtered water, the best recipe and the optimum machine calibration.

Sarah explains; “We research and develop the best recipe to ensure the right balance of tea, milk and sugar. We use quality ingredients to make the perfect cup of tea starting with the nation’s favourite PG tips tea** leaves which are freshly brewed with filtered water for every drink to achieve a full flavoured tea. This together with skimmed milk powder, results in a great tasting, and healthier cup of tea that tastes more like it’s made at home.”

With over half of tea drinkers agreeing that tea offered out of home should be ethically sourced†, Selecta consumers can be rest assured that PG tips tea served from their vending machines is fully Rainforest Alliance certified. All the tea in PG tips is grown using sustainable farming methods. This means PG tips are helping protect the environment and ensure decent working conditions for their famers, as well as providing access to education and decent living conditions for them and their families.

Europe’s leading vending operator will also be using the consumer trends identified in the research to develop its business offering in 2012. “We will use this research to respond to consumer needs and continue to fine-tune our operation to keep our customers one step ahead when it comes to hot drink vending.”

Read more about tea from Selecta vending machines.

* Kantar Worldpanel Usage Total Workplace Consumption, 12 m/e Feb 2011 Trends vs Feb 2011
**IRI 52 w/e 26 August 2011,
† Onepoll PG Tips Survey May 2010, n=3,000

Tea is an opportunity to boost profits