4 Tea Business Success Stories [2024]
Tea is a hydrating beverage that comes in various flavors and types. History shows that people across the globe have been drinking tea for centuries.
According to experts, tea has a lower risk of different ailments, including cognitive issues such as heart disease, stroke, diabetes, and much more. Besides, some types of tea provide better sleep quality and help people relax, which lowers the risk of depression.
If you love drinking tea, starting your tea business could be profitable. First, decide the type of tea to start producing. The niche will depend on the audience you intend to reach.
Then, it would help if you determined the business type. Options include:
- Tea farming
- Processing and packaging plant
- Tea tasting
- Distributor or wholesaler
- Tea shop
- Tea blog
Register a legal entity and complete the tax registration for your tea business. Consider applying for insurance cover before launching your tea business.
In this list, you'll find real-world tea business success stories and very profitable examples of starting a tea business that makes money.
1. Matcha.com ($8.5M/year)
Andre Fasciola and Dr. Andrew Weil founded matcha.com after experiencing the high-quality matcha tea in Japan. They saw an opportunity to bring the same level of quality to the US market and educate consumers about matcha. They have become the largest supplier of ceremonial grade matcha in the US, with a monthly revenue of $100K.
How much money it makes: $8.5M/year
How much did it cost to start: $60K
How many people on the team: 15
Matcha.com started as a passion project by two founders, now the largest supplier of ceremonial matcha outside of Japan with a monthly revenue of $100k, using podcasts, micro-influencers, and email campaigns to attract and retain customers.
2. Plum Deluxe Tea ($900K/year)
Andy Hayes, the founder of Plum Deluxe, started off with a blog and a desire for a more fulfilling career. After generating traffic and revenue through display ads and affiliate relationships, Andy decided to launch his own product. Drawing on his love for tea and missing the flavors from Europe, he partnered with a tea farmer's market booth to create unique tea blends. Through launching his business with a built-in market and strategic marketing efforts, Plum Deluxe has grown to become one of the largest tea subscription boxes, on track to hit 7-figure annual revenue.
How much money it makes: $900K/year
How many people on the team: 7
How Andy Hayes built a 7-figure online loose leaf tea business, with one of the largest tea subscription boxes and a curated selection of tea accessories, generating half of their revenue from a la carte tea sales and half from their popular tea of the month club community.
3. Momentum Coffee and Coworking ($156K/year)
Tracy G. Powell and Nikki Bravo founded Momentum Coffee and Coworking in May 2020 with the goal of creating an affordable co-working space for underrepresented entrepreneurs in Chicago. Despite facing challenges during the pandemic, their strong relationships with customers, intentional partnerships, and active social media presence have helped them attract and retain customers, with their revenue reaching $17-20k per month.
How much money it makes: $156K/year
How much did it cost to start: $200K
How many people on the team: 4
Chicago based Ignite Technology and Innovation-owned Momentum Coffee & Coworking, which focuses on coffee, coworking, community, and event space, rakes in about $17-20k a month in revenue, mostly from online and offline advertising, and just celebrated their first anniversary, with plans to open 2 more locations in Chicago in under-resourced communities.
4. VIRTUE Tea ($108K/year)
Andrea Legg and Alex Balcer, founders of VIRTUE Tea, left their careers in the circus industry to start their organic tea and matcha business. After experiencing high-grade tea while traveling in Europe, Andrea became hooked and they decided to create a business focused on quality, ethical sourcing, and minimizing environmental impact. Despite the challenges of COVID-19, their online sales have tripled and they have expanded their reach to customers across Canada and the US.
How much money it makes: $108K/year
How much did it cost to start: $5K
How many people on the team: 2
VIRTUE Tea is a business founded by Andrea Legg and Alex Balcer who source high-grade organic tea from Asia through ethical supply chains, and their business, despite COVID, is now shipping tea and matcha to various locations in Canada and the U.S.
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Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
Download the report and join our email newsletter packed with business ideas and money-making opportunities, backed by real-life case studies.
