Trends in tea: Retargeting a smaller market

Tea Group has created Fizz Tea, which combines chilled tea with a sparkling drink and fresh fruit, such as its Breakfast Fizz Tea, a combination of English Breakfast tea, lemonade and sliced peaches. “This healthy hot tea alternative shows the versatility of tea, ensuring there is something for everyone,” says Ayub. “Raising awareness and educating consumers is paramount to our industry’s success. It is vital that people understand the benefits of switching out your morning beverage to elevate the experience.”

Broadening appeal

Daniel Graham, managing director of Birchall Tea, says: “It’s crucial that we excite existing consumers and appeal to new, younger drinkers too.” Citing a YouGov survey in which 77% of consumers said taste is the most important factor, he adds: “Our flagship Great Rift blend was awarded its 14th consecutive Great Taste award in 2024.

“Tea is often more affordable than coffee, which represents an opportunity to upsell guests’ tea choices to more premium brands. We recently launched Birchall Serengeti, which uses rare Tanzanian black teas to bring a rich taste to the breakfast and afternoon experience.”

The growth in popularity of chai tea shows the potential for a broader tea menu in foodservice. While chai is the word for tea in several Asian languages, it’s become synonymous with masala chai, the sweetened blend of tea, milk and spices.

Chai and Indian street food café brand FiLLi has a presence in 10 countries, with recent openings both in Manchester’s Curry Mile and Islington, London. Key to the offer is its award-winning saffron-flavoured Zafran chai. FiLLi business development director Saad Awan says: “FiLLi is known for its slogan ‘Tea n Talk’, which it intends to continue as it expands the network.

“It’s a universal concept – take a break, sit down, relax with a cup of chai, press the pause button on the world and have a good get-together and chat – it’s great for people’s relaxation.”

Mintel figures show chai latte saw 94% growth in 2023, while Kantar tracks Drink me Chai as the fastest-growing tea brand in the UK. Michelle Younger, head of marketing at brand owner Aimia Foods, says much of the growth is being driven by younger customers, “which shows the further opportunity that this category has to offer.”

She adds: “Brits are known for loving a cuppa, but that doesn’t mean a standard breakfast tea is the hot choice for all. For many, a subtle spiced variety – such as chai – has become the go-to. For a hotel or restaurant that wants to tap into this tea trend, Drink me Chai’s Artisan blend is a must. It also scores for simplicity, as baristas simply need to add one heaped scoop of chai powder to a steaming jug, adding 200ml of milk.”

Sparkling alternatives

With many afternoon tea menus offering bubbly as a trade up option, sparkling tea brand Saicho, which positions itself as an alternative to sparkling wine, aims to extend the potential for premiumisation to customers not drinking alcohol. Its range is stocked in restaurants, bars and hotels, helped by a focus on highlighting the food pairing opportunities.

Natalie Chiu, co-founder of Saicho, makes the point that while wine has traditionally dominated the realm of food pairing, sparkling tea offers a spectrum of flavours, influenced by factors such as terroir, climate, and production techniques.

She says: “I had grown up enjoying tea alongside meals and understanding its vast range of flavours and depth that could enhance the dining experience. Redefining how tea can be enjoyed with food has been an exhilarating and fulfilling journey. Our aim with Saicho is to celebrate the exceptional quality and versatility of tea, asserting its rightful place at the finest dining tables worldwide.”

Dairy free for tea

Oat milk specialist Glebe Farm Foods makes the point that more consumers drink milk with tea than with coffee, but most dairy alternatives are formulated with coffee in mind. In response, Glebe Farm has developed PureOaty Tea-rrific, formulated specifically to be added to tea. The gluten-free recipe aims to address taste, colour and stability.

Philip Rayner, owner and managing director, said: “We saw a clear need for a high-quality, plant-based alternative that could truly enhance the tea-drinking experience. We believe it will set a new standard for oat drinks in tea. With Tea-rrific we’re not just offering an alternative, we’re offering a superior choice that caters to all tea lovers, including those with gluten sensitivities."

Nina Chudasama, chief executive and co-founder of Hope & Glory Tea, says: “There’s immense, untapped potential in the tea market for operators who understand where the opportunities lie. Consumers are looking for both classic afternoon tea experiences and more novel, trend-driven versions that cater to modern tastes.

“Venues that push the boundaries of tea with their avant-garde approach are not only offering the finest teas but also tea-infused cocktails and desserts, create a sensory experience that’s memorable and worth returning for.”

Suppliers

• Aimia Foods (Drink me Chai) www.aimiafoods.com
• Birchall Tea birchalltea.co.uk
• Glebe Farm Foods www.glebefarmfoods.co.uk 
• Hope and Glory Tea www.hopeandglorytea.com
• Saicho www.saichodrinks.com
• The Tea Group theteagroup.com