Don't Understand Private Label


Trends and Tips on developing and operating a tea business.

Don't Understand Private Label

Postby mmarks » Apr 16th, '06, 11:52

I am starting my own tea business. My plan is to develop my own brand and begin by selling through people I know and online, then potentially opening a brick and mortar tea shop, and possibly marketing my own line of bottled tea products. But I don't understand the private label industry. My intention is to buy my own packaging and do my own packing and labeling, even some of my own blending, and I know what many of the teas I want to carry are, but obviously I need the tea and starting small I don't think it's viable to purchase direct from the growers or become an importer.

So is it correct that what I want is private labeling?

Assuming that this is what I want, do all tea companies who sell wholesale offer private label or do I have to find a company that specializes in private label tea? For example, if I love adagio's sencha, harney's irish breakfast, metropolitan tea's apricot, etc - can I purchase each of these teas in bulk, dump them into my container's and sell them as my brand - maybe even blending the adagio product with the metro product? Or do I have to work with a company that specializes in private label, for example, tea guys.

I have more questions. If I can sell any company's tea (purchased wholesale) as my own brand, is there a different arrangement I must make with these vendors to sell their products in my packaging as opposed to in their own packaging? Within the same company, would certain teas be usable private label and other blends proprietary?

I would really appreciate any guidance on how this industry works.

Thanks!

Michelle
mmarks
 
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Joined: Apr 16th, '
Location: New York

Postby psteas » Apr 29th, '06, 23:30

Michelle,

You pretty much hit the nail on the head. You can purchase any tea companies tea in bulk and purchase your packaging and labels from another ocmpany and ship it out yourself.

Adagio has some great teas and you can find their wholesale pricing at www.adagioxl.com

From personal experience, it's good to stick with a couple of vendors so you can work out pricing deals with them. I've spoken with Tea Guys and they also have a great private label program. An advantage with them is that they do most of the work for you such as the labeling and packaging. At least the last time I checked thats what they offered.

Welcome to the tea world. Its a great and fun business.

You should also check out www.worldteaexpo.com and attend some of the tea shows so you can find some other vendors and make some great contacts.
psteas
 
Posts: 5
Joined: Apr 29th, '

own tea line

Postby ladyrose » Sep 14th, '06, 12:50

Hi Michelle. Did you ever start your own tea line? I too am in the process of developing my own line & would like to talk to you about this if your still working on it.

Rose
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Joined: Sep 13th, '
Location: Las Vegas


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