Tea is giving coffee a run for its money as the in-demand beverage in the United States. American tea sales have been on a steady incline for several years, largely due to increased interest from millennials. According to the Tea Association of America, the national tea market grew around 4 to 5 percent in 2015 alone. That growth is expected to continue at a rate of between 5 and 6 percent each year over the next five years.
The Tea Association of America suggests that millennial consumers are driven by a desire for new and interesting flavors. Millennials are also looking for craft selections and products with cultural meaning. Specialty tea products, such as those offered by Affinity Beverage Group and the Village Tea Company. From turmeric to matcha, the rising stars of the tea industry are giving innovative companies new trends to explore.
Affinity Beverage Group
Affinity Beverage Group (ABVG) is a holding company that focuses on branded consumer product acquisition opportunities in the $3.4 trillion health and wellness sector. Aﬃnity primarily targets lifestyle brands, companies, and/or exclusive product distribution rights focusing on traditional and non-traditional, healthy beverage options. Aﬃnity will also seek opportunities involving uniquely positioned young brands specializing in all natural/organic foods, bio-food, supplements and personal care products for strategic partnerships, distribution agreements and potential acquisition. The company has recently purchased the Village Tea Company, also known as Village Tea Company Distribution, Inc. The 2015 acquisition allows Affinity Beverage Group to expand its offerings to its consumer base. Village Tea Company offers premium loose leaf teas as well as a variety of tea accessories, ranging from basic to quirky in design. Each Village Tea Company blend has a unique flavor and teas are blended to create unique flavor combinations.
The Village Tea Company has been sold in major retailers across the country, including Vitamin Shoppe, Winners, Home Sense, Natural Foods Markets and Whole Foods Markets. Customers can still purchase products through the company’s website. The company has also gained distribution rights to Pura Organic Agave sweeteners, giving American consumers the ability to choose healthier organic options for preparing iced tea and sweetened hot tea.
The CEO of Village Tea Company will remain in his position as the acquisition occurs. Affinity Beverage Group reports that the acquisition was part of its plan to build its health and wellness lifestyle brand. Company representatives report the anticipated continuation of the company’s remarkable growth through its new platform. The acquisition of the Village Tea Company allows the Affinity Beverage Group to offer beverage industry consumers even more options when purchasing quality tea products.
As the health and wellness industry grows, tea consumption is expected to increase as well. The United States tea market has a large share of the $6 billion global tea industry. Exponential growth in recent years has led to tea retailers and boutiques garnering 35 percent of that global market. As the tea market continues to expand, Village Tea Company will expand its product offerings to include other health and lifestyle products that match consumer needs and interests. Exploring these new branding opportunities, from home brewing accessories to other nutritional beverages, is all part of adapting to the changing beverage industry.
Affinity has a promising future: The result of the acquiring a thriving specialty company to appeal to a growing market. Brands that show responsiveness to consumer demand are able to act quickly in response to competitive market changes, laying a solid foundation for future development.
About the Author
Stuart Smith is the CEO and Founder of SmallCapVoice.com. SmallCapVoice.com. is a recognized corporate investor relations firm, with clients nationwide, known for its ability to help emerging growth companies build a following among retail and institutional investors. SmallCapVoice.com utilizes its stock newsletter to feature its daily stock picks, audio interviews, as well as its clients’ financial news releases. SmallCapVoice.com also offers individual investors all the tools they need to make informed decisions about the stocks they are interested in. Tools like stock charts, stock alerts, and Company Information Sheets can assist with investing in stocks that are traded on the OTC BB and Pink Sheets. To learn more about SmallCapVoice.com and their services, please visit http://smallcapvoice.com/blog/the-small-cap-daily-small-cap-newsletter/