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Growing Demand For Loose Leaf Tea And Tea Rooms

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Free-Reprint Article Written by: Jon M. Stout

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Article Title:

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Growing Demand For Loose Leaf Tea And Tea Rooms

Article Description:

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The new American tea culture places high value on stress

reduction (perhaps partially attributable to the relaxing

properties of L-Theanine-a natural amino compound occurring in

tea), blends that respond to the demands of the market, product

purity (Fair Trade and certified organic tea is thriving in the

U.S.) and exotic brewing accessories (the after-market for tea

accoutrements is substantial compared to espresso-based drinks).

Additional Article Information:

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767 Words; formatted to 65 Characters per Line

Distribution Date and Time: 2007-03-20 18:47:00

Written By: Jon M. Stout

Copyright: 2007

Contact Email: mailto:jon.stout@...

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Growing Demand For Loose Leaf Tea And Tea Rooms

Copyright © 2007 Jon M. Stout

Golden Moon Tea

http://www.GoldenMoonTea.com

The new American tea culture places high value on stress

reduction (perhaps partially attributable to the relaxing

properties of L-Theanine-a natural amino compound occurring in

tea), blends that respond to the demands of the market, product

purity (Fair Trade and certified organic tea is thriving in the

U.S.) and exotic brewing accessories (the after-market for tea

accoutrements is substantial compared to espresso-based drinks).

Until the boom in RTD (Ready to Drink) teas (circa 1990-95) made

tea drinking simultaneously easy (nothing to steep or prepare),

hip (colorful packaging, zany copy and chic packaging) and

healthy (a no/low calorie, antioxidant-rich alternative to soda

pop), tea sales in America were sleepy at best.

As compared to the rest of the world, the American market is

unique with 80% of tea consumption based on iced tea products and

the remainder 20% primarily tea in bags. Revenues for loose leaf

teas are increasing rapidly in both the iced and hot segment of

the market however.

How do loose leaf tea and tea bags compare?

Most experts compare loose leaf tea and tea in bags in four

ways:

* Most of the tea that goes into bags in not high quality. Tea

bags usually contain broken grades so infusion takes place

quickly

* Whole leaf loose leaf teas come in a larger number of

varieties than bagged tea and some higher quality teas are only

found in loose offerings

* Bags are semi-nonbiodegradable additions to biodegradable tea

leaves with implications for the environment

* Generally speaking, tea bags offer greater convenience

although e-commerce now offers loose leaf tea drinkers the

convenience of on line ordering and home delivery

Is loose leaf tea more costly than tea bags?

Many advocates of bagged tea in believe that loose leaf tea costs

more than tea in bags. Actually, most good tea is not very

expensive and can be very cost effective. When you buy tea in

bags, most of what you pay for is the process of putting the teas

in the bags, and the brand name advertising. High quality tea is

generally sold loose, and the price per cup is often lower than

for commercial bagged tea.

Some truly fine teas retail in the United States retail for less

than US$20 per pound, which means less than 10 cents per cup.

When one considers that most loose leaf teas support multiple tea

infusions the prices drop dramatically. High quality loose leaf

tea is typically not available in supermarkets; but a good mail

order web site will accept and process orders rapidly and offer

the convenience of home delivery.

The rise in American consumption of loose leaf tea from 1990-2004

represents more than the evolution of a new beverage segment, but

rather the birth of a loyal tea-consuming community (demographic

consumer segment), thriving on a complex fusion of diverse global

cultures and flavor preferences.

Loose Tea Sales are Increasing

Annual retail sales had not reached $1 billion prior to 1990 and

tea producers were simply uninspired. Snapple, Arizona Iced Tea

and a handful of other specialty RTD teas catapulted the entire

loose leaf tea category into double-digit growth while whetting

appetites on Wall Street. Increasing interest from America's 76

million baby boomers just beginning to embrace tea as a

health-promoting product for the entire family is laying a solid

base for loose leaf tea.

Health Aspects of Loose Leaf Tea

This exceptionally health-conscious demographic is starting to

explore loose leaf tea culture through brewed tea beverages,

tea-based skincare products and neighborhood cafés offering

exotic teas. The consumer product dollars available for loose

leaf tea purchases within the U.S. over the next decade will be

significant.

This stellar consumer interest in tea is being driven by

scientific findings linking tea consumption and improved health

and a seemingly endless wave of favorable media coverage.

Novel flavors and convenient packaging may be securing American

consumers attracted to loose leaf tea, but news of the health

promoting benefits afforded by regular tea consumption is the

number one market driver.

Researchers at The Natural Marketing Institute (NMI),

Harleysville, PA, have released survey data indicating heavy

frequency consumers of herbal and hot teas spend more on healthy

and natural products than the general population or coffee

drinkers. This is yet another indication of the emerging

demographic pursuing loose leaf tea within the nation's hottest

spot for loose leaf tea sales-natural foods retail outlets.

Effect on Tea Rooms

Finally, as the demand for loose lea tea grows, customers will

also demand pleasant and wholesome surroundings to better enjoy

the tea experience. The tea room business, as a result, has a

very strong growth path and a bright future.

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Jon M. Stout is Chairman of the Board of Golden Moon Tea a division

of Element H2O. Golden Moon Tea is a supplier of high quality loose

leaf tea and high quality tea ware. Golden Moon Tea’s website is

found at http://www.Goldenmoontea.com . Try Golden Moon Tea’s

collection of fine tea. You can e-mail Jon at

jon.stout@...

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