Online premium tea retailer, Vahdam Teas has decided to launch its offline business in India by targeting discerning global travelers at major Indian airports. This Indian tea brand has also launched an exclusive range of premium unblended single-estate teas and gourmet in-house blends that will be sold at duty-free outlets.
Initially, these products will be available at Indira Gandhi International Airport, Delhi; Chhatrapati Shivaji International Airport, Mumbai; Rajiv Gandhi International Airport, Hyderabad; Chennai International Airport; and Dabolim International Airport, Goa. The brand was featured on Oprah’s Favourite Things last year, and the Oprah Chai Tea Trio has also been exclusively launched in duty-free outlets.
It is unsurprising that Vahdam Teas decided to bank on the airport retail route to launch its offline business in India since the customer spending in this domain is on the upswing. According to the Centre for Asia-Pacific Aviation (CAPA) the duty-free spend at Indian airports is likely to touch $1.6 billion by 2021. If one were to club the cumulative traveler spend on duty-free, duty-paid and F&B in airports, this is estimated to be $3.5 billion in the next two years.
Bala Sarda, founder and CEO, Vahdam Teas, said, “We are excited to finally launch in India via the exclusive travel retail channels. In order to better cater to the travelling consumer, the brand’s line of travel retail products have been tailored to be more compact, travel-friendly, and can be used for gifting purposes. Going forward, we plan to also enter India’s modern retail and select general trade stores aggressively in top cities.”
Vahdam Teas has been disrupting the supply chain by offering garden fresh tea leaves to consumers across the globe in the shortest possible time by leveraging technology and cutting out middlemen. These teas do not travel in containers for months before being packaged and sold. All the tea is procured directly from plantations and tea growers and within days of harvest, the packaged product is shipped directly from source in India to various parts of the world.
Since its inception in 2014, Vahdam Teas has registered a 200% CAGR in the past two years. It procures fresh tea from over 150 plantations across Darjeeling, Assam and other cities in India and Nepal, and then ships it to over 80 countries globally. Almost 75% of its revenues come from the US, with the remainder from Russia, South Asia and India.