Retail Sales Strategies for David's Tea

Running head: RETAIL SALES
RETAIL SALES
Name of the Student:
Name of the University:
Authors Note:

1RETAIL SALES
Target customers:
David’s Tea will help in providing the local upper and middle class community an
effective place to socialize. The customers will be facilitated to indulge with different varieties of
fine teas. The people will also find varieties of loose teas to gift their friends and family. This
would be unique present as souvenirs of their holidays. For tourists, David’s Tea will prove to be
a destination centre while being in town. It would be a break from the shopping and also be a
warm-up visit. The potential customers will be glad to pay the premium price for the product in
exchange of great taste, high quality and sense of prestige that they are going to receive.
Higher prices for the few of the teas would definitely lead to increase the sales of the tea.
As customers eagerly accept the idea that higher prices means higher quality of tea. The
customers want to buy only the best (Jaworsk). The audience are highly educated enough to
know the subtle differences. In the recent times, the American tea market is rapidly increasing.
The sales of tea have increased up to 165% since the year 1990. The number of shops selling
loose tea has also increased to about 200 shops.
The interest of American people in the tea business is also to a great extent depending on
the increase in the proliferation of coffee shops. The working segment of America has a common
belief that hot beverages are affordable luxuries. Moreover, fashion within the country is always
on the move (Guèvremont and Grohmann). Fancy coffee drinks is so widely accepted worldwide
that now people in America are looking for more unique and new treat to enjoy. Hence, the
target markets are those consumers, who have been turning towards tea as the more affordable
and natural or original luxury as compared to coffee.

2RETAIL SALES
Loyalty strategies
In the gourmet teahouse segment, competition mostly depends on the skilled tea tenders,
education and cultivation of loyal consumer base. Previously the consumer used to have teabags
and various other low quality and tea dust offerings from the grocery stores. The target
customers are amazed with the range of textures, tastes and fragrance from the high and real
quality tea.
Tea Drinkers: committed tea drinkers always choose quality over convenience and price.
The customers seek out fresh whole leaf as well as tippy varietals in the area. The customers also
drive to a large extent to buy quality loose teas so that they bring home with them (Ruiz and
Kowalkowski).
Comestible gift buyers: in the recent times, the people want something different to gift
their friends and family. In earlier times, peoples used to gift local cheeses and organic meats to
their families and friends. Couples and teenagers looks for unique and different items from
standard boutiques. Instead of some cheap box of chocolates they want something more
indulgent.
Tourists: the tourist has variety of reasons for visiting any particular place. The tourist
often seeks high-quality foods, gifts, beverages and service. The consumer prefers small-scale,
local businesses to larger chains (Gummesson, Kuusele and Närvänen). In addition to this, the
consumers also want to be highly assured about the quality. Once such tourist or visitors tries the
tea from the David’s tea would definitely does not want to return.