Challenges and Opportunities for Tea Brand Marketing in Domestic Market

Abstract

Tea production is one of the main sources of foreign exchange for Sri Lanka. The total domestic demand for tea exceeds the recorded figures. The quality of locally available tea varies widely, with most of the tea sold in bulk form, and only small quantities available as value-added products, either in branded or unbranded packages. The success of tea brand marketing in the local market depends on consumers' acceptance of these brands. This study was conducted to identify the challenges in tea brand marketing concerning the marketing mix, supply and demand, and to explore opportunities for brand marketing. A case study was undertaken in the Kadugannawa area, Central Province of Sri Lanka, to understand the expectations of tea producers and retailers regarding the introduction of tea brand marketing in the local market. Data was collected using a structured questionnaire, and a descriptive approach was used to analyze the data. The results revealed several challenges to tea brand marketing, including low product quality, weak brand awareness, low demand, and high competition in the domestic market, limited product diversification, and high prices relative to product quality. From the producers’ perspective, marketing good quality tea, maintaining a strong product line, and using effective marketing strategies were considered the most important objectives of brand marketing, representing both challenges and opportunities in the market.