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<blockquote data-quote="rocat90" data-source="post: 19929060" data-attributes="member: 452168"><p><span style="font-size: 18px">Tea was promoted by British planters and tea traders by using ingenious marketing methods. When Ceylon tea began to face competition from other tea producing countries in late 19th Century, it was presented to British and European tea drinkers as a uniquely branded product. A separate tea culture was developed with British and European aristocracy meeting frequently over a cup of tea and discussing many topics of interest. </span></p><p><span style="font-size: 18px"> Thus, tea was associated with exchange of new ideas and the British and European aristocracy could not do without it. It was the aspiration of the nouveau riche to become a part of this high society tea culture. </span></p><p><span style="font-size: 18px"> Tea was presented to them as ‘a brain tonic’, ‘delicious drink’, ‘panacea for all illnesses’ or ‘a drink that improved one’s digestion’. In the late 19th century, there was another marketing campaign to popularise tea among the working class as well. Since they did not have the wherewithal to buy tea, arrangements were made for them to buy once-brewed tea from aristocrats at bargained prices (available at: <a href="http://www.panix.com/~kendra/tea/tea_to_england.html" target="_blank">http://www.panix.com/~kendra/tea/tea_to_england.html</a>). </span></p><p><span style="font-size: 18px"> Unlike coffee, tea leaves could be reused to brew tea again and again; though it reduced the tastes in subsequent brewing, the working class people compensated for the loss of taste by allowing the reused tea leaves to be brewed longer. Thus, through a weaker taste cup of tea, even the working class people were introduced to tea drinking. The ultimate result of these ingenious marketing campaigns was to promote tea as a universal beverage. Thus, Ceylon got the market for its tea without labouring anything on its part and remained passive in targeting new consumers.</span></p><p> <span style="font-size: 18px"><strong>Remaining apathetic when competitors have been active </strong></span></p><p><span style="font-size: 18px"> But the competitors to tea ‘as a beverage’ were active all the time in reaching out to new consumers. One such competitor was the soft drink manufacturer, Coca-Cola, which was penetrating the global market almost with an aggressive tone. </span></p><p><span style="font-size: 18px"> It had a long-term vision to promote Coca-Cola as the world’s number one drink. In 1986, the Chairman and CEO of the Coca-Cola Company, Roberto Goizueta, made a historic speech before Coca-Cola sales representatives (available at: <a href="https://www.youtube.com/watch?v=tpF_-BbaV1g" target="_blank">https://www.youtube.com/watch?v=tpF_-BbaV1g</a>). He said: “Right now at this point in time in the United States, people consume more soft drinks than any other liquid, including ordinary tap-water. We’ll take full advantage of our opportunities. Someday, not too many years into our second century, we’ll see the same wave catching on markets after markets on to eventually the number one beverage on earth will not be ‘coffee or tea or wine or beer’. It will be soft drinks – our soft drink”. </span></p><p> <span style="font-size: 18px"><img src="http://static.ft.lk/ftadmin/wp-content/uploads/2016/03/20204922/Untitled-528.jpg" alt="" class="fr-fic fr-dii fr-draggable " style="" />So, the Coca-Cola Company took note of the declining consumer tastes for traditional liquids which was naturally happening and reoriented its strategic vision to cut a notch for itself in the new opportunity set that was offering to it in the market. Having such a long term vision is a must for any commodity producer. Sri Lankan tea manufacturers and exporters were all the time happy about living in the nostalgic past of ‘Ceylon Tea World’ – an icon for which they would even fight unto their death – while the market was slipping away from them gradually quite unknown to them.</span></p></blockquote><p></p>
[QUOTE="rocat90, post: 19929060, member: 452168"] [SIZE=5]Tea was promoted by British planters and tea traders by using ingenious marketing methods. When Ceylon tea began to face competition from other tea producing countries in late 19th Century, it was presented to British and European tea drinkers as a uniquely branded product. A separate tea culture was developed with British and European aristocracy meeting frequently over a cup of tea and discussing many topics of interest. [/SIZE] [SIZE=5] Thus, tea was associated with exchange of new ideas and the British and European aristocracy could not do without it. It was the aspiration of the nouveau riche to become a part of this high society tea culture. [/SIZE] [SIZE=5] Tea was presented to them as ‘a brain tonic’, ‘delicious drink’, ‘panacea for all illnesses’ or ‘a drink that improved one’s digestion’. In the late 19th century, there was another marketing campaign to popularise tea among the working class as well. Since they did not have the wherewithal to buy tea, arrangements were made for them to buy once-brewed tea from aristocrats at bargained prices (available at: [url]http://www.panix.com/~kendra/tea/tea_to_england.html[/url]). [/SIZE] [SIZE=5] Unlike coffee, tea leaves could be reused to brew tea again and again; though it reduced the tastes in subsequent brewing, the working class people compensated for the loss of taste by allowing the reused tea leaves to be brewed longer. Thus, through a weaker taste cup of tea, even the working class people were introduced to tea drinking. The ultimate result of these ingenious marketing campaigns was to promote tea as a universal beverage. Thus, Ceylon got the market for its tea without labouring anything on its part and remained passive in targeting new consumers.[/SIZE] [SIZE=5][B]Remaining apathetic when competitors have been active [/B][/SIZE] [SIZE=5] But the competitors to tea ‘as a beverage’ were active all the time in reaching out to new consumers. One such competitor was the soft drink manufacturer, Coca-Cola, which was penetrating the global market almost with an aggressive tone. [/SIZE] [SIZE=5] It had a long-term vision to promote Coca-Cola as the world’s number one drink. In 1986, the Chairman and CEO of the Coca-Cola Company, Roberto Goizueta, made a historic speech before Coca-Cola sales representatives (available at: [url]https://www.youtube.com/watch?v=tpF_-BbaV1g[/url]). He said: “Right now at this point in time in the United States, people consume more soft drinks than any other liquid, including ordinary tap-water. We’ll take full advantage of our opportunities. Someday, not too many years into our second century, we’ll see the same wave catching on markets after markets on to eventually the number one beverage on earth will not be ‘coffee or tea or wine or beer’. It will be soft drinks – our soft drink”. [/SIZE] [SIZE=5][IMG]http://static.ft.lk/ftadmin/wp-content/uploads/2016/03/20204922/Untitled-528.jpg[/IMG]So, the Coca-Cola Company took note of the declining consumer tastes for traditional liquids which was naturally happening and reoriented its strategic vision to cut a notch for itself in the new opportunity set that was offering to it in the market. Having such a long term vision is a must for any commodity producer. Sri Lankan tea manufacturers and exporters were all the time happy about living in the nostalgic past of ‘Ceylon Tea World’ – an icon for which they would even fight unto their death – while the market was slipping away from them gradually quite unknown to them.[/SIZE] [/QUOTE]
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