Leo Kwan: MingCha Brand Benefits
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Transcript of Leo Kwan: MingCha Brand Benefits
®
benefitsprofiles ofMINGCHA BRAND PROFILE AND MARKET ANALYSIS
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http://www.mingcha.com.hk
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Did you know?The most expensive tea ever was a Teguanyin sold for USD 16,410 for 100 grams in Hong Kong in 2002.
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What is your customers' profile? Do they appreciate genu-
ine quality? Would they aspire to the aroma that touches the
souls of Hollywood superstars? Or the tastes that capture
the hearts of renowned chefs? Or health nature that opens
the minds of medical scientists? Are they looking for some-
thing different? Are they ready for MingCha®?
Would your operation benefit from a most surprising pre-
mium brand?
In this document, we shall discuss the unique opportunity of
carrying the world's most prestigious brand of a redefined
product category that is on the upward trend — premium
Chinese tea, and why it can contribute to your business.
What is yourcustomers’
profile?
Are your target customers getting smarterand more picky? What are the benefitsthey look for in a product? What do theywant? Quality? Value? Or just plaincheaper prices? Are they the top 10% ofthe market? Or the rest?
degree or above
secondary or above
primary
kindergarten or less
Hong Kong Population:Education level of people over the age of 15
Hong Kong Population:The growth of the knowledge-based working class
© 1999 Leo Kwan Limited
The demographic trend in HongKong echoes more or less those ofother developed economies,signifying a shift of theconsumer market from youngerage groups to the more maturedand educated.
who
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Did you know?It costs less to make a pot of fine oolong than to pop a can of cola.
The MingCha Tea Bar is designed to allow open access to a finest traditional drink. Chef Noboru Ishii of Japan is seen here serving in Pacific Place,Hong Kong after successfully finishing his tea evangelist qualification examination by MingCha. "I have never known Chinese tea so high qualitybefore!" The Gran Chef of Monterey Edelhof in Sapporo exclaimed as he discovered our brand and began seriously studying our selection.
The global sales of better quality Chinese tea have been on
the upward surge ever since 1995. In USA, the market has
increased by two and a half times. In Japan, the import of
loose-leaf tea in consumer packs from China makes a two-
digit rise every single year. Chinese tearooms bloom in
Paris, Tokyo and New York.
One reason for this phenomenal growth is the demographic
trend in these developed countries, which brings with it a
life style shift for health and quality consciousness. "Tea is
beating all scientific expectations as the most potent health
beverage ever!" Declared Dr John Weisburger of American
Health Foundation.
This same demographic shift is happening in a dramatic
scale also in Hong Kong. Premium tea, with its potent
health contribution nature, fine gourmet quality, and strong
sense of heritage, is a natural answer to the market of a
maturing population.
trendA global market
Hong Kong Population:Rise of the mean age signifies amain stream middle age marketChina: Oolong and specialty tea export
"I use MingCha because I want mytearooms to be the best in Japan."Takako Tamaya, Sapporo RegionalDirector of F&B giant Tasco Systemdeclared as she decided to employMingCha as the key feature in thetearooms annex to her restaurants. Thefirst Japanese to have passed theMingCha Evangelist qualification, sheis seen here receiving the certificate afterexamination by Leo Kwan.
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Did you know?In Chaozhou, the gungfu tea capital of the world, the most popular tea by far is Phoenix, not Teguanyin.
MingCha’s proprietary Interactive Tea Selection Guide is a uniqueand powerful POS promotional and sales support tool
The MingCha Guide to PremiumChinese Tea is a popular reference by teaprofessionals and connoisseurs alike.
To tap into this potential and gain sustainable growth, one
needs to deliver values and true quality in an effective
format. The market needs a reliable product of the highest
quality in an accessible, inspiring and comprehensible
package. It asks for a brand that is different and desirable.
Solid product knowledge, leading edge professional finesse,
and a visionary understanding of the market itself are re-
quired to develop such a product. It takes dedication and
enduring commitment to build a brand of solid quality.
Premium tea will not uphold as a gimmick, a Chinatown
souvenir or catered only for a small local connoisseur group
as in the past.
This passion for bringing the true heritage of fine tea back
to life has allowed MingCha to hone in the optimum
pricing, quality, selection, services, sales supports and
approaches. These are important ground work to develop in
the right target group a premium tea consumption pattern
and brand loyalty. Our leadership in brand image, product
quality, operation concept and marketing communication
are important to redefine this category in the context of the
contemporary market.
Renaissance of a
heritageLeo Kwan (right) with a productioncoordinator during a harvest inspection
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MingCha’s Private Reserveseries was spied and selectedby the Academy Awards®
committee for the officialCelebrity Gift Basket andbecame the first and onlyproduct from China to be sohonoured. Also the first tea.The series is selected yearlyfrom extreme quality teaproduction batches of verylimited quantity. Each can isedition numbered with apencil, not unlike that in anart edition.
Did you know?Shanghai and Hong Kong are behind Ireland and UK in tea consumption by as much as 1.8 kg per capita.
Hanspeter Reichmuth, a mostrespected trader of the finestand rarest tea and chocolate inSwitzerland, made his firstsmall import lot in 2001 whenhe discovered the quality ofMingCha. 3 years and 3increasing orders later, he iscommitted to fully promotingMingCha in his market.“Absolutely outstanding!” hasbeen consistently his commenton our quality.
Jane Pettigrew, world-famoustea writer and critic based inLondon, loves the way wepresent the knowledge of tea themost and in particular, theMingCha Guide to PremiumChinese Tea. “This elegant littlebook … is one of the most usefuland charming books on Chineseteas that I have ever had thepleasure to possess and read …not just helpful but beautifullywritten and enticing.”
“It is obvious that onlypeople who compassionatelybelieve in the culture andbenefits of tea could invest somuch for such a taken forgranted product.” Xuen Guo,a pioneer in tea polyphenolextraction and ex-scientist inChina’s Central TeaResearch Institute, endorsesMingCha for its efforts inquality and in popularizingfine tea drinking.
“I use MingCha because Iwant my tearooms to be thebest in Japan.” TakakoTamaya, Sapporo AreaDirector for Tasco System,declared as she decided toemploy MingChaas the key feature in thetearooms annex to herrestaurants. Tasco Systemoperates a number of finerestaurant chains and brandsin Japan.
Internationallyacclaimed
quality"It is exclusively through quality that we can experience real
tea, explore the variety and celebrate the difference," said
Yuji Wakiya, host to the NHK® TV program, 'Pleasures
with Chinese Tea' and executive chef to a major fine restau-
rant group in Japan. "That is why I work with MingCha to
develop the selection for my restaurants and brand." One by
one, as food and retail professionals of top-notch quality
and prestige begin to understand the values a premium
Chinese tea brand has to offer, it becomes logical for them
to choose MingCha.
MingCha is the only Chinese product and the only tea ever
selected for the official Academy Awards® (Oscar®)
Celebrity Gift Basket. It has also been nominated by Swiss
beverage experts for the Slow Food Awards®.
MingCha’s unique production management system and close
partnership with traditional style small tea farms are instru-
mental to maintain the pristine quality and value perception
that the brand is known for.
Leo Kwan’s explicit description of theproduction of a traditional oolongwas unprecedented in any language.The story has been published inJapanese, French and English invarious international media.
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Did you know?Tea polyphenol is 100 times more potent than vitamin C and 30 times than Vitamin E in anti-oxidant effects.
White Tea joint promotion with Bvlgari Parfum in Hong Kong
However, quality alone does not sell. MingCha’s unique
marketing concept combines the elegance of cosmetics, the
depth of a vintage wine, the seduction of a traditional
handicraft, the medicinal expression of an herb, and the
sentiment of a life-style — all delivered in a global,
contemporary, and yet unmistakably Chinese totality. Our
innovative way of presentation makes premium tea acces-
sible and desirable once again for all people, whether con-
noisseurs or laymen, Chinese or not.
Our passion for perfection in all aspects of the product has
won for us the appreciation from serious connoisseurs, pres-
tigious retailers, and traditional tea traders worldwide.
MingCha was selected a Trends and Innovation product in
Paris in SIAL 2000 and has attracted copycats from different
corners of the world.
Our direction works. In a test retail store where MingCha
ambient products has been put together with more than
twenty other brands of tea and hundreds of other SKUs,
MingCha’s annual turnover in 2003 was 14% more than that
of all the others combined. In the year of this record, no
localized promotions, special displays, or price reduction
were exercised. Our general marketing, branding direction,
packing designs and product quality are clear winning
elements. That spot was chosen because we were able to
obtain actual sales data of the category and that MingCha
was equally treated like other brands.
A class of
distinction
MingCha:57% oftotal teacategory
2003 MingCha sales share of ambientproducts of the loose leaf tea categoryat the test location.
other brands43%
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Did you know?There can be a few hundred mg of polyphenols in a cup of fine tea and none at all in a ready-to-drink tea.
A customer appears in an RTHK half hour program about MingCha’s brand building efforts. Attracting media opportunities like this has been part ofMingCha’s competitive edge, due to the brand’s unique background and mission.
advantageFor the customers, MingCha is a non-replaceable daily need
once taken on. "All other teas are undrinkable after tasting
MingCha!" Exclaimed Dr KJ Patel, a wine master and a
molecular biologist at Cambridge, who got acquainted with
MingCha at our London outlet in Selfridges, wrote to tell us
about the tea tasting sessions he hosted for his colleagues
and wine friends.
The informative and specialist presentation of MingCha is
balanced with an elegance in a unique style that gives the
brand its distinctive charm, which is able to add depth to
even the most prestigious environment.
The business appeal of MingCha comes also from the very
nature of the product itself: it is a drink that can be served in
addition to being a popular packaged product. MingCha is
developed such that the drink business and the packaged
goods cross promote each other to maximize the potential in
any given commercial space. Actual sales records show that
the turnover of MingCha ambient products increases more
than 4 times with the implementation of a tea service facility.
MingCha is a product and service concept unique for all its
high calibre components that differentiate the brand from
other traditional or gimmicky operations using tea as the
raw material.
Business
MingCha can be coupled nicely withtea nibbles, dimsum, fusion food,sandwiches or even conventionalpastry (as in the photo below)depending on the theme of the location.
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Did you know?It takes at least 28 hours to hand-process a traditional oolong, but only two to make a commercial green tea.
The future of good tea: School girls in the community where our Phoenix line comes from. It is only through a healthy marketeconomy for the tea trade that can ensure continual development in traditional fine tea production.
dedication“We have searched major tea production areas in China andcouldn’t find the quality presented right here at the conve-nience of a shop in my hometown. How they are possible toattain such consistency in quality throughout the selectionsreally puzzles us. Anyway, we are now using MingCha teasas a standard to judge all our other discoveries,” explainedSiu Fan Hong, a veteran tea connoisseur in Hong Kong.
Being a quality benchmark for those who are serious is veryflattering for us. However, the population of the existingconnoisseur circle is not a large enough consumer base forto develop a successful brand. In order to sustain long termgrowth in fine tea consumption, MingCha is dedicated totake fine Chinese tea into the mainstream market. The pre-vious pages in this document reveal the direction we haveset and the milestones we have covered.
Popularizing traditional fine teas benefits not only theconsumers, but also the producers whose very hands makethese teas. It is only through a strong demand in a marketeconomy that the true tea tradition and the people whodedicate their lives to it can flourish and elevate. Similarlythe ability of the market to appreciate the difference of finetraditional tea raises the demand. A healthy supply anddemand relationship ensures the prosperity of MingCha andthe tea economy which it is a part of. Therefore, all ourstrategies and operation details are long-term oriented.
We are dedicated to bringing the benefits of fine tea to theworld market and all those who are involved in this. Differ-entiating a unique quality makes us different.
Visionmission &
Tea economy 123: a plucker in Indiamakes 1 to 2 US dollar a month, whereasher counterpart in an oolong area inChina makes at least 3 US dollar a day.Sustaining this situation is possible onlywhen fine tea is in demand. MingCha isdedicated to the sustainable economicdevelopment in rural China by promotingfine tea to the consumer market.
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Did you know?A cup of tea prepared properly in the gungfu style can be 10 times stronger in its salutary contents and yettastes better than one in the conventional big pot, even with the same kind of tea leaves.
Leo was guest presenter in the reputable Salone del Gusto held by Slow Food. Presiding over this workshop was Slow Food International President,Giacomo Mojoli (right). A highly specialist profile of MingCha helps the brand to gain clear leadership in quality reputation.
evolutionMingCha:
a path of
1998 • Conception of the MingCha brandand product strategy;
• Masterminded, operation concept andoriginal shop design for Moon GardenTea House, Hong Kong
2000 • MingCha packaged products launchedin Paris at SIAL 2000 and won Productof Trends and Innovation recognition;
• Endorsement from Dr Marvin Edeasduring Tea Expo 2000 in Paris andbecame brand image case study in sev-eral European tea and packaging compa-nies
2001 • Won endorsement from Chef YujiWakiya during FoodEx, who soon cameto HK to establish OEM agreement
• Supply and set tea standards and flowsfor Ichiemei Charou, the signature teahouse by Chef Yuji Wakiya
• Publication of "Not All Teas AreCreated Equal — A MingCha Guide toPremium Chinese Tea" and raised inter-national trade attention to premiumChinese tea
• Reichmuth von Reding, the mostrespected fine tea and chocolate dealerin Switzerland, began carryingMingCha.
2002 • Nominated and selected for inclusionin the Academy Awards Celebrity GiftBasket as the first (and only as of now)Chinese brand so honoured, and theonly tea
• Conception of the MingCha Tea Baridea and began consultation for Japanesehospitality trades
• MingCha trademark internationallyregistered successfully
2003 • Launch of the MingCha Tea Bar inSelfridges, London;
• Launch of the Tea Bar by MingCha inHong Kong at Pacific Place
• First group of Japanese tea studentpassed MingCha Tea Evangelist stan-dard test
2004 • A batch of MingCha's Wuyi Supremetea won Best Tea Award in AnnualXiamen International Tea Competition
• Radio Television Hong Kong (HongKong government’s official station)released an half hour program onMingCha
• Supply and set operation standardsand flows for the tearoom of DaylesfordOrganic Farmshop, UK’s influentialBamford’s family food businessheadshop in Gloucestershire, England.
• Leo was Head of traditional Chinesetea producer delegation to Slow Food’sTerra Madre in Turin, Italy, an interna-tional convention of traditional foodproducers
• Leo was Guest Presenter at the TasteWorkshop in Salone del Gusto by SlowFood
2005 • MingCha launched in Globus inSwitzerland
• MingCha Tea Bar began operation inLee Gardens Hong Kong
• Launch of the first standalone shop inHong Kong
Interactive Tea Selection GuideMingCha’s proprietary interactivecomputer selection guide is a popularPOS to help the customer decide onwhat kind of tea to buy. This works inconjunction with the MingCha Guide toPremium Chinese Tea book and areextremely useful in sales persuasion.Some customers, especially those insome of our target groups, do prefer thecomputer screen or the printed page tothe sales person for understanding ourselections. The interactive guide ispresented in Chinese and English,whereas the book in English andJapanese.
Teaware ModuleTea service at the bar also helps topromote the understanding of specialtyteaware, such as genuine Yixingteapots, gaiwans etc. They add a defi-nite specialist aura to the shop and canbe a good element in the turnover.MingCha merchandised teaware piecesproject the same MingCha identity asbeing modern and definitely Chinese.
MingCha®
standardmodules
Tea Bar ModuleThe bar can be customized to fit thearea available. The key to the unique-ness of the bar is the expert andcontemporary presentation of both thetea and tea preparation. A MingChadesigned tea preparation processensures quality.
The menu includes a large, detailspecialist range; and a simple to choose,‘user-friendly’ range.
Another key element in thismodule is the specialism of the staff. Aproprietary and rigorous trainingprogram ensures a team that isknowledgeable, dedicated and skillful.
Packaged Tea Product ModulesTea service at the bar is proven to be anefficient way to promote the selling ofthe packaged products. There is a totalof 64 SKUs of existing regular packagedtea and new products are coming upevery half year. As few as 5 SKUs, whendisplayed properly, can project a strongbrand presence. In larger operationenvironment, there is an array of specialMingCha products. Seasonal, noveltyand exclusive products can also beadded.
CateringFood can be served in selectedoperations. This is a logical way topromote tea consumption at all times:breakfast, lunch, tea breaks, parties andeven late night munches. Premiumquality tea with a highly selected menunot only helps to secure a basic turnoverbut also attracts customers who has nothad an opportunity to appreciate trulypremium MingCha quality. Most itemsare centrally produced for local finishingin a simple food preparation room fromhalf finished products.
Packaged Food ProductsFinest quality chocolate, organic honeyand jams, handmade cookies andsweets, traditionally produced dried fruitfrom around the world etc., can all beindividually promoted as successfulmerchandizes and are good turnoveritems. This category helps to maintainconstant traffic into the operation.
ExtensibilityAn option for the bar is extended sittingarea. This can add the functions of atraditional teahouse to the operation,but presented in an integral style withthe same contemporary appeal ofMingCha. Tea service adds definiteadvantage to the operation and promo-tion values. Depending on the targetclienteles of the location and operablearea, peripheral products and valueadded services, such as tea classes,specialist areas, activity area, anddemonstration area, etc, can beinstalled.
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ExhibitionDependent on the space availability ofthe individual operation, small exhibi-tions with on-going changing themeshelps to draw and retain traffic. This alsohelps to maintain the cultural commit-ment of the MingCha brand direction.
Trade enquiry by phone: (852) 2882 9812 by e-mail: [email protected]
This booklet summarizes the commercial values of includingMingCha® in your operation. The contemporary, minimalistand elegant brand image fits in easily any retail or hospitalitytrade environment of quality and style. Its aura and exquisitequality are of positive contribution to even the best of brands.
MingCha® Premium Chinese Tea is a brew no less enlighteningthan any red wine; a traditional hand-crafted product as pristineas a hand-woven silk; a health drink as potent as any supple-ment or herbal; and a gourmet produce as fine as the bestchocolate. Forget about those stringed bags with tea dust ormouldy old tea in painted tins. MingCha® re-presents tea in itsgrandest quality tradition for the contemporary global market.Its modular operation system is a most friendly way to get in-volved in this category made feasible only by MingCha®.
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benefitsof tea
© 2003 Lee Kwan Tea Trade Limited. All rights reserved.MingCha® and ® are internationally registered trademarks owned by Lee Kwan Tea Trade Limited 1 Hoi Wan Street #703 Quarry Bay Hong Kong
phone: (852) 2882 9812 fax: (852) 2577 9117 e-mail: [email protected] http://www.mingcha.com.hk
MingCha creator Leo Kwan in Selfridges London with renowned tea writer Jane Pettigrew.