Unilever the company owners of PG Tips are looking to offload and sell the business as tea sales slump and tea goes out of fashion.
Whilst latest accounts demonstrate the final three months of 2019 were up just 1.5%.
Unilever still say it will look at “all options” for the tea business, including a partial or full sale.
Herbal tea sales through the industry are booming and the fashionable tea to drink it seems. Whilst coffee shops and large chains promote far more heavily in today’s modern world of remote workers, it’s a statistic that 25% of coffee shop users are using the main brands like Costa Coffee and Starbucks as offices when not working at home, whilst tea is sold coffee sales outstrip 20/1 with visitors.
We took to the streets today to ask expats their thoughts as the announcement came out that the traditional cup of tea was out of fashion.
Iris Kavanagh said “Nonsense, I can’t see it myself, I love my cup of tea and I drink at least 15 cups a day when I’m at home, but to be honest not so much here because the Spanish don’t know how to make a good brew”
” Tea outta fashion? – get away with you! it’s the best brew in world” said Bertie Wallace as he sat sipping a cuppa in Sams Bar Fuengirola, “nothing beats a good old cup of cha” he said.
Although local Spanish residents don’t agree according to research firm Kantar, the British tea industry is worth £667m a year, but over the last two years, demand for traditional black tea has fallen by 2.7%.
In contrast, demand has risen for other types of tea, with herbal teas now worth £52m and cold infusions valued at £11.2m.