Top Tools We Rely on for Our Wholesale, Retail, and E-commerce Businesses

As many of you may know, we manage a series of wholesale, retail and e-commerce stores all focused on tea. We would not be up to do this effectively (with minimal payroll expenses) without the use of computers and related technologies. It is odd to find myself drawn to technology when in actuality my main motivation to move into the tea sector was to escape high technology.

But my affinity for technological solutions is really geared at finding practical solutions for the problem at hand. I know this to be the case because one need only look at my cell phone, which by the way does not have any smartphone features, to know that I don't just buy technology for the sake of having it. Even my MP3 player still uses a standard rechargeable AA battery.

Having said that, here a list of essential tools that I would consider now to be indispensable.

1. Volusion. Volusion (www.volusion.com)  is our core e-commerce platform which includes web hosting, website design, and shopping cart functions. Volusion represents our third cycle of e-commerce platforms. The first was Microsoft bCentral, which was promptly dropped by Microsoft several years ago. The second was eBay's ProStore, which was more or less a template design nightmare. Volusion's  interface, customization capabilities, and total breath of functions has really been a blessing for our small business. Add on top of that true 24/7 customer support and you have a solution that is really built for around-the-clock maintenance and upgrades.

I know if you read some of the forums within Volusion, you will find a series of disgruntled clients. But overall I believe if you are truly focused on business and not a software developer at heart, you will quickly come to realize how this one tool can open up your imagination for marketing new products on the Internet.

Another subset of technologies we've come to rely on through our use of Volusion is SQL. I'm definitely not a computer programmer by any means, but learning a few stored queries (SELECT queries) has really helped harness the power of this system. By stored queries, I mean a routine way of pulling relevant data from a relational database. For example, we have stored queries we use to transfer data between the e-commerce system and our Sales/MRP system. This might include customer shipping address, item codes, prices, quantities, etc. We also use stored queries to view purchasing data and manage product pricing and descriptions. We can pull customer data automatically for creation of our product sample labels. We even have stored queries to grab data related to customer returns and feed it directly into excel and word.

Lastly, we use Volusion's implementation of Intuit's web connections to link this system with Quickbooks. In short, it automatically creates an itemized sales receipt for every transaction. By some standards, this is low tech. For us, it's just cool. Who wants to enter all this data manually?

I will continue with this list in future postings shortly.

Change in Foil Pouches

We are slowly beginning to transition to using foil pouches with a natural, green paper exterior. You'll start to see these changes implemented throughout all the different wholesale foils we use in production.

The new foils are the equivalent strength to the old ones but are more ecologically friendly. We hope you enjoy the change.

Disruption in Supply of Lemon Myrtle

We recently put a temporary hold on our supply of lemon myrtle as a result of a recent cyclone that hit Australia's northern coast. This may also impact the availability of blends containing lemon myrtle.

We will keep you apprised of changes in availability as soon as we have more information.

Manufacturing Your Own Brand of Certified Organic Teas

Organic production is a system that is managed in accordance with the Organic Foods Production Act (OFPA) of 1990 and regulations in Title 7, Part 205 of the Code of Federal Regulations to respond to site-specific conditions by integrating cultural, biological, and mechanical practices that foster cycling of resources, promote ecological balance, and conserve biodiversity. The National Organic Program (NOP) develops, implements, and administers national production, handling, and labeling standards.

Clients call us every day to ask how they can have their own brand of teas packaged with the USDA Organic Seal on the outside. The first thing I mention is that use of the Organic Seal is not only an indication of a product that was grown organically, but that the product has continued to be handled and processed through the supply chain in accordance with CFR Title 7, Part 205.

To ensure compliance, wholesalers, distributors, and retailers will contract with a certifying agent who will conduct the necessary reviews, inspections and reports. If you intend to physically handle organic products and marketing them with the USDA Seal, I strongly suggest you speak with a consultant who can help you prepare an Organic System Plan. Consultants in this area can also help you plan and allocate resources, as the responsibility for compliance continues without interruption throughout the year.

A faster, more streamlined approach to offering certified organic products is to establish a contract with a packer, sometimes referred to as a co-packer, that already participates in the National Organic Program. They will be very familiar with organic standards, can facilitate filing of required documents, and will physically pack your tea into retail ready boxes, canisters, and foils. In a nutshell, the process is simpler because in the end you are handling the finished goods just like a retail shopper. Should you choose this route, do your homework and make sure the packer you choose is currently in good standing with the National Organic Program and that their license has not been surrendered, suspended, or revoked.

Still interested? Here are some good reference materials to start with:

Organic Products and Labeling

Organic Processors, Handlers & Distributors (courtesy of Oregon Tilth)

List of Domestic Approved Accredited Agents 

If you are looking to market your organic products internationally, your packaging will need to adhere to the requirements (including written language) of these other countries.

List of Foreign Accredited Agents

Your local state may also have their own State Organic Program (SOP) which you should research in addition to the above.

Lastly, it is possible through your review of the above regulations to think this is your only responsibility in terms of package labeling. Of course, this is not the case. More on this next time...

Ron

Placing New Organic and Fair Trade Teas into the National Food Distribution Channels

Our typical customers buy from us in bulk and repackage for resale under their own brand name. This works fine for smaller companies and regional distribution centers, but our capacity at Kopius Teas also allows us to contract pack for much larger, food service distributors, especially those seeking to private label organic teas with their own signature blends of teas.

Major food distributors carry a large selection of ready to retail tea products, from boxed loose and tea bag forms all the way to ready to drink national brands. Is there room for private label recognition without a heavy investment in marketing? I think there is, especially when one looks at price. The typical grocery store brand of tea bag may be 5 - 15% lower in cost than a similar name brand product. With tea there's almost a limitless range of flavors to help carve out a healthy following. Even if you go with an Earl Grey, just how many Earl Grey's does one find on the grocery shelves today? Five, six or more? Why not make one of those your own brand, especially if you are carrying other health oriented lines, such as spices or water or soda.

Most of my comments on this blog relate to capacity to build something - make a premium organic, fair trade certified blend, incorporate spearmint and lemons and tangerine with touches of crystalized honey and pink amaranth - take the blend and put it into retail or food service pouches - limit the packaging to instructions, ingredients, weight and tracking information. Not too complicated, you're right. It just takes a bit of initiative and vision.

Let's hear about a line of tea you've created or are thinking about creating? How was it formulated? How quickly can you work the products into distribution channels. Is it all about selling up in the distribution chain? And if you're a current regional distribution, do you think there's a potential to build a natural product from scratch and immediately distribute in along side national brands?

Curtis Tea Brewers

 

We had a nice tour of the Wilbur Curtis Company in Los Angeles, CA. Curtis manufactures a complete line of quick service to restaurant to large scale hospitality hot water, coffee and tea brewers. I was surprised to learn they produce so many different models from the same facility. Particularly impressive was the manufacturing process engineering and quality control. Modular, efficient, clean, well organized, synchronized. This would make an informative tour for any university or post graduate program studying lean, six sigma, kaisen, scorecard methodologies.

Of course, we were there to view the iced tea and hot tea brewers. There are many models to choose from, depending upon throughput and desired quality/price of the end product. Most consumers would be amazed by degree of engineering, chemistry, and overall product development required to design and produce each product. I would almost consider these brewers more of "a fine tuned instrument" that a generic "brewer".

The large scale coffee brewer (and variations not shown) was designed more than 50 years ago. I love the rounded corners on this design - really classic! The fact that Curtis kept this stainless steel design is a testament to not muck with a good thing. I get tired of looking at the latest, bright colored, vibrant kitchen appliances coming out for the home market today. In a commercial kitchen, rounded stainless, functional is the way to go.

We wish the team at Wilbur Curtis all the best and thanked them graciously for their hospitality.

Ceylon Super Pekoe

Enjoying the Ceylon Super Pekoe. Very reasonably priced, low astringency, sweet ceylon. I recommend enjoying late morning without milk and without food. It's just a pleasant refresher - not too heavy, yet satisfying.

One of our reviewers writes, "Handsome, glossy, well-finished semi-balled leaf yields a deep, warm baritone flavor redolent of wood and grass." I agree.

The aroma has a hint of malt.