Founded in 2018 by brothers Jeremy and Josh Issakharian, who were raised in a family that harmonized Iranian, Jewish, and Texan heritage, Seven Teas has emerged as a brand that celebrates the rich, cultural tapestry interwoven with this age-old beverage. With 16 SKUs divided into two distinct lines that set to accomplish $7 million in sales by the end of 2024, this globally inspired business is now gearing up for the next phase of its growth.
The name “Seven Teas” symbolizes the seven continents and seas, and the number’s spiritual resonance, according to Jeremy Issakharian. Fondly known as the brew brothers, the duo embarked on backpacking adventures across the world during their youth when they discovered the significance of tea in diverse cultures.
“We observed a trend where many tea brands prioritized lowering prices over maintaining quality,” recalled Issakharian, “[so] this journey inspired the creation of Seven Teas, reflecting the global origins of our teas” while delivering craft quality and authenticity.
Retail Strategy For Premium Tea
Seven Teas prides itself on sourcing directly from organic tea farms to stay committed to both environmental sustainability and fair labor practices, including a farm land nestled in the rolling hills of India’s Assam state.
“By forging a direct relationship with the farmers, we are able to oversee every aspect of production, from the cultivation of the tea plants to the harvesting and processing of the leaves,” Issakharian explained. “Our tea leaves are hand-picked at the peak of freshness, ensuring that only the highest quality leaves make it into our blends.”
The company’s original glass collection decorated with intricate artwork pays homage to the cultural heritage of each tea blend, while its recently launched 70-calorie classics canned line reimagines traditional American tea and lemonade flavors, presenting low-sugar alternatives, such as Georgia Peach Iced Tea and Southern Strawberry Lemonade.
These two separate lines were designed for different tiers of the market with glass bottles well suited for the natural and specialty grocery stores, and cans more sought after among mass consumers, according to Issakharian.
“We also noticed a growing demand for convenience and sustainability, and we wanted to align Seven Teas with these values while also reaching a wider audience. While glass packaging had its strengths, we saw an opportunity to extend the Seven brand into the mainstream market without compromising our identity,” he added. “Since making this shift, we’ve been thrilled to see how well-received our canned beverages have been.”
Seven Teas has two distinct lines to target different tiers of the market.
Seven Teas is currently available across 3,000 U.S. retailers, including Whole Foods, and is poised for a wider accessibility after kickstarting its crowdfunding campaign in July and August, and forming several licensing deals. Issakharian noted how, since 95% of Seven Teas’ business comes from retail versus e-commerce, the company will continue executing the “six-foot” merchandizing rule to stand out in an increasingly crowded tea category, meaning “capturing shoppers’ attention from six feet away and holding it for at least six seconds.”
“We ensure placement in coolers and dry aisles to reach customers in both high-traffic areas,” he said. “Additionally, occasional displays and upcoming multipack offerings enhance visibility and encourage customer engagement.”
Bootstrapping In A Burgeoning Category
Bootstrapping Seven Teas has been both an exhilarating and daunting journey for the brew brothers: The autonomy to steer the business in alignment with their vision comes with the heavy responsibility of financial risk.
“The hardest part of bootstrapping is undoubtedly the financial pressure that comes with investing our personal finances into the business,” Issakharian noted. “While retaining full ownership affords us unparalleled control, it also means shouldering the financial risks entirely on our own. We constantly strive to maintain the highest standards of quality and integrity in our products, ensuring that every blend meets our rigorous standards for excellence. This commitment to quality keeps us up at night, as we obsessively fine-tune every detail to deliver products that we are proud to stand behind.”
Looking ahead, the $38.4 billion U.S. tea market (Statista Data) is poised for sustained growth, buoyed by a rising consumer appetite for healthier, natural beverage alternatives. Revenue of the ready-to-drink tea market in particular amounts to $14.7 billion in 2024.
Seven Teas believes it will continue to drive the growth momentum within the tea category by carving out a distinct and influential presence in the market landscape.
“In 2023, we achieved a milestone revenue of $5 million, representing an impressive 144% growth compared to the previous year… and have set our sights on reaching $10 million by 2025,” said Issakharian. “We envision Seven Teas growing into a $100 million-dollar business, driven by our commitment to excellence, innovation, and meeting the evolving needs of our consumers.”