Fairfield-based Bigelow Tea”™s joint effort with Canadian coffee company Van Houtte to develop its presence in the K-Cup market has created unprecedented growth, leading the two companies to find openings in the retail market.
“The K-Cup business is one of the fastest growing segments in the United States,” said Cindi Bigelow, president of Bigelow Tea. “It makes sense for Bigelow, the tea category leader, to expand on the opportunities of this popular brewing system.”
K-Cups are premeasured tea leaves in a small creamerlike container developed by Keurig coffee machine company, a subsidiary of Green Mountain Coffee, that provide single-cup brewing systems. Keurig licenses its K-Cup technology to coffee roasters and tea makers.
The business connection began eight years ago when Van Houtte provided sales and distribution to help Bigelow Tea penetrate the Québec Food Service market.
Amazon alone sells over 100 million cups per year and according to Bigelow the K-Cup has become a popular in-office hot brew option.
Bigelow said spanning four years the K-Cup segment of its business has grown in excess of 45 percent per year.
Bigelow Tea and Van Houtte are currently launching a national K-Cup campaign in what Bigelow said is an under-developed market, U.S. retail grocery.
“We”™ve already seen in Canada how well our partnership with Van Houtte works,” said Bigelow. “Together, we can help U.S. retail grocers capture their share of the K-Cup market.”
Both brands have multiple flavors to offer in the form of K-Cups.
The Van Houtte offerings include single-origin, flavored, fair trade, gourmet and decaffeinated coffees as well as a variety pack.
“We both bring a real passion to the business,” said Bigelow. “We”™re 100 percent focused on producing great teas and coffees and we both use only the best, top-grade ingredients. Flavor quality is our number one priority.”