Blue Tea Shark Tank Success Story: From Kitchen to Million-Dollar Brand

Blue Tea's appearance on Shark Tank turned a simple kitchen experiment into a multi-million dollar success story overnight.

Two friends started with a passion to create unique tea blends, and their pitch became one of Shark Tank India's most memorable moments. Their creative approach caught Shark Aman Gupta's eye and led to a deal that changed India's premium tea market forever.

Let us show you this amazing story's behind-the-scenes moments. The founders faced many challenges before their big break on national television. Today, Blue Tea has become a household name that you can find even on Indigo Airlines.

The Birth of Blue Tea: Founders' Vision

Two management graduates with corporate experience started a unique mission in the tea industry in 2017. Sunil Chandra Saha from Chittaranjan, West Bengal, and Nitesh Singh from Delhi combined their expertise to create what would become one of India's most innovative tea brands.

Meet the Co-Founders Behind Blue Tea

Sunil Chandra Saha's retail experience came from his time with industry giants like Aditya Birla Group, Bestseller Denmark, and Shoppers Stop. Nitesh Singh added his financial expertise to the partnership. Their combined skills proved vital to build a lasting business model.

From Corporate Jobs to Tea Innovation

Neither planned to switch from corporate careers to tea entrepreneurship. Saha tried teaching after leaving his job but quickly realized it wasn't right for him. The duo then launched a tech startup that struggled in 2018. This setback led them to find the potential of butterfly pea flower tea during their market research.

The popular web series TVF Pitchers, which follows four friends who quit their jobs to start their own business, sparked their inspiration. The show struck a chord with Saha and Singh and motivated them to explore India's untapped flower-based tea market.

Initial Investment and Market Research

Blue Tea started with just Rs 50,000 in 2018 and has grown to reach a valuation of Rs 100 crore. The founders learned that butterfly pea flower tea was popular in Southeast Asia, but India had no local brands.

They first imported small amounts of herbal teas from Thailand to test the market. Strong customer response made them look for local sources, especially since customs duties posed challenges. They made a key discovery - the butterfly pea flower, known locally as Aparajita, grew well in India but nobody used it to make tea.

The company grew fast. From a revenue of Rs 50 lakh in FY 19-20, they reached Rs 2 crores in FY 20-21, and expanded to Rs 10 crores the next year. Their target for FY 22-23 was Rs 30 crores, with international markets bringing 80% of sales and the US making up about 60% of total sales.

Blue Tea stands out through its environmentally responsible farming methods. They partner with over 150 farmers, and 90% are women who know how to grow herbs properly. Their fresh approach helps farmers earn five times more than traditional crops and creates positive change in rural communities.

The founders want more than just a tea brand. They've created a spread-out tea industry model and work directly with farmer families across regions - from the Lower Himalayas in the North to the Ganges Plains in the center and the Nilgiris in the South. This approach creates rural jobs and supports fair trade by cutting out middlemen from the supply chain.

Blue Tea Shark Tank India Journey

Blue Tea walked into the Shark Tank India studio with a bold ask - Rs 75 lakhs for a 1% equity stake. This valued their company at Rs 75 crores. The team stood confident with their product line that boasted 50 flavors in India and 35 in the United States.

Pitch Preparation and Strategy

The founders grabbed everyone's attention with their star product - the blue butterfly pea flower tea. The magic happened right there as they added lemon to the deep blue drink. The color changed to a striking pink, leaving everyone amazed. On top of that, it had no bitter taste like green tea, packed high antioxidants, and came caffeine-free.

Their numbers spoke volumes with monthly sales hitting Rs 1.5 crores. The growth story was impressive:

• FY 2019-20: Rs 50 lakhs
• FY 2020-21: Rs 2 crores
• FY 2021-22: Rs 10 crores

All the same, the sharks didn't hold back their questions. Shark Anupam Mittal challenged their claim about being the world's first blue tea brand. He had seen similar products in the US market. The pricing strategy raised eyebrows too:

• Normal tea: Rs 100 per 100 grams
• Green tea: Rs 200 per 100 grams
• Blue tea: Rs 800 per 100 grams

Deal with Aman Gupta

Most sharks had doubts about the pitch's transparency. But Aman Gupta saw something special in the team. The founders reminded him of his own early days with boAt. He took time to craft an offer that could help them grow now and in the future.

The negotiations got intense. Aman started with Rs 15 lakhs for 5% equity plus Rs 60 lakhs as debt at 12% interest. The founders came back with Rs 50 lakhs for 2% equity plus debt. They ended up striking a deal: Rs 50 lakhs for 3% equity with Rs 25 lakhs as debt at 12% interest.

This deal changed everything for Blue Tea. The show's broadcast sent their visibility through the roof. Their partnership with Indigo Airlines, which serves over four crore travelers yearly, gave their brand recognition a huge boost. The company now aims high - targeting Rs 100 crore in revenue by 2025.

Product Innovation and Development

Blue Tea's remarkable success stems from their unwavering focus on product development and quality control. Their manufacturing facility follows strict standards that ensure consistent quality throughout their product range.

Creating Unique Tea Blends

Blue Tea's innovative process begins with high-quality butterfly pea flowers. We collected these during the dry season (March through May) to maintain year-round production. The signature process carefully separates petals from petioles before processing to preserve the tea's unique characteristics.

Blue Tea stands out through their steadfast dedication to zero-caffeine formulations. Their products contain natural antioxidants, especially anthocyanins that create the tea's signature blue color and health benefits. The company has created over 50 unique flavors for the Indian market and 35 specialized blends for international consumers.

Quality Control Process

The manufacturing process follows a complete quality assurance protocol:

1. Raw Material Testing:

   • Microscopic analysis detects impurities
   • Chemical composition verification
   • Essential oil content evaluation

2. Quality Parameters Monitored:

   • Purity of ingredients
   • Origin verification
   • Freshness assessment
   • Essential oil presence

The company keeps moisture content below 8% to ensure product stability. Each batch goes through thorough testing for unwanted substances like anthraquinone and pyrrolizidine alkaloids to maintain the highest safety standards.

Manufacturing Setup

The production facility runs as a small-scale unit yet upholds industrial-grade cleanliness standards. The manufacturing process includes:

1. Collection Phase:

   • The team processes about 40,000 kg of raw butterfly pea flowers yearly
   • They select flowers carefully during peak seasons

2. Processing Equipment:

   • Advanced drying machines work at controlled temperatures
   • Specialized grinding equipment ensures consistent particle size
   • Modern packaging machinery handles the final steps

The facility's layout streamlines workflow while maintaining strict hygiene protocols. The company has substantially invested in temperature-controlled storage facilities that preserve the tea's natural properties.

Their manufacturing success builds on mutually beneficial alliances with over 150 farmers, where 90% are women farmers who contribute generations of cultivation expertise. This collaboration creates an environmentally responsible supply chain and boosts rural incomes - farmers now earn five times more than they did from traditional crops.

Blue Tea's quality control reaches from production to packaging and storage. Multiple quality checks precede final distribution approval. This attention to detail helps Blue Tea maintain consistent product quality as they grew from a modest kitchen setup to a full-fledged manufacturing facility.

Growth After Shark Tank

Blue Tea saw amazing growth in many ways after getting a deal with Aman Gupta on Shark Tank India. Their monthly revenue reached Rs 5 crores by March 2024. This was a huge leap from where they started.

Revenue Explosion Post-Show

The episode's impact was instant. Sales jumped 7 times in just 24 hours. Their website sales grew from Rs 3 lakhs monthly in March 2023 to Rs 2.10 crores by March 2024.

The Indian market response was a big deal. Before Shark Tank, India made up only 20% of Blue Tea's sales. Now, the Indian market brings in 70% of total revenue. This shows how Indian consumers are warming up to premium herbal teas.

International Market Expansion

Blue Tea now sells in 12 countries. Their products are popular in:

• United States
• United Kingdom
• Germany
• Hong Kong
• European Union nations

The brand ranks among the top 10 herbal tea brands on Amazon.com and Amazon EU. This shows how people worldwide love their unique tea blends.

Indigo Airlines Partnership Impact

Blue Tea made a smart move by teaming up with India's biggest airline, Indigo. Every year, about four crore passengers fly Indigo and can now enjoy Blue Tea during their flight.

The partnership kicked off in September 2023. Blue Tea's refreshing blend became part of Indigo's new 6E Eats menu. This partnership means more than just serving tea on planes - it shows how far Blue Tea has come from its kitchen beginnings.

Blue Tea wants to hit Rs 100 crore in revenue by FY26. Their story shows other D2C brands how unique products and good partnerships can lead to amazing growth.

Even as they grow fast, Blue Tea stays eco-friendly. They work with over 3,000 farmer families in:

• Uttar Pradesh
• West Bengal
• Uttarakhand
• Kashmir

This success isn't just about making money. Their all-encompassing approach balances profit with giving back to society. Through good planning and honest storytelling, Blue Tea has grown from a Shark Tank contestant into a leader in India's premium tea market.

Building a Sustainable Tea Brand

Blue Tea's success stems from eco-friendly methods that go way beyond conventional tea production. Their innovative sustainability approach has set new industry standards and uplifted farming communities throughout India.

Farmer Partnership Program

Blue Tea's partnership with farming communities marks a fundamental change in agricultural practices. The company works directly with over 150 farmer families across the Lower Himalayas, Ganges Plains, and Nilgiris. They have eliminated traditional middlemen from the supply chain. This direct farm-to-consumer model has boosted farmer incomes significantly, with average earnings growing fivefold compared to conventional crops.

Women agriculturists make up 90% of the company's farmer network, which encourages women's advancement in rural sectors. These skilled farmers contribute generations of expertise to herb cultivation. They deliver premium quality while following eco-friendly methods. Blue Tea's quick supply chain management brings herbs from farms to consumers within two weeks, which keeps their freshness and nutritional value intact.

Radha Mahto's family's story shows how Blue Tea changed their agricultural venture. "We worked tirelessly, yet our income barely covered our simple needs," recalls Radha. Their earnings quadrupled after joining Blue Tea's network. This success story showcases the company's steadfast dedication to rural development and eco-friendly agriculture.

Environmental Initiatives

Blue Tea demonstrates environmental stewardship through several key initiatives:

1. Chemical-Free Cultivation: Their strictly pesticide-free plantations preserve soil health and biodiversity. Butterfly pea flowers and other herbs grow naturally in Indian soil without artificial fertilizers.

2. Sustainable Farming Techniques: Blue Tea has developed unique inter-cropping methods with their farmers. Their plantations combine butterfly pea with moringa, rozelle, black rice, and various long-term yielding crops. This approach gives farmers steady income while promoting ecological balance.

The company gives 1% of its profits to provide meals for underprivileged children in Indian villages. This initiative supports nutrition and boosts regular school attendance among rural children.

Blue Tea's eco-friendly commitment extends to their quality control processes. They use cellular fraction-line technology and aqueous ozone anti-microbial treatment. These methods reduce environmental impact while maintaining product quality. Their porous particle structure ensures high solubility and bioavailability, which minimizes waste and maximizes resource efficiency.

Blue Tea wants to help over 1,000 farmers' families by 2025. Their eco-friendly methods support environmental conservation and create lasting social impact. This establishes a model for responsible business practices in the tea industry.

Conclusion

Blue Tea's inspiring story shows how combining passion with purpose creates lasting success. Their revenue soared from Rs 50 lakhs, and they now aim for an ambitious Rs 100 crore target. Their steadfast dedication to eco-friendly farming sets them apart in the industry.

Aman Gupta's strategic investment after their Shark Tank India appearance became a game-changer that accelerated their growth. Their innovative tea production methods and strict quality standards have made them a leading herbal tea brand in 12 countries.

Blue Tea's real strength lies in their work with farming communities. They collaborate with 150 farmer families, mostly women agriculturists, to create a model that works for everyone. These farmers earn five times more than traditional crops could provide, while customers enjoy chemical-free, premium quality teas.

Tea lovers might want to check out Teagritty's premium green tea selection at teagritty.com.

Blue Tea proves that companies can grow while being socially responsible. They started as a simple kitchen experiment and now serve millions of Indigo Airlines passengers yearly. Their story demonstrates how startups can achieve great success while making society better.

FAQs

Q1. What was the initial investment in Blue Tea and how has it grown?

Blue Tea started with an investment of Rs 50,000 in 2018. Since then, it has grown significantly, with a current valuation of Rs 100 crore and is targeting Rs 100 crore in revenue by 2025.

Q2. What makes Blue Tea's products unique?

Blue Tea offers caffeine-free, non-GMO, flower-based teas with unique properties. Their signature blue butterfly pea flower tea changes color when lemon is added, and they have over 50 flavors in India and 35 in the US market.

Q3. Who invested in Blue Tea on Shark Tank India?

Aman Gupta invested in Blue Tea on Shark Tank India Season 2. The final deal was Rs 50 lakhs for 3% equity along with Rs 25 lakhs as debt at 12% interest.

Q4. How has Blue Tea impacted farming communities?

Blue Tea works directly with over 150 farmer families, 90% of whom are women. This partnership has increased farmers' earnings fivefold compared to traditional crops and eliminated middlemen from the supply chain.

Q5. What are some of Blue Tea's sustainability initiatives?

Blue Tea practices chemical-free cultivation, employs sustainable farming techniques like inter-cropping, and allocates 1% of its profits to provide meals for underprivileged children in Indian villages. They also use eco-friendly quality control processes to minimize environmental impact.