Kusmi Tea & Mariage Frères: A different retail distribution approach

Mariage Frères and Kusmi Tea are the two leaders of the premium French tea market.

It is true that Kusmi Tea knows a much more recent success than its competitor, but the brand is experiencing a rapid expansion, especially thanks to its very efficient distribution network.

Indeed, they have a slightly different approach for selling their products.

Mariage Frères has opted for a very selective distribution: only 9 owned stores and restaurants in Paris, and strategic corners in department stores such as Printemps, Le Bon Marché or Les Galeries Lafayette.

The teas of Mariage Frères are also distributed in prestigious restaurants and hotels (Accor, Groupe Barrière...), and the company is the leader on this market.

A Mariage Frères owned store

The Kusmi Tea strategy is a bit more "offensive". Indeed, in just ten years, the brand has opened 31 own stores in France and is present in most department stores. Indeed, since the acquisition of the brand by Sylvain Orebi, the CEO of Orientis, the group's strategy is clearly to focus on developing its own stores

Strengthened by its success, the company is now targeting the historical market of its main competitor, which is hotel and restaurant.

A Kusmi Tea owned story

But unlike Mariage Frères, Kusmi Tea goes further in its distribution strategy. Indeed, since 2005, the brand works in partnership with Monoprix and is the only one premium tea brand to be sale in the chain’s stores. The aim of this partnership is to develop awareness of the brand's products and encourage buyers of industrial multinationals to buy products of highest qualities. And in 2008, for the first time, consumers can even buy their favourite tea on Vente-privee.com, another way to increase the popularity of the brand.

In fact, it seems that the Internet will be certainly the next battle between the two players. This distribution channel already represents 10% of Kusmi Tea sales and Mariage Frères has doubled the number of sales on its website in only three years...

Sources:

http://placedelacomedie.com/lheure-des-thes/

http://www.atlantico.fr/decryptage/sylvain-orebi-kusmi-tea-depuis-nos-debuts-on-agit-comme-grande-marque-atlantico-business-955326.html

http://archives.lesechos.fr/archives/2013/Enjeux/00300-022-ENJ.htm

http://www.lefigaro.fr/societes/2012/04/03/20005-20120403ARTFIG00694-l-enseigne-francaise-kusmi-tea-accelere-son-expansion.php