Katherine Swift, founder of OMGTea, went head-to-head with a panel of millionaire investors in BBC’s Dragons’ Den tonight to try to secure a £50,000 investment for 7% of her green tea company.
The entrepreneur fought her way through over an hour of challenges and thorny questions, having been invited to apply for the hit TV show.
OMGTea sources the highest quality powdered Japanese green tea, which is known as Matcha and can be enjoyed hot or cold. Katherine presented the Dragons with samples of the emerald green product and told them about Matcha’s benefits – it is packed with nutrients and provides ‘clean’ energy without the jitters.
There were sticky moments when one of the Dragons opened their bottles of OMGTea Iced Matcha without following instructions, and questions arose over the green tea’s health benefits. But, undeterred, Katherine describes the whole experience as “amazing and beneficial”.
Katherine says, “To be invited to apply for the programme was wonderful”. It was a tough process but also extremely valuable to be able to talk about our OMGTea products and a market that is on the brink of exploding. The global Matcha market is already valued at £2 billion and is expected to reach a staggering £4.1 billion by 2023.
“That said, Matcha tea is a relatively new product in the UK and three of the five dragons didn’t know what it was, so it was a tall order to expect them to invest in a business that specialises in a product they were unfamiliar with.
And she smiles, “When Touker spilled his drink, I did hold my breath but I promise this won’t happen if you twist then press and then shake as you should, before removing the cap. The bottles are easy to use and are a fabulous way to drink on the go, which is what more and more people wish to do.
“Also, Deborah questioned me about the links between Matcha’s health benefits and my personal experience. It's disappointing that details regarding the research we are involved in and the charitable foundation I founded were not included in the final edit but to be clear, I’m passionate about robust evidence-based health benefits and we are doing what we can to help validate these and whilst early independent research into Matcha tea is extremely promising, we are committed to going to the next stage to validate the results further. I am extremely proud of what I have achieved”
Indeed, the research carried out at the University of Salford shows that Matcha green tea may have significant therapeutic potential, by mediating the metabolic reprogramming of cancer cells. Studies are ongoing and OMGTea will continue to work closely with one of the world’s leading micro cell biologists, Professor Michael Lisanti.
Research aside, the market for healthy drinks in the UK is booming. Leading retail trade magazine The Grocer notes that tea is now the only sector of the hot beverages market in growth, with sales soaring by 3.5% to £641.7m in the past year (Kantar Worldpanel 52 w/e 21 May 2017). This is down to the premiumisation of the category, with green, herbal and fruit teas being the only growth segments in the overall tea category.
The Grocer also points out that there’s been an 8% increase in the past two years in the number of people who will pay more for quality tea, now standing at 31%. Among 25 to 34-year-olds, the figure rises to an impressive 44%.
This is no surprise to Katherine, as naturally healthy drinks have been sharply rising in popularity since she founded the business in 2014. Euromonitor research (Naturally Healthy Beverages in the United Kingdom, May 2017) from last year shows that there is an ongoing health and wellbeing trend in the UK, with consumers focused on products that are free from sugar and artificial ingredients.
Katherine comments, “Naturally healthy ‘other’ hot drinks, which OMGTea falls under, recorded the highest growth of 37% in value sales in 2016. And the consumption of naturally healthy beverages is set to increase at a compound annual growth rate (CAGR) of 4% in value sales at constant 2016 prices over the forecast period to reach sales of £3.5 billion in 2021.
Among the largest categories, Naturally Healthy Tea will record the highest growth rate of 10% in value sales. Within Naturally Healthy Tea, Naturally Healthy green tea will be the main growth driver, with sales stimulated by the increasing popularity of RTD green tea in helping to control weight.
In their drive to maintain a healthy lifestyle and seek products that are free from sugar and artificial ingredients, many more consumers will adopt these products.”
“I may not have walked away with the investment but I am confident that OMGTea has a very strong future – since filming the show we have launched in several new retailers including Harvey Nichols and Caviar House and we are launching in Ocado imminently. Having survived the Dragons’ Den, I now feel I can do anything and am excited about the future. “As for the Dragons? I think they will be kicking themselves in future…”
Please contact Tiffany Mattson (firstname.lastname@example.org or 07703386324) for interview opportunities and comment. Katherine Swift is available to talk to broadcast and print media.
Notes for editors:
- Katherine Swift started OMGTea in 2014, four years after her mother was diagnosed with a serious illness. Following extensive research into green tea and its myriad antioxidant benefits and energising effects, she sourced top quality organic Matcha from Japan and launched a range of finest Japanese organic matcha products.
- Matcha tea contains caffeine but it works synergistically with L-theanine, which gives that wonderful boost but without the side-effects. So, no jitters, anxiety or heart palpitations.
- OMGTea is stocked in around 60 outlets including Planet Organic, Daylesford Organic, Fenwick, Victoria Health, Harvey Nichols, Caviar House and is soon to be launched in Ocado. It has won Great Taste awards across the entire OMGTea range.
Dear Katherine Swift,
I just saw the Dragons Den episode you were in and can’t believe how they all treated you. I think you’re a brilliant entrepreneur and created an amazing business.