Iced Tea—Easy, Refreshing and Profitable!

As the weather warms, we see a huge increase in the number of cold beverages that cafes are selling. One of these beverages, iced tea, is often overlooked.

Iced tea is both easy to make and extremely profitable.

How profitable is iced tea?

We carry 1-gallon and 3-gallon tea bags from two great tea companies: 

Harney and Sons is a well-respected classic brand that’s served in fine teahouses the world over. A 3-gallon batch will run you $2.70. With 16 16 oz. servings per gallon, that’s about $0.055 per serving.

Rishi Tea makes organic and fair trade premium blends and is often sought out by younger tea aficionados. For their classic black teas, a 3-gallon batch will run you between $2.30 and $3.00. With 16 16 oz. servings per gallon, that’s about $0.05 and $0.06 per serving. 

With premium iced tea retailing for at least $3 per serving, not including flavored syrup, your profit margin with Harney and Sons or Rishi is pretty incredible! 

Iced tea is both easy to make and extremely profitable. Both 1-gallon and 3-gallon tea bags provide for a fast and accurate execution. A gallon batch of iced tea runs between $2.30 - $3.00. Roughly $0.05 per 16 oz serving, creating a large profit margin.

To make a gallon of iced tea:

• Steep a gallon-sized tea bag (i.e  Rishi Golden Triangle or Harney & Sons Plain Pekoe) in ½ gallon of hot water for 5-10 minutes
• Or utilize any loose leaf tea (usually 30 g) 
• Add ½ gallon of cold water
• Serve over ice

To make 3 gallons of iced tea:

• Steep a three-gallon-sized tea bag (i.e  Rishi Classic Black or Harney & Sons Plain Pekoe) in 1.5 gallons of hot water for 5-10 minutes
• Or utilize any  leaf tea (usually 90 g)
• Add 1.5 gallons of cold water
• Serve over ice

Create unique offerings by flavoring with syrups (i.e. raspberry, blackberry and mango) or mixing with lemonade.