Yorkshire Tea 100

Yorkshire Tea market share hit a record 36.7% in 2023

Hot drinks supplier Bettys & Taylors has returned to double-digit sales growth, pushing revenues close to £300m as Yorkshire Tea extended its number-one position in the UK black tea market with a record share of the category.

Volumes jumped 11% across the group in the year ended 31 October 2023, thanks to the growing popularity of Yorkshire Tea coupled with the annualisation of price increases for its tea and coffee passed on to customers in the previous year.

Revenues rose 14% to £295.7m, with operating profits up 20% to £12.4m as the company made operational efficiencies and cost savings across all areas, with the most notable improvement being in tea and coffee production. Cost per kilo reduced 8% in tandem with a 6% increase in production volumes during the year.

The performance resulted in Yorkshire Tea boosting its market-leading position in value and volume, ending the year with a 36.7% share of black tea. The brand outperformed rivals Twinings, Tetley and PG Tips in 2023, according to the Grocer’s latest Top Products report.

The group’s Taylors of Harrogate ground and roast coffee brand also performed well and ended the year with a 19.6% value share of the market. This was supported by a new advertising campaign, launched in October 2023.

“We have much to be grateful for as our family business has continued to thrive despite the challenging conditions,” said group finance & resources director Paul Cogan.

“When we started the year, we expected trading to be particularly tough, and we prepared ourselves to weather the storm of high inflation, unfavourable exchange rates and a cost of living crisis. It’s been a year when the creativity and agility of our people, the strength of our brands, and the loyalty of our customers have helped us deliver impressive results.”

The performance was also recognised with a King’s Award for International Trade, in a nod to the growth trajectory in overseas markets for Yorkshire Tea and Taylors speciality tea over the past six years.

Despite the difficult trading environment for retail and hospitality businesses, the group added that the popular Bettys tea rooms across Yorkshire “continued to delight customers”.