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Nestea hopes for boost in tea-hungry market

5/21/2008

ATLANTA Coca-Cola-owned bottled ice tea, Nestea, is counting on the market swing towards teas and health drinks to drive up disappointing sales.

After a repackaging effort, the new look for Nestea comes with a message that it is packed with antioxidants and all-natural flavors, therefore a healthier beverage choice.

Nestea has also added two varieties of green tea to its line up, green tea citrus and diet green tea citrus. This summer, the company will launch outdoor ads with phrases like “Antioxidants, green tea, and you? Unstoppable.”

“Nestea was all about refreshment. While refreshment continues to be strength for the brand, it is now a category norm,” Coke representative Ray Crockett said. “We will continue to leverage our strength in refreshment, but we are evolving our advertising to communicate our product benefits in a fun, modern voice.”

Last year, Nestea spent $6.3 million on media, up from $1.4 million in 2006, according to the Nielsen Monitor-Plus. Coke continues to grow its interests in the bottled tea category; in February Coke acquired 40 percent of organic beverage company Honest Tea, and in April the brand launched a lower-calorie tea headed for the mass market.

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