Out of gifting options? HUL may start e-commerce biz to sell premium tea and teaware

FMCG giant Hindustan Unilever (HUL) is planning to start its own e-commerce business in India to sell tea, according to a report in The Economic Times.

The country's largest consumer goods company wants to target gifting segment consumers with premium products such as Brooke Bond's Taj Mahal. The platform is likely to compete with Ratan Tata-backed Teabox.

So far, the company has been selling its products on existing online marketplaces such as Big Basket and Amazon.

Sudhir Sitapati, executive director, refreshments at HUL told the newspaper, "The foray into e-commerce has been aimed at urging people to consider tea as a gifting option. Our range of gourmet teas and exquisite teaware has been specially curated to offer the finest gifting experience for every occasion and budget."

The refreshments business currently accounts for around 15 percent of the company's sales, making it the leader in India’s Rs 10,000-crore tea market.

Startups like Teabox, Teamonk and Gujarat-based Wagh Bakri have been selling specialty products online for the past few years and have attracted customers from markets such as the UK and the US, the report claims.