Degree
Master of Business Administration
Faculty / School
School of Business Studies (SBS)
Advisor
Syed Atif Murtaza Qaiser, Lecturer, Department of Marketing, Institute of Business Administration (IBA), Karachi
Project Coordinator (External)
Abdul Nafay Khan-Brand Manager Lipton
Client
Lipton
Project Type
MBA Research Project
Keywords
Tea bags; loose tea; consumer behavior; purchase intention; Lipton; Pakistan; mixed-methods research
Abstract / Summary
Tea is Pakistan’s most cherished beverage, yet despite global trends favoring convenient formats, tea bags account for only a marginal share of household consumption. This research probes the sensory, cultural, economic and environmental drivers of Pakistani consumers’ resistance to tea bags, alongside the latent opportunities for Lipton to expand its market presence. Employing a mixed-methods design, combining focus groups, in-depth interviews and a nationwide survey, the study uncovers how perceptions of inferior flavor and aroma, deep-rooted hospitality rituals around loose tea, price sensitivity and emerging concerns about packaging materials shape current behavior.
Key findings reveal that tea bags are widely viewed as “watery” and an affront to the ritual of mehmaan nawazi, with 87 percent of respondents associating loose tea with warmth and tradition. Price differentials (20–30 percent higher per cup) and low awareness of Lipton’s stronger, round-bag formats further inhibit trial. Nevertheless, significant growth potential exists among younger, urban professionals who seek modern convenience without sacrificing taste.
To convert traditional consumers and bolster category penetration, the study recommends following actionable recommendations:
- Product innovation: introduce desi-style “Strong Brew” blends and round/pyramid bags enhanced for full leaf expansion, packaged in biodegradable, PLA-lined sachets;
- Education campaigns: launch a “#ProperChaiWithTeaBag” digital drive partnering with prominent chai influencers and deploy intuitive on-pack brewing guides;
- Cultural rebranding & pricing: reframe convenience as modern hospitality through emotionally resonant storytelling, supplemented by sampling programs and value-priced family bundles;
- Sustainability alignment: leverage Lipton’s global eco-credentials and localize supply chains by sourcing from Pakistani growers to reinforce authenticity and reduce costs.
By addressing sensory gaps, clarifying usage techniques and reframing tea bags as both respectful and convenient, these targeted interventions aim to elevate Lipton’s appeal and drive meaningful adoption in Pakistan’s dynamic tea market.
Recommended Citation
Khan, M. M., Haque, S. N., Chohan, F. I., & Saleem, S. (2026). How the Mix of Tea Bag vs Loose Tea Sales Demand can be Driven in Favor of Tea Bag (Unpublished graduate research project). Institute of Business Administration, Pakistan. Retrieved from https://ir.iba.edu.pk/research-projects-mba/377
MBA Project Proposal - Lipton.pptx (1294 kB)
MBA Project Proposal Lipton.pdf (630 kB)
