April 20, 2009
Meredith Macleod
The Hamilton Spectator
(Apr 20, 2009)
A Hamilton couple never imagined that a trip to Nova Scotia to heal their broken hearts would wind up opening the door to their dream business.
Tonia and Hatem Jahshan were sipping tea in a Halifax bed and breakfast in the summer of 2006. They had never tasted anything like it. Tonia asked the proprietor what kind of tea bags he was serving. He told her it was loose tea, Earl Grey de la Creme. He'd bought it at a tiny tea shop in Mahone Bay.
The Jahshans headed off to the quaint coastline town. They were mesmerized at the variety of tea there, the aromas. Tonia filled up the car with tea.
"I knew I had to get the word out about loose tea."
Tonia was already formulating a business plan. Steeped Tea Inc. was born. Tonia, 36, came home, started calling tea importers, drew up a logo and began printing catalogues from her home computer. Even Hatem, 35, who owned two Subway franchises and was doing an MBA part-time, didn't know what she was up to. It was just the diversion Tonia needed after recently miscarrying the couple's first child.
With an extensive background in sales, including experience selling candles through direct home parties, Tonia knew the tea business was hot. Her research told her that tea is the second-most consumed beverage worldwide behind water. It's a foundation in many cultures. Plus, the extensive health benefits of green, white and black tea were becoming known in the general public.
Tonia started sampling teas from around the world. She decided to sell through home parties.
Who doesn't like a good tea party, after all?
"Going to someone's home is a really personal experience," Tonia said. "Drinking tea is all about socializing."
She figured it would be five years of doing it on her own before she would be able to hire consultants to host parties on commission. But it was less than a year of being run off her feet before Tonia hired her first salesperson. Now Steeped has 100 agents (all women) and expects to have 200 by the end of the year. The new five-year plan is to have 5,000.
Their top commissioned sales agent earned $34,000 last year selling tea part-time. Steeped sales totalled about $244,000 in 2008, up 300 per cent from the year before.
"There is a good living to be made in tea," Tonia said.
She's glad to be able to offer something to women looking to supplement their household income.
"Plus, no one's going to stop buying tea in a recession. It's an affordable luxury."
Consultants are signing up from across Canada. There is no initial investment beyond hosting a party to earn their sales kit. Steeped pays commissions starting at 25 per cent and doesn't impose sales targets.
"We wanted to make it as lucrative as possible for the consultants," Hatem said. "They are literally our partners."
That means you won't find Steeped teas in stores and can't buy it through the company's website, steepedtea.com.
The Jahshans have invested heavily in an aggressive publicity and marketing plan that has paid off with media attention from across the country and a slick website and catalogue.
They say the combination of her sales prowess and live-wire personality and his ability to crunch numbers and think analytically is laying a strong foundation for the business.
They have already sold one of their Subway franchises and will likely sell the other down the road. They can then devote all their time to Steeped and their 14-month-old daughter Layla.
The tea, about 60 flavours in all, moves in and out quickly.
"It's always really fresh because we can't keep it on the shelves," Tonia laughs. "All this tea you see here will be gone in a few days."
The most popular sellers are the Earl Grey de la Creme that started it all, Creme Carmello rooibos tea, Cinnamon Stick green tea.
"This really feels like what I'm meant to do," Tonia said. "I can't imagine doing anything else."
