OMG Group launches dual matcha brands to capture premium and mass-market growth
OMG Group has entered the global matcha category through OMG Group Dual Matcha Brands, establishing a vertically integrated platform spanning consumer brands, ingredient supply, food service distribution and product innovation. The launch follows an exclusive five-year supply agreement with SANDAI Group for 350,000kg of ceremonial-grade Japanese matcha, providing the foundation for two distinct brands: Ōmura Matcha (premium) and Matcha Mode (mass-market).
The dual-brand strategy positions the Company to target multiple pricing tiers whilst also supplying raw ingredient demand across food service, retail and manufacturing channels. Products are expected to be available via ecommerce channels and existing retail sales channels next quarter, with marketing to potential distribution partners and ingredient customers already underway.
This marks the Company’s third scalable brand platform, diversifying revenue streams beyond its existing Blue Dinosaur and Oat Milk Goodness portfolio. The vertically integrated model allows (ASX: OMG) to capture value not only through consumer brands but also through ingredient supply into a rapidly expanding category where premium Japanese matcha supply remains constrained.
The Company has structured four primary revenue channels to maximise market penetration:
- Food service operators: Cafes and restaurants requiring ceremonial-grade matcha
- Grocery and specialty retail: Both premium and mass-market product distribution
- Direct-to-consumer: Online sales through ecommerce platforms
- Ingredient supply: Raw matcha powder sales to food and beverage manufacturers
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Understanding the global matcha opportunity
The global matcha market presents compelling growth dynamics driven by rising consumer demand for natural ingredients, clean label products and health-conscious alternatives to traditional caffeinated beverages. Matcha, a finely ground powder made from specially grown green tea leaves, has transitioned from niche ingredient to mainstream wellness product across Western markets.
The market was valued at US$4.2 billion in 2024 and is projected to exceed US$7 billion by the early 2030s. Growth is underpinned by increasing adoption across multiple product categories, including beverages, functional foods, dietary supplements and personal care products. Premium ceremonial-grade matcha, which requires specific cultivation methods and processing techniques unique to Japanese producers, commands significantly higher margins but faces supply constraints.
| Metric | 2024 | Early 2030s Projection |
|---|---|---|
| Global Market Value | US$4.2 billion | US$7+ billion |
| Key Growth Drivers | Natural ingredients demand, clean label trends, health consciousness | |
| Supply Constraint | Premium ceremonial-grade Japanese matcha | |
OMG Group’s secured long-term supply contract with SANDAI Group provides a competitive advantage in this supply-constrained premium segment. The five-year agreement for 350,000kg of ceremonial-grade matcha establishes supply security whilst competitors face potential procurement challenges as demand accelerates.
Dual-brand strategy targets multiple price points and channels
The Company has structured its market entry around two complementary brands designed to capture distinct customer segments and distribution channels. This approach allows simultaneous targeting of premium margins and volume scale, rather than positioning a single brand that compromises on either dimension.
Ōmura Matcha is positioned at the premium end of the category, offering exclusively ceremonial-grade matcha sourced from SANDAI Group’s Japanese facilities. The brand targets consumers seeking high-quality, authentic ingredients with verified provenance. Distribution will focus on specialty retail and hospitality channels where premium positioning can be maintained, including high-end cafes, restaurants and specialty food retailers.
Matcha Mode targets the entry-level and mass-market segment, offering accessible everyday matcha products designed for broader consumer adoption. Products under this brand include blended formulations incorporating natural flavours to appeal to mainstream consumers who may find traditional matcha’s taste profile challenging. This brand is designed for higher-volume retail distribution through grocery chains and mainstream outlets.
The dual-brand architecture enables the Company to deliver products across multiple pricing tiers via its existing multi-channel customer base. Target channels include:
- Food service operators such as cafes and restaurants requiring consistent ceremonial-grade supply
- Grocery and specialty retail distribution for both premium and mass-market positioning
- Direct-to-consumer online sales through ecommerce platforms
- Raw ingredient supply to food and beverage manufacturers developing matcha-containing products
This multi-channel approach maximises revenue potential by capturing both premium margins from Ōmura Matcha and volume scale from Matcha Mode, whilst also generating revenue from ingredient supply to third-party manufacturers.
Portfolio integration extends matcha across existing brands
Beyond the standalone brands, matcha will also serve as a strategic functional ingredient across the Company’s existing portfolio. This includes potential integration into Blue Dinosaur protein bars and functional snack products, where matcha’s natural caffeine content and antioxidant profile align with the brand’s health and wellness positioning.
The Company also plans to develop matcha-based beverage offerings within its Oat Milk Goodness range. This cross-portfolio integration leverages existing brand infrastructure and distribution channels for efficient category expansion, requiring minimal additional marketing investment to introduce matcha variants to established customer bases.
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Management outlines path to scale
Chief Executive Officer Alex Aleksic emphasised the platform approach underpinning the matcha launch, highlighting how the strategy builds on the Company’s existing capabilities rather than requiring entirely new infrastructure.
Alex Aleksic, Chief Executive Officer
“This marks the introduction of a third brand platform under the OMG umbrella and represents another scalable growth opportunity for the business. Matcha is experiencing strong global demand, while supply of premium Japanese product remains constrained, providing a compelling opportunity for OMG based on our long-term, stable supply contract.
Through the launch of Ōmura and Matcha Mode, we are positioning the Company to target multiple price tiers, while also supplying raw ingredient demand across food service, retail and manufacturing channels. This allows us to capture value not only through consumer brands, but also through ingredient supply into a rapidly expanding category.
Importantly, this strategy builds on our broader platform approach, leveraging our existing distribution channels, brand development capabilities and product innovation pipeline to scale new categories efficiently. We believe matcha represents a significant long-term growth vertical for the Company.”
The Company has commenced marketing for early expressions of interest from potential partners across several distribution channels, including both brand distribution and raw ingredient supply opportunities. OMG is also actively advancing negotiations with a range of distribution partners to scale both brands in the near term, though specific partnership announcements remain subject to commercial negotiations.
The third brand platform positions OMG Group to scale new categories efficiently using existing infrastructure, reducing the capital intensity typically associated with launching entirely new product lines. This approach leverages established relationships with retailers and distributors whilst introducing products that complement rather than compete with existing portfolio offerings.
Near-term milestones for investors to watch
Several catalysts are expected to materialise over the coming months as the Company progresses commercialisation of both brands:
- Product availability: Ōmura Matcha and Matcha Mode products expected via ecommerce channels and existing retail sales channels next quarter
- Distribution announcements: Potential partnership announcements as negotiations with distribution partners advance
- Cross-portfolio launches: Introduction of matcha-integrated Blue Dinosaur and Oat Milk Goodness product variants
- Ingredient supply contracts: Announcements of raw matcha supply agreements with food and beverage manufacturers
The Company’s ability to execute across these channels will determine how effectively the vertically integrated model translates into diversified revenue streams. The secured supply agreement provides the foundation, but commercial success depends on distribution penetration and consumer adoption across both premium and mass-market segments.
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