It’s no secret that coffee is my first love. But right now I have a big crush on tea. And seeing the tea market explode is pretty exciting. Tea is on the rise with 15% growth in the last ten years. Marketers, here’s what you need to know about this hot, hot trend.
Why is tea so irresistible right now?
Everything about tea aligns with the priorities of today’s consumers, especially millennials. And millennials love of tea is not new. The statistic is amazing: 87% of millennials choose tea. Why? Gone are the days of sugary drinks being number one. And tea lends itself so nicely to the thing’s today’s consumers want most: health benefits, transparency and a ritual-like experience.
Even the LA Times is reporting on the growing trend of high tea around the globe at some of the hottest hotels. They report that the high tea at the Four Seasons in Santa Barbara books up three weeks in advance. Bottom line: high tea is highly trendy.
Thanks to Starbucks, Right now Teavana owns mainstream tea
Starbucks had their eye on the future when they bought Teavana for over $600 million in cash in 2012. They had high hopes for the growth of Teavana retail stores, which so far seem to be falling a little short of their Venti-sized vision. They still have over 400 stores, but have closed some key locations like Beverly Hills.
However, a little thing like a store closing will not stop beverage guru Starbucks. They’re continuing to look ahead by expanding Teavana locations to India – betting big on India’s tea-drinking population. With their massive global presence, continuous innovation and connection to its consumers, Teavana is redefining the tea experience.
Tea fulfills America’s desire to slow down
If you haven’t heard of the Matcha Green Tea Trend, where have you been? The crafted high quality green tea, can give off more energy than coffee and the number of matcha infused treats such as matcha soft serve is growing by the second. The matcha experience feeds consumers desire to slow down. It is an almost meditative experience amidst the speed of this Digital age. The preparation is a ritual in itself. And it’s becoming so hot there’s even Matcha Mania on menus at some of the hottest restaurants.
Iced tea gets a makeover too
The $7.3 Billion tea market can be partly attributed to the burst of Ready-To-Drink tea. And tea leader Teavana is right on trend, just announcing their official launch of RTD to stores. Their new Teavana Craft Iced Tea is launching in grocery and convenience stores and Starbucks (of course) will carry them too. The Craft Iced Tea is so smart because it’s hitting all the coveted millennial requirements. It’s 100 calories per bottle, blended with Teavana tea and botanicals and comes in on trend flavors. And Legacy brands are taking notice. Nestea is even reinventing itself in an attempt to stay relevant.
Looking for ways to light a fire under your brand right now? I’d love to work together and turn up the heat. Let’s talk.