Tea retailer capitalizes on booming Canadian tea market
DavidsTea is a young and dynamic tea retailer that is transforming the landscape of Canadian tea market. Founded in 2008, it aims to reinvent the tea shopping experience, moving it from a British or Asian to a North American and modern decor. It offers more than 120 tea varieties in stores with a bright, streamlined Scandinavian aesthetic. Last year, DavidsTea went from 8 retail locations to 40, and it plans to open 20 more this year. Although the retail chain does not reveal its sales figures, it claims that each store is profitable and the business as a whole is extremely profitable. This comes as no surprise, because tea has been one of the fastest-growing menu items in Canada for the past 6 years. Out-of-home consumption has grown from 500 to 584 million servings since 2007. A recent Agriculture Canada food-trends study predicted tea consumption will jump 40% by 2020.