Teavana to tap growing Canadian tea market
As Teavana opened the first tea bar in New York City last week and announced nationwide expansion plans, lost in the headlines were its ambitions for Canada, a country whose tea market has been growing steadily. Teavana already operates more than 50 outlets in Canada. Next year, the company plans a significant push from retail stores in shopping malls to tea bars in urban centers. According to a government agency, Canada's tea consumption is expected to rise 40% by 2020 driven by increasing health awareness. The brew is already the fifth most popular beverage, with nearly 10 billion cups drunk each year. Differently than the US, Canada is a hot tea drinking nation, mainly due to its British heritage. This represents a big opportunity for companies like Teavana or Davids Tea that specialize in loose leaf teas. Furthermore, the country has shown a willingness to embrace flavored teas and experiment with alcohol-infused mixes.