News

Starbucks to open first Teavana store

Starbucks to open first Teavana store

STARBUCKS EXPANDING: Starbucks plans to open Teavana stores. Photo: Reuters

(Reuters) – Having made its mark in the global coffee market, Starbucks Corp is setting its sights on tea – the world’s most consumed beverage after water – which it dubs a $90 billion market opportunity.

On Thursday, the Seattle company will open its first Teavana tea store and bar on Manhattan’s Upper East Side. The debut comes as Starbucks expands its reach with new shops focusing on everything from premium tea to pressed juices.

“This new store concept elevates the tea experience in the same way we’ve done for coffee,” Starbucks Chief Executive Howard Schultz said in a statement.

Starbucks’ $620 million purchase of tea store chain Teavana Holdings Inc. last year was the coffee chain’s largest acquisition to date.

Its new Teavana store will have a tea bar serving hot and cold drinks, including tea lattes and sparkling tea-based drinks. It also will sell food ranging from sweets to salads and flat breads as well as loose-leaf teas and merchandise such as teapots.

Teavana had about 300 shopping mall stores that sold loose-leaf, exotic teas when it was bought by Starbucks. The coffee chain said it would decide later whether to add tea bars to those existing stores.

Tea is not new territory for Starbucks. It bought Tazo tea for $8.1 million in 1999 and built it into a billion-dollar brand through sales at Starbucks stores and the grocery aisles of other retailers.

The company opened a Tazo tea store in Seattle last year and now plans to convert it to a Teavana store that will open in mid-November.

Starbucks also has opened four Evolution Fresh juice bars since its $30 million purchase of the juice maker in 2011.

Recent Headlines

in Local Sports

Royals shut down Mariners

Seattle Mariners' Nelson Cruz gets ready to bat during the third inning of a spring training baseball game against the San Diego Padres Thursday, March 5, 2015, in Peoria, Ariz.

Kansas City's Ventura holds Seattle to one-hit game in 5-1 victory

in Sports

Louisville and Michigan State on to Elite 8

Louisville head coach Rick Pitino gestrues to his team during the second half of an NCAA tournament college basketball game against UC Irvine in the Round of 64 in Seattle, Friday, March 20, 2015. Louisville beat UC Irvine 57-55.

Montrezl Harrell scored 24 points/Denzel Valentine scored 13 of his 18 points in the second half

in Sports

Gonzaga and Duke headed to Elite Eight

Gonzaga head coach Mark Few watches during a practice session for a college basketball regional semifinal game in the NCAA Tournament Thursday, March 26, 2015, in Houston. Gonzaga plays UCLA on Friday, March 27, 2015.

Przemek Karnowski had 18 points and nine rebounds/Justise Winslow 21 points and 10 rebound

in National

Amanda Knox murder conviction overturned

FILE - In this Jan. 31, 2014, file photo, Amanda Knox prepares to leave the set following a television interview in New York. Knox is engaged to Colin Sutherland, a musician who recently moved to Seattle from New York, a person close to the Knox family confirmed for The Associated Press. Knox’s murder conviction in the 2007 stabbing of her roommate has been reinstated by an Italian court, but the former college exchange student maintains her innocence and vows she won’t willingly go back to Italy. Both Knox and Sutherland are 27. No wedding date had been set.

Italy's highest court has overturned the murder conviction against Amanda Knox, bringing to a definitive end the high-profile case.