Teavana
| Company type | Subsidiary |
|---|---|
| Industry | Tea retail |
| Founded | 1997 in Atlanta, United States |
| Founder | Andrew T. Mack and wife |
| Fate | Acquired by Starbucks in 2012; retail stores closed by 2018 |
| Headquarters | Atlanta , United States |
Area served | United States, Canada, Mexico, Middle East |
| Products | Loose-leaf teas, tea sachets, ready-to-drink iced teas, teaware, tea accessories |
| Parent | Starbucks (since 2012) |
Teavana Corporation was a tea retailer based in the United States, with outlets spread throughout the U.S., Canada, Mexico, and the Middle East. Starbucks acquired the company in 2012 for $620 million. However, by 2017, Starbucks declared plans to close all Teavana locations by 2018 due to disappointing sales performance. Since then, select Teavana products have continued to be sold within Starbucks stores.
History
Established in Atlanta in 1997 by entrepreneur Andrew T. Mack and his wife, who invested their entire savings, Teavana tapped into the rising American interest in premium teas influenced by wine and coffee culture trends.
After Starbucks announced its intention to purchase Teavana in late 2012, several shareholder lawsuits were resolved before the acquisition finalized on December 31, 2012. Although initial expansion occurred under Starbucks ownership, the company ultimately opted to close all 379 Teavana retail outlets by 2018.
Simon Property Group, a major mall operator, originally resisted these closures due to concerns about diminished mall traffic but reached an agreement with Starbucks in January 2018 to shut down the remaining 77 mall-based stores. Similarly, Cadillac Fairview initiated legal proceedings related to the shutdown of Canadian locations.
The end of Teavana’s standalone retail operations came after nearly twenty years; nevertheless, its product line remains integrated within Starbucks’ beverage offerings.
Products
Teavana’s assortment included hot tea sachets and ready-to-drink iced teas available at Starbucks cafés, grocery stores, and other retail channels.
Prior to closing its retail outlets, Teavana stores were commonly situated in upscale shopping centers and featured a hybrid concept combining a tea bar with a tea boutique. Customers could purchase individual takeaway tea cups and sample various blends free of charge. The shops also stocked tea-related merchandise such as cups and teapots.
The product lineup encompassed loose-leaf teas and herbal infusions spanning categories like white, black, green, flavored green and black teas, oolong, pu-erh, rooibos, herbal varieties, organic matcha, blooming teas, and Yerba Maté. The brand encouraged blending different teas for unique flavor profiles. These products were offered as loose leaves, pre-packaged tins, sachets, or brewed beverages.
Beyond tea leaves, Teavana retailed teaware including cast iron Tetsubin kettles, Bone China and Japanese porcelain teapots and cups; stovetop and electric kettles; milk frothers; and automated tea makers from manufacturers such as Breville and Zojirushi. Additional accessories comprised tea measuring tools, infusion devices like the 'Perfectea Maker,' tumblers, infuser mugs, and natural Belgian rock sugar derived from non-GMO beet sugar.
Educational Initiatives
In April 2014, Starbucks and Teavana collaborated with Oprah Winfrey to introduce the Teavana Oprah Chai Tea line along with complementary accessories. A share of proceeds supported the Oprah Winfrey Leadership Foundation Academy’s efforts to educate youth at the Oprah Winfrey Leadership Academy for Girls located in South Africa. This partnership generated $5 million towards educational programs. Building on this achievement, Teavana joined forces with Girls, Inc. to broaden youth education and mentorship opportunities.
Additionally, Starbucks and Teavana provided employees access to online courses through Arizona State University’s College Achievement Plan to foster professional development within their workforce.
Ethical Tea Partnership
On April 1, 2015, Teavana became a member of the Ethical Tea Partnership (ETP), pledging to uphold responsible sourcing and manufacturing practices. This commitment emphasizes workplace safety, the regulation of agrochemical application, effective human resource policies, and sustainable environmental measures. Additionally, the ETP tackles wider labor concerns, including discrimination and quality of life aspects that extend beyond routine inspections.
See also
- Tazo, a tea brand previously owned by Starbucks