Canadians’ tea consumption is expected to rise 40 per cent by 2020, according to a govt report on food trends published by Agri-Food Canada.
Big companies like Starbucks, a world well-known company that mainly sells different kinds of beverage, mostly are coffee, expands their business in the tea market. There are plenty of reasons that a coffee’s player choose to produce tea drinks. In Canada, the tea consumption is rising and people in Canada have rich history of tea-drinking, because a large group of Asian immigrants.
People, who act as consumers, are more likely to get some changes in drinking coffee. Most of them are getting tired of coffee taste. So there is a forecasting that tea is a potential market that does not have much competition at present which can bring the company profit.
The first Teavana bar debuted by Starbucks in New York City
Starbucks is very smart for its decision that joining in the tea games. They have the consumer power that can help to lower the risks, because they have a stable consumer bases. Besides, their company owns a great reputation that consumers could have a stereotyping of most products that Starbucks sell are in a good quality and taste. As a result, buyers are more willing to try new products. For my view, I suggest Starbucks can launch a new drink that mixed both coffee and tea so that it will be different from most tea shops and it will keep its identity.
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