Skip to content
Catholic Online Logo

By Catholic Online (NEWS CONSORTIUM)

10/23/2013 (2 years ago)

Catholic Online (

Starbucks CEO Howard Schultz betting On $90 billion market

Starbucks mastermind and billionaire CEO Howard Schultz is betting that many others are watching their caffeine intake, and has opened up his first tea bar, called the Teavana in Manhattan this week.

Will voracious American consumers take tea -- and see?

Will voracious American consumers take tea -- and see?


By Catholic Online (NEWS CONSORTIUM)

Catholic Online (

10/23/2013 (2 years ago)

Published in Business & Economics

Keywords: teavana, Starbucks, CEO Howard Schultz, tea, coffee

LOS ANGELES, CA (Catholic Online) - Eschewing drinking coffee after 5 p.m., Schultz is banking that others will be following his lead and switch to tea - a worldwide favorite drink that is served both cold and iced, full of cancer-fighting anti-oxidants.

Haven taken a liking to the Maharaja Chai Oolong blend sold at Teavana, the mainly mall-based tea retailer Starbucks was bought for $620 million last November.

Schultz imbibed a $4.95 cup of his new favorite at the Teavana tea bar recently. He's now telling the world at large to be on the lookout for 1,000 such tea bars - complete with zen decor, gray walls and dim lighting in the next five years. He says he plans to do to tea what he did with coffee with Starbucks.

Located on Manhattan's super-wealthy Upper East Side at 85th St and Madison Avenue, Teavana Fine Teas + Tea Bar is located just a few steps from a branch of cult yoga outfitters Lululemon and blocks from Central Park.

Schultz says Starbucks will slowly add tea bars to its 300 or so existing Teavana stores, which until now sold loose-leaf tea plus gifts and accessories like ceramic teapots and stainless steel infusers. Drinks such as Matcha Lattes, the new tea bars will sell food to appeal to a health-conscious customer.

Angling for a piece of a hot and cold tea market worth $90 billion worldwide, Starbucks-saturated countries like Japan, China, Canada and the U.K. Lead this new beverage trend. Tea is the second-most consumed beverage besides water. While Americans still consume coffee at a far greater rate than tea, their taste for leaves versus beans is growing. America's interest in tea has grown by 16 percent over the past five years, according to data from the Tea Association USA.

Schultz admits that caffeine fiends who yearn for a Starbucks to start their day are unlikely to be big tea drinkers. There will be no Starbucks branding in this first Teavana bar, nor will there ever will be. There's no coffee on offer, and the drinks are sold as either 12- or 16-ounce servings rather than "tall" or "grande." "Don't you think that's the right choice?" Schultz asks.,

Some analysts aren't convinced. "This is Starbucks trying to make a boring category - tea - interesting," Brian Sozzi, CEO of Belus Capital Advisors scoffs.

"I don't believe Teavana will ever grow into what the Starbucks brand has become for one simple reason: tea lacks the major caffeine count," he added. "That sounds silly, but the bottom line is that in this day and age of frantic tech-driven lifestyles, people want to run on 100 mg of caffeine, and they will trade taste to make that happen."

A birth foretold: click here to learn more!


Pope Francis: end world hunger through 'Prayer and Action'

Copywriter 2015 - Distributed by THE NEWS CONSORTIUM

Pope Francis Prayer Intentions for October 2015
That human trafficking, the modern form of slavery, may be eradicated.
Evangelization: That with a missionary spirit the Christian communities of Asia may announce the Gospel to those who are still awaiting it.


More Business & Economics

Three BILLION barrels of excess oil available now - but is this a good thing? Watch

Image of Inflated inventories and oil wealth has spread globally, from the United States to the developed economies of Europe, and now China, according to the agency.


With the price of gas comfortably lower than $3 a gallon at many gas pumps across the land, consumers are enjoying a price break. The reason behind this windfall is largely because there are now more than three billion barrels of excess oil in the world. This ... continue reading

HARD NEWS HEADED FOR EXTINCTION! Filters turning off certain information imperil journalism Watch

Image of Daily newspapers have gone from nearly 1,800 in 1945 to about 400.


Newspapers, along with print media in general is in rapid decline - while Internet news, groomed and curried for special interest groups is on the rise. The fallout is that hard news, presented objectively is in dire threat of virtual extinction. "Opinion ... continue reading

The 'WAR ON CHRISTMAS' continues as Starbucks' new seasonal cups spark public outrage Watch

Image of Starbucks is the center of a mass controversy when it decided to release plain red cups this holiday season instead of its traditional Christmas and general holiday-themed cups (Rozzieland blogs).


When coffee giant Starbucks released red cups in place of their traditionally holiday-themed cups this winter, Arizona-based evangelist Joshua Feuerstein cried bigotry. LOS ANGELES, CA (Catholic Online) - In a Facebook video rant, Feuerstein wrote, "I think in the age ... continue reading

Pretty much all you could ask for from the month of October - unemployment at five percent, new hires Watch

Image of The 271,000 jump in payroll was surprisingly robust, far better than the Labor Department expected last week.


"It was pretty much everything you could ask for in a jobs report," Michelle Meyer, deputy head of United States economics at Bank of America Merrill Lynch says. Unemployment was at five percent and there were significant job hires for the month of October. ... continue reading

Invest as a Catholic - without selling your soul! Watch

Image of

By Kevin Jones (CNA News)

For Catholics who want to invest in a retirement plan but hesitate for fear of unintentionally supporting causes contradicting their faith, a financial advisor group is now offering a new option. Washington D.C. (CNA) - "We'd like to see every Catholic organization ... continue reading

SOMETHING IS BREWING: Agreement could lead to biggest beer deal - and top five business deals EVER Watch

Image of The prevailing trend among younger beer drinkers is for smaller, more specialized labels from independent breweries. In response, bigger beer brands are struggling to hold on to their market share.


Something big is brewing in the world of brew. AB InBev or Budweiser is offering SABMiller shareholders $67.59 per share. The maker of Miller Lite, Pilsner Urquell and Peroni, this represents a premium of roughly 50 percent over the share price. The agreement, ... continue reading

Overworked Wall Street employees experience seizures, are hospitalized, and have died Watch

Image of John Hughes in Thomas' bedroom (Damon Winter).


Wall Street has always been a very demanding place to work and with recent work-related deaths, it seems that Wall Street must find a way to provide work-life balance to its employees.  NEW YORK CITY, NY (Catholic Online) - Thomas Hughes was a 29-year-old ... continue reading

7 ways to bring your family out of debt Watch

Image of


There are a lot of ways the improper handling of finances can jeopardize you and your family. The cost-of-living continues to get higher yet your income doesn't. How can you make ends meet? LOS ANGELES, CA (Catholic Online) - Fear not! You can regain control of your ... continue reading

3 easy ways to save money and pay off debt Watch

Image of


Work and play, earn and spend -It's the way the economy survives, but what about your survival? If you're having trouble saving money, don't have a dedicated savings account or just don't know how to stop spending, you may have a problem. LOS ANGELES, CA (Catholic ... continue reading

Is the stock market in trouble? Historical market turndowns following papal visits Watch

Image of Papal visits versus the stock market were reviewed.


As Pope Francis visits the United States, historical data of visits from his predecessors to the United States were linked to several market downturns in the US. MUNTINLUPA CITY, PHILIPPINES (Catholic Online) - Pope Francis made his historical visit to the United ... continue reading

All Business & Economics News


Newsletter Sign Up icon

Stay up to date with the latest news, information, and special offers

Subscribe to Catholic OnlineYouTube Channel

the FEED
by Catholic Online

  • UPDATE: Did the U.S. military actually know they were bombing the ...
  • Daily Readings for Thursday, November 26, 2015
  • The unexpected thing one Syrian refugee did for Germany that will ...
  • St. John Berchmans: Saint of the Day for Thursday, November 26, 2015
  • The Miracle Prayer HD Video
  • Prayer For Courage HD Video
  • Come together this Thanksgiving with a beautiful prayer

Daily Readings

Reading 1, Daniel 5:1-6, 13-14, 16-17, 23-28
1 King Belshazzar gave a great banquet for his noblemen, a thousand of ... Read More

Psalm, Daniel 3:62, 63, 64, 65, 66, 67
62 Bless the Lord, sun and moon, praise and glorify him for ... Read More

Gospel, Luke 21:12-19
12 'But before all this happens, you will be seized and persecuted; you ... Read More

Saint of the Day

Saint of the Day for November 25th, 2015 Image

St. Catherine of Alexandria
November 25: St. Catherine of Alexandria, Virgin and Martyr ... Read More