Starbucks to Open Tazo Tea Shop

Go to Starbucks for coffee? How about having some tea?

Starbucks is looking to open a new 1,700-square-foot store solely dedicated to its Tazo tea in the fall. It planned to sell more than 80 varieties of loose-leaf tea and other tea products. It will also offer hot and cold tea drinks, brewing equipment, pastries, packaged chocolates, infused sugars and honey.

This Seattle-based company decided to enter the new area because they see tea as a $95 billion global market that represents a significant growth opportunity.

According to the data from Euromonitor International, a privately owned, market intelligence firm, 5.6 million tons of coffee were consumed at home and through food service channels like restaurants last year, as tea were drank up approximately 2.9 million tons.

Both figures above exclude ready-to-drink products. Sales of ready-to-drink tea beverages through stores, restaurants and vending machines hit $56.2 billion in 2011, up from just over $32 billion in 2006.

The new store arrives at a time when Starbucks is aiming to expand its brand beyond coffee. Earlier this month, Starbucks announced plans to buy Bay Bread for $100 million and last year it bought the Evolution Fresh juice brand for $30 million.