In the beverage world, there are few names bigger than Starbucks and Anheuser-Busch. The two dominate any discussion of coffee or beer respectively, but they’re now partnering up to help capture the market of a third beverage – tea. Specifically, Starbucks is looking to begin selling their Teavana line of teas as ready-to-drink specialty bottles in grocery stores around the world. They decided to partner with Anheuser Busch to handle the bottling aspect of the operation, and if spokespeople for both companies are to be believed, there is plenty of revenue to go around.
Tea is currently a billion-dollar market in the US, and Teavana was Starbucks’ biggest acquisition ever when they bought it for $630 million in 2012. The original retail strategy for the brand, which involved revamping the Teavana tea bars around the country, didn’t live up to the “$90 billion global market opportunity” that Starbucks CEO Howard Schultz originally predicted.
Starbucks’ new partnership and strategy represent a significant pivot to the ready-to-drink market. They expect to release the new line in over 300,000 US supermarkets and convenience stores by next year. The move is also a possible save for Anheuser-Busch, who have seen sales and production suffer in the wake of the craft beer movement.
To read more, click here.
When David Chang opened Momofuku Nishi in Chelsea 5 months ago, the chef generated the usual buzz for a new Momofuku concept. But Nishi was also earning press as the latest addition to the gratuity-free movement, so far spearheaded by other big names like Meyer and Tarlow. Chang even gave an interview in his magazine Lucky Peach on the decision, citing their desire to pay kitchen workers a living wage.
paigepapers.com 