The teas are available in five new flavors at 8,000 stores in 41 states. The combination of herbals, green, and black teas are in response to strong competition in the segment from McDonald’s and Starbucks, which has seen strong sales of its Teavana brand in its coffee shops.
“Dunkin’ Donuts stands apart for our commitment to introducing new, premium beverages for our on-the-go guests,” said Chris Fuqua, Dunkin’ Donuts’ Senior Vice-President of Brand Marketing, Global Consumer Insights and Product Innovation.
In addition to Bold Breakfast Black and Harmony Leaf Green, the company offers Chamomile Fields, Cool Mint, and Hibiscus Kiss, three caffeine-free flavors popular with young tea drinkers. The hibiscus contains herbs and natural berry flavors and the chamomile is blended with citrus and herbs.
The teas will sell from $1.59 to $2.29 a cup, and 15-ct boxes are offered for $6.99. A Teavana tall cinnamon chai latte sells for $3.65. Starbucks’ shaken iced teas range from $1.75 to $2.95 a cup, depending on size and location. An emperor’s cloud Teavana green tea in pyramid bag or jade citrus mint green tea sells for $8.95 for 12 sachets
“Though we are known for our signature coffee and espresso drinks, we are also a leading restaurant brand in the hot tea category,” said Fuqua. “As tea continues to increase in popularity, particularly among younger consumers, our expanded breadth of high-quality teas reinforces Dunkin’ Donuts as the destination for the best beverage choices to keep people energized any time of day.”
Dunkin’ Donuts operates 11,300 stores in 37 countries with sales of $10 billion in 2015. The company began experimenting with five premium teas in the Chicago market last October. The test included the hibiscus, mint, and chamomile teas introduced nationally last week.