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Tazo is an American tea and herbal-tea brand founded in Portland, Oregon, now operated within Lipton Teas and Infusions.

Last updated October 14, 2026

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Overview

Tazo is a tea and herbal-tea blending and distribution brand founded in Portland, Oregon, in 1994 by Steven Smith. Its early manufacturing and distribution were maintained by North American Tea & Coffee, a Canadian food-manufacturing company. The brand developed a distinctive identity through tea blends, packaging, naming, and marketing that drew on New Age imagery and language rather than presenting tea solely as a conventional grocery product. A significant turning point came in 1998, when Tazo approached Starbucks chief executive Howard Schultz while seeking additional investment partners. Starbucks subsequently acquired Tazo in 1999 for $8.1 million. Under Starbucks ownership, Tazo became part of the company’s broader beverage portfolio and remained associated with packaged tea products. Starbucks also tested a dedicated retail format: the first Tazo-branded tea shop opened in November 2012. The experiment was short-lived, however, and the location closed approximately one year later before being converted into a Teavana store. Starbucks sold Tazo to Unilever in November 2017 for $384 million. The transaction moved the brand from a coffee-centered retail group into one of the world’s largest consumer packaged-goods businesses, where Tazo formed part of Unilever’s tea portfolio. In November 2021, Unilever agreed to sell the majority of its tea business to CVC Capital Partners for €4.5 billion. The transaction included Tazo and was completed in July 2022. The tea business was reorganized under the name Lipton Teas and Infusions, making Tazo a brand within that company. Tazo’s historical positioning has relied heavily on evocative product names, unconventional descriptions, and visual presentation. Its marketing has been characterized as New Age-influenced; earlier packaging reportedly described the tea as having been “blessed by a certified tea shaman,” while an original tagline was “The Reincarnation of Tea.” These elements differentiated Tazo from more traditional tea brands, although they also made the brand’s presentation more dependent on cultural and spiritual symbolism than ordinary product labeling. The brand has also undergone visible identity changes. Until 2013, its logo used a modified version of the Exocet typeface. In 2006, the cross-piece of the capital T was moved upward to improve readability. Tazo’s documented history therefore includes three principal phases: its independent Portland origins, its period as a Starbucks-owned tea brand, and its later integration into the Unilever and Lipton Teas and Infusions tea businesses. Its current corporate base is in Kent, Washington, and its operating status is active.

History

Tazo was established in Portland, Oregon, in 1994 by Steven Smith. During its early independent period, manufacturing and distribution were maintained by North American Tea & Coffee, a Canadian-based food manufacturing company. Tazo built its identity around tea and herbal-tea blends and used packaging and promotional language intended to make the brand appear unconventional and highly imaginative. In 1998, Tazo contacted Howard Schultz, then chief executive of Starbucks, while looking for additional investment partners. Starbucks acquired the company in 1999 for $8.1 million. The acquisition placed Tazo within Starbucks’ beverage portfolio and gave the brand access to the resources of a much larger international company. Starbucks later explored whether Tazo could support a dedicated retail concept. Its first Tazo-branded tea shop opened in November 2012, but the experiment did not continue: the shop closed roughly one year later and the premises were converted into a Teavana store. Starbucks exited the brand in November 2017, selling Tazo to Unilever for $384 million. Under Unilever, Tazo became part of a broader tea business rather than a Starbucks-centered retail strategy. Unilever subsequently agreed in November 2021 to sell most of its tea operations to CVC Capital Partners. Tazo was included in the transaction, which was completed in July 2022. The acquired tea operations adopted the name Lipton Teas and Infusions, and Tazo became one of its brands. The brand is now based in Kent, Washington. Tazo’s historical marketing is notable for its New Age-style presentation. Earlier packages used spiritualized language, including a reference to tea being blessed by a certified tea shaman, and the brand used the tagline “The Reincarnation of Tea.” These communications formed part of a broader attempt to make tea feel exploratory and culturally distinctive. Tazo also maintained a recognizable graphic identity. Before 2013, its logo used a modified Exocet typeface; in 2006, the cross-piece of the capital T was raised to make the letter easier to read. The brand’s ownership history illustrates a progression from independent specialist blender to Starbucks portfolio brand, then to a Unilever consumer-goods brand and finally to a Lipton Teas and Infusions division. Publicly documented information identifies Tazo primarily as a tea and herbal-tea blender and distributor; detailed current market coverage, leadership, product-level sales, and present retail strategy are not established by the available reference material.

  • 2022

    Tazo enters Lipton Teas and Infusions

    [1]

    The tea-business transaction closed in July, and the resulting company was named Lipton Teas and Infusions.

  • 2021

    Agreement to sell Tazo within Unilever’s tea business

    [1]

    Unilever agreed to sell the majority of its tea business, including Tazo, to CVC Capital Partners.

  • 2017

    Unilever buys Tazo

    [1]

    Starbucks sold Tazo to Unilever in November for $384 million.

  • 2013

    Tazo retail experiment ends

    [1]

    The Tazo-branded shop closed approximately one year after opening and became a Teavana store.

  • 2012

    First Tazo-branded tea shop opens

    [1]

    Starbucks opened the first Tazo-branded tea shop in November.

  • 2006

    Tazo modifies its logo lettering

    [1]

    The cross-piece of the T in the logo was moved upward to improve readability.

  • 1999

    Starbucks purchases Tazo

    [1]

    Starbucks acquired Tazo for $8.1 million.

  • 1998

    Tazo seeks investment from Starbucks leadership

    [1]

    Tazo approached Starbucks chief executive Howard Schultz while seeking additional investment partners.

  • 1994

    Tazo is founded in Portland

    [1]

    Steven Smith founded Tazo in Portland, Oregon, as a tea and herbal-tea blending and distribution business.

Products and positioning

A tea and herbal-tea brand differentiated by imaginative blends, distinctive packaging, and New Age-influenced language and imagery.

  • Tea

    Tazo tea blends

    Tazo’s core offering consists of packaged tea blends developed and distributed under the Tazo name. The available reference material identifies the brand broadly as a tea blender and distributor but does not provide a complete current catalog or detailed specifications for individual blends.

  • Herbal tea

    Tazo herbal teas

    Herbal tea is a principal part of Tazo’s historical product scope. The brand’s identity and marketing have emphasized imaginative blend concepts and distinctive presentation, although the available sources do not establish a complete list of current herbal-tea products.

Marketing campaigns

  • The Reincarnation of Tea

    Tazo used “The Reincarnation of Tea” as an original tagline, supporting a New Age-influenced brand identity that presented tea as unusual, expressive, and transformative.

    Outcome. Established a distinctive historical marketing platform for the brand.

  • Tea shaman packaging language

    Earlier Tazo packaging used New Age-style wording, including a claim that the tea had been blessed by a certified tea shaman.

    Outcome. Reinforced the brand’s unconventional packaging and spiritualized presentation.

Brand decisions

  • 2021

    Unilever agrees to sell its majority tea businessM&A

    Background

    Unilever pursued a transaction covering most of its tea operations, including Tazo.

    Action taken

    Unilever agreed to sell the business to CVC Capital Partners for €4.5 billion.

    Aftermath

    The transaction closed in July 2022 and the new company was named Lipton Teas and Infusions.

    Transaction value. €4.5 billion (Agreement announced in 2021)

  • 2017

    Starbucks sells Tazo to UnileverM&A

    Background

    Starbucks transferred ownership of the tea brand as part of its portfolio strategy.

    Action taken

    Unilever acquired Tazo for $384 million in November 2017.

    Aftermath

    Tazo moved into Unilever’s global tea business.

    Acquisition price. $384 million (2017)

  • 2012

    Starbucks tests a Tazo-branded retail shopStrategy

    Background

    Starbucks explored a dedicated retail format for the Tazo tea brand.

    Action taken

    It opened the first Tazo-branded tea shop in November 2012.

    Aftermath

    The shop closed about a year later and was converted into a Teavana store.

  • 1999

    Starbucks acquires TazoM&A

    Background

    Tazo had sought additional investment partners after approaching Starbucks leadership in 1998.

    Action taken

    Starbucks purchased Tazo for $8.1 million.

    Aftermath

    Tazo became part of Starbucks’ beverage portfolio.

    Acquisition price. $8.1 million (1999)

Recent events

  • TAZO and American Forests announce TAZO Tree Corps[2]

    TAZO and American Forests announced the TAZO Tree Corps collaboration. The initiative will employ paid workers to plant trees and create jobs in communities of color.

Read more

Sources2 sources

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