T2 managing director talks experiential retail, innovation and what’s next

T2 is transforming tea retail conventions with the highly anticipated grand reopening of its flagship store at Sydney’s iconic Queen Victoria Building (QVB). Officially reopening its doors on April 3, the reimagined store features a striking new concept that blends innovation with immersive sensory experiences, marking a bold move to redefine the bricks-and-mortar shopping experience.The brand’s journey took a series of unexpected turns in recent years. After being sold by Unilever to CVC Capital Partners in 2021, T2 found itself under the umbrella of the newly independent Lipton Teas and Infusions in 2022, following the divestment of Unilever’s tea business. In 2023, T2 made the decision to close its northern hemisphere stores, now focusing its efforts on a more concentrated presence with 61 stores operating between Australia, New Zealand and Singapore. The newly furbished QVB store aims to enhance the traditional shopping experience by inviting customers to engage with the aromas, flavours, and textures of T2’s extensive tea collection. “To visually see those ingredients is a really important part of the consumer journey. To be able to see it, to be able to smell it, to be able to taste all of these amazing flavours,” Christelle Young, managing director of T2, told Inside Retail.The dedicated brew bar is a central feature of the store, allowing visitors to sample a range of teas, including house-made and 100 per cent organic matcha, along with other blends, including its popular French Earl Grey. Customers have the chance to sample scents and visualise the tea leaves with the brand’s tea library, offering a diverse range of tea blends, from rich black and delicate white teas to fragrant herbal and floral varieties. “Our flagship store represents our investment in the future of bricks-and-mortar – where customers don’t just shop, but engage, learn and immerse themselves in our world of tea,” Young said. Sustainable and ethical sourcing at the coreSustainability remains at the heart of T2’s business philosophy. Having earned B Corp certification, the company states it is dedicated to ensuring a positive impact on the environment and the communities that produce the ingredients for its tea blends. With eco-friendly packaging options and refillable tea tins to reduce waste, T2’s efforts to reduce its environmental footprint are part of a broader strategy. Part of its plan is to elevate everyday tea rituals while maintaining a strong commitment to social responsibility and environmental awareness.“One of our values is about community and connection from leaf to cup, the connection with our plantations and the communities that they’re from, the connection with our consumers and back into the home,” Young said.T2 works closely with artists to create a wide range of tea-related products including a notable collaboration with contemporary Kalkadoon First Nations artist, Brooke Sutton. “At the core of our ethos is collaboration with artistry. All of our new stores will have artist collaborations in some sort. It’s quite heartwarming to work with someone else in a partnership and bring people together, companies together, products and design together,” she explained.A newfound demand for matchaAs demand for wellness products continues to grow, T2 is responding with a focus on premium blends that promote health and well-being. Among the most popular is matcha, which has seen significant growth. “Our matcha is ceremonial grade, organic and sourced from beautiful tea gardens in Japan. We’re seeing incredible demand. We also offer masterclasses, starting with matcha, as it’s a beautiful ritual. You can come in and learn how to brew your matcha properly,” Young said.“We’ve got exciting innovations coming, including matcha flavours that are natural and sugar-free. These will be available by May. One innovation we’ve created is the Matcha Plus, a portable flask with a built-in whisk, perfect for those who want a modern take on the traditional matcha ceremony,” she added.Expanding the T2 experienceThe QVB store is also a response to shifting consumer demands. As customers increasingly seek brands that reflect their values and offer more than just products, T2’s commitment to ethical practices and redefining tea as a mindful experience resonates with a new generation of tea drinkers. With its innovative retail environment, T2 is not only enhancing the way consumers experience tea but also setting the stage for the future of retail as a whole.“Going back to the core of our DNA, you’ll definitely see innovation in the next chapter. We’ve got some exciting things brewing up in terms of our out-of-home offering for cafés and restaurants. So watch this space,” Young said.The reopening of the QVB store signals a pivotal moment in T2’s global journey. With 61 stores across the southern hemisphere, T2 is reshaping the essence of tea, transcending traditional retail, and redefining the way tea is experienced, savoured and shared.