Saint James Tea is expanding its product line beyond iced tea with yerba mate, marking the brand’s first product extension in its five-year history.
Co-founder and co-CEO Brenden Cohen explained that Saint James sought a new product with higher caffeine content that could complement its existing flavored iced tea offerings. Yerba mate, a popular South American beverage, allows the brand to tap into the growing market for natural caffeine as health-conscious consumers, especially younger demographics, seek healthier options.
“When we discovered yerba mate, we knew it was a perfect fit,” Cohen stated. “We view it as a highly caffeinated tea product.”
Saint James’ yerba mate product contains approximately twice the caffeine content of typical yerba mate products, providing 150 milligrams of caffeine, equivalent to about a cup and a half of coffee. While less potent than traditional energy drinks, it offers more caffeine than the rest of Saint James’ tea lineup.
Yerba mate is gaining popularity globally, although it remains underrepresented in the U.S. The beverage is crafted from dried leaves and twigs of the ilex paraguariensis plant, a holly species native to central and southern South America.
Founded in 2021 by Arizona Tea founder John Ferolito, along with co-CEOs Cohen and Brad Neumann, Saint James focuses on catering to Generation Z through functional ingredients and a commitment to sustainability.
The decision to diversify beyond tea originated from Ferolito. The new “tea-adjacent” product had to align with Saint James’ brand values, offering 25 calories or fewer, 5 grams of sugar or less, and a focus on taste.
It was crucial for Saint James to create a product that retained a tea-like flavor rather than the typical bitter taste of yerba mate. The brand’s new launch will compete with other ready-to-drink yerba mate beverages on the market, including Guayaki’s Yerba Madre, as well as offerings from Marquis and Mateina.
“There’s a strong demand for it, with several brands doing a great job,” Cohen noted. “However, there’s always room for improvement. Ours embodies the essence of Saint James, offering a delightful tea experience.”
The global yerba mate market was valued at approximately $2.17 billion last year and is projected to reach $3.58 billion by 2034, according to Straits Research. Consumers are increasingly seeking “clean caffeine” for an energy boost without the crash and added functional benefits.
The yerba mate drinks will debut in Mango Passionfruit, Raspberry Lemon, and Strawberry Tangerine flavors on Amazon and Saint James’ e-commerce platform. They will later expand to Kroger and Albertsons. A 12-pack will retail for $39.99, with plans for additional flavors by year-end.
Aside from the new product category, Saint James aims to enhance distribution for its entire range. The company reported a 164% year-over-year revenue growth in August, with products available in over 25,000 stores across the U.S. and Canada.
Correction: This story has been updated with the correct spelling of Brenden Cohen’s first name.