Our in-depth analysis of the global ready to drink (RTD) tea and coffee market includes the following segments:
By Product Type
By Distribution Channel
Regionally, the global ready to drink (RTD) tea and coffee market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America and the Middle East & Africa. The market in the Asia Pacific is estimated to witness significant CAGR over the forecast period on the back of growing demand for RTD products as a result of rising health awareness of the people and the booming landscape of retail food chains in the region, namely in countries such as Japan, India and China. Another crucial factor boosting industry growth is the large number of coffee and tea plantations, and the growing production of tea in several countries in the region. During the financial year 2019-2020, the production of tea in India crossed 1300 M.Kgs. Furthermore, the market in North America is estimated to hold a significant revenue in 2021 accounting to the presence of leading market players of the beverage industry, especially in nations, such as, the U.S.A and Canada.
The global RTD tea and coffee market is further classified on the basis of region as follows:
In 2023, market players might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain.
Controlling Inflation has become the first priority for global economies from last quarter of 2022 and to be followed in 2023. With skewed economic situations, rise in interest rate by governments to control spending and inflation, spiked oil and gas prices, high inflation, geo-political issues including U.S. & China trade war, Russia-Ukraine conflict to intensify the global economic issues.
The interest rates in the U.S. may be less sensitive in 2023 as compared to 2022; sigh of relief for businesses. Positive business sentiments, healthy business balance sheets, growth in construction spending (private construction value in 2022 stood at $1,429.2 billion, 11.7 percent (±1.0 percent) above the $1,279.5 billion spent in 2021, Residential construction in 2022 was $899.1 billion, up by 13.3 percent (±2.1 percent) from $793.7 billion in 2021, non-residential construction touched $530.1 billion, 9.1 percent (±1.0 percent) above the $485.8 billion in 2021.) showcases minimal impact of recession in the country.
Similarly, spiked spending in the European and major Asia economics including, India, China & Japan to showcase less impact on the global demand.
Author Credits: Anil Kumar, Ipsheeta Dash
Ans: Growing concern for health amongst individuals worldwide and the changing dietary preferences are some of the major factors anticipated to drive the growth of the market.
Ans: The market is anticipated to attain a notable CAGR over the forecast period, i.e., 2021-2029.
Ans: Frequently changing prices of the raw materials used to manufacture RTD tea and coffee, and the higher production cost of RTD drinks than ground coffee and tea leaves are estimated to hamper the market growth.
Ans: Asia Pacific region has more business opportunities for growth of RTD tea and coffee market owing to the high number of tea and coffee plantations in the region.
Ans: The major players in the market are Nestle S.A., The Coca Cola Company, PepsiCo Inc., Suntory Beverage & Food Limited, Danone S.A. and others.
Ans: The company profiles are selected based on the revenues generated from the product segment, geographical presence of the company which determine the revenue generating capacity as well as the new products being launched into the market by the company.
Ans: The market is segmented by product, packaging, distribution channel, additives and by region.
Ans: The supermarkets segment is anticipated to hold the largest market size and is estimated to grow at a steady CAGR over the forecast period and display significant growth opportunities.