The ready to drink tea and coffee market has experienced robust growth in recent years, expanding from $48.26 billion in 2023 to $51.04 billion in 2024 at a compound annual growth rate (CAGR) of 5.8%.
According to a report by The Business Research Company, the growth in the historic period can be attributed to changing consumer preferences, busy lifestyles and convenience, health and wellness trends, innovations in packaging, marketing and branding strategies.
The ready to drink tea and coffee market is projected to continue its strong growth, reaching $62.3 billion in 2028 at a compound annual growth rate (CAGR) of 5.1%. The growth in the forecast period can be attributed to rise of online retail channels, diversification of flavor profiles, sustainability and eco-friendly packaging, functional ingredients and health benefits, rise of specialty and artisanal products.
Growth Driver Of The Ready To Drink Tea And Coffee Market
The rising popularity of ready-to-drink beverages is expected to boost the growth of the ready-to-drink tea and coffee market going forward. Ready-to-drink beverages refer to single-use beverages that are packaged and ready to consume immediately after purchase. Users can consume these beverages anytime and anywhere without having to prepare them. Due to the convenience of use, there is a rising demand for ready-to-drink beverages, which in turn benefits the ready-to-drink tea and coffee market.
What Are The Emerging Trends Shaping The Ready To Drink Tea And Coffee Market Size?
Major companies operating in the ready-to-drink tea and coffee market are focused on developing new variants of their products, such as cold brew coffee, to provide consumers with a diverse beverage option. Cold brew coffee is a variant that involves steeping coarsely ground coffee beans in cold water for an extended period, usually 12-24 hours.
How Is The Global Ready To Drink Tea And Coffee Market Segmented?
1) By Type: Ready To Drink tea, Ready To Drink Coffee
2) By Additives: Flavors, Artificial Sweeteners, Acidulants, Nutraceuticals, Preservatives, Other Additives
3) By Packaging: Glass Bottle, Canned, PET Bottle, Aseptic, Other Packaging
4) By Distribution Channel: Supermarkets Or Hypermarkets, Convenience Stores, Food Service, Online
Geographical Insights
Asia-Pacific Leading The Ready To Drink Tea And Coffee Market
Asia-Pacific was the largest region in the market in 2023. North America is expected to be the fastest-growing region in the report during the forecast period. The regions covered in the report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
