Ready-to-Drink (RTD) Coffee & Tea - Bangladesh

The Ready-to-Drink (RTD) Coffee & Tea market in Bangladesh is experiencing significant growth and development.

Customer preferences: Bangladesh is a country with a rich tea-drinking culture, and tea has always been a popular beverage choice among the local population. However, in recent years, there has been a noticeable shift in consumer preferences towards ready-to-drink coffee and tea. This can be attributed to the increasing influence of Western culture and the growing popularity of coffee shops and cafes in urban areas. Additionally, the convenience and portability of RTD coffee and tea products have also contributed to their rising demand among busy urban consumers.

Trends in the market: One of the key trends in the RTD Coffee & Tea market in Bangladesh is the emergence of local and regional brands offering a wide range of innovative and unique flavors. These brands are catering to the diverse taste preferences of the local population and are gaining popularity among consumers who are looking for something different from the traditional tea and coffee options. Another trend in the market is the growing demand for healthier and natural ingredients in RTD coffee and tea products. Consumers are becoming more conscious about their health and are actively seeking out products that are made with natural ingredients and have no artificial additives or preservatives. This trend is driving the development of new products that are positioned as healthier alternatives to traditional tea and coffee beverages.

Local special circumstances: Bangladesh is a densely populated country with a large young population. This demographic factor plays a significant role in shaping the RTD Coffee & Tea market in the country. The young population is more open to trying new and innovative products, and their changing preferences are driving the demand for RTD coffee and tea. Additionally, the increasing urbanization and changing lifestyles in Bangladesh have also contributed to the growth of the RTD Coffee & Tea market. As more people move to cities and lead busy lives, the demand for convenient and on-the-go beverage options has increased. RTD coffee and tea products offer a quick and convenient solution for consumers who are always on the move.

Underlying macroeconomic factors: The growing middle class and rising disposable incomes in Bangladesh are also fueling the growth of the RTD Coffee & Tea market. As people become more affluent, they are willing to spend more on premium and value-added products, including RTD coffee and tea. Furthermore, the increasing penetration of internet and social media in Bangladesh has played a significant role in creating awareness and generating demand for RTD coffee and tea products. Online platforms and digital marketing have made it easier for brands to reach their target audience and promote their products effectively. In conclusion, the Ready-to-Drink (RTD) Coffee & Tea market in Bangladesh is experiencing growth and development due to changing customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors. The market is expected to continue its upward trajectory as more consumers embrace the convenience and variety offered by RTD coffee and tea products.

Data coverage:

The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:

Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on Non-Alcoholic Drinks, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Non-Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.