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

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

Customer preferences: Cuban consumers are increasingly turning to ready-to-drink coffee and tea beverages as a convenient and on-the-go option. The busy lifestyles of urban consumers, coupled with the desire for refreshing and energizing beverages, have fueled the demand for RTD coffee and tea products. Additionally, the younger generation in Cuba, who are more open to trying new and innovative products, are driving the growth of this market segment.

Trends in the market: One of the key trends in the RTD Coffee & Tea market in Cuba is the rising popularity of iced coffee and tea beverages. With the tropical climate in the country, consumers are looking for refreshing and cooling beverages, making iced coffee and tea a preferred choice. This trend is further supported by the increasing availability of iced coffee and tea options in cafes, convenience stores, and supermarkets. Another trend in the market is the growing demand for healthier and natural ingredients in RTD coffee and tea products. Consumers in Cuba are becoming more health-conscious and are seeking beverages that are low in sugar and free from artificial additives. As a result, there is a shift towards products that use natural sweeteners and organic ingredients. This trend is also influenced by global health and wellness trends, as consumers are becoming more aware of the impact of their food and beverage choices on their overall well-being.

Local special circumstances: Cuba has a unique coffee culture, with a strong tradition of drinking coffee. Cuban coffee is known for its strong and rich flavor, and this preference for quality and flavor extends to the RTD coffee market as well. Local coffee brands are capitalizing on this preference by offering ready-to-drink coffee beverages that capture the authentic Cuban coffee taste. Additionally, the popularity of traditional Cuban drinks, such as café cubano and cortadito, has also influenced the development of RTD coffee products in the market.

Underlying macroeconomic factors: The development of the RTD Coffee & Tea market in Cuba is also influenced by macroeconomic factors. The gradual opening up of the Cuban economy and the increase in tourism have contributed to the growth of the food and beverage sector, including the RTD coffee and tea market. With more tourists visiting Cuba, there is a growing demand for convenient and familiar beverage options, leading to the expansion of the RTD coffee and tea market. Additionally, the government's efforts to attract foreign investment and promote entrepreneurship have created opportunities for local and international companies to enter the market and introduce new products. In conclusion, the Ready-to-Drink (RTD) Coffee & Tea market in Cuba is experiencing growth and development driven by customer preferences for convenient and refreshing beverages, the rising popularity of iced coffee and tea, the demand for healthier ingredients, the unique coffee culture in Cuba, and the underlying macroeconomic factors such as the opening up of the economy and the increase in tourism.

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.