Ready-to-Drink (RTD) Coffee - Asia

Asia

Highlights

Revenue, at home (e.g., revenue generated in supermarkets and convenience stores) in the Ready-to-Drink (RTD) Coffee market amounts to US$20.41bn in 2024.
Revenue, out-of-home (e.g., revenue generated in restaurants and bars) amounts to US$191.60m in 2024.
Revenue, combined amounts to US$20.60bn in 2024.
The revenue, at home is expected to grow annually by 3.42% (CAGR 2024-2029).
In global comparison, most revenue, at home is generated Japan (US$12bn in 2024).
In relation to total population figures, the average revenue per capita, at home of US$4.49 are generated in 2024.
In the Ready-to-Drink (RTD) Coffee market, volume, at home is expected to amount to 5.61bn L by 2024.
Volume, out-of-home is expected to amount to 31.27m L in 2024.
Volume, combined is expected to amount to 5.64bn L in 2024.
The Ready-to-Drink (RTD) Coffee market is expected to show a volume growth, at home of 0.5% in 2025.0.
The average volume per person, at home in the Ready-to-Drink (RTD) Coffee market is expected to amount to 1.24L in 2024.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Ready-to-Drink (RTD) Coffee market in Asia has been experiencing significant growth in recent years. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors have all contributed to this development.

Customer preferences: One of the main reasons for the growth of the RTD Coffee market in Asia is the changing preferences of customers. As the region becomes more urbanized and fast-paced, consumers are looking for convenient and on-the-go options. RTD Coffee provides a quick and easy solution for those who want to enjoy their favorite coffee without the hassle of brewing it themselves. Additionally, the younger generation, in particular, is drawn to the trendy and innovative packaging of RTD Coffee products, making it a popular choice among millennials.

Trends in the market: Several trends have emerged in the RTD Coffee market in Asia. Firstly, there has been a rise in the demand for healthier options. Consumers are increasingly conscious of their health and are looking for beverages that are low in sugar and calories. As a result, companies have started introducing RTD Coffee products with natural ingredients and reduced sugar content to cater to this demand. Another trend is the introduction of unique flavors and blends. Companies are constantly innovating and launching new flavors to attract customers and differentiate themselves from competitors. Additionally, there has been a growing trend of premiumization in the market, with consumers willing to pay a higher price for high-quality and premium RTD Coffee products.

Local special circumstances: The RTD Coffee market in Asia is influenced by several local special circumstances. One such circumstance is the strong tea-drinking culture in many Asian countries. While coffee consumption is on the rise, tea remains the preferred hot beverage for many Asians. However, RTD Coffee provides a bridge between the two, allowing consumers to enjoy the convenience of a ready-to-drink beverage while still satisfying their preference for tea flavors. Additionally, the increasing popularity of coffee shop culture in Asia has also contributed to the growth of the RTD Coffee market. Many consumers are introduced to coffee through coffee shop chains and then seek out similar flavors and experiences in RTD Coffee products.

Underlying macroeconomic factors: Several underlying macroeconomic factors have played a role in the development of the RTD Coffee market in Asia. Economic growth and rising disposable incomes have led to an increase in the purchasing power of consumers, enabling them to afford premium and higher-priced RTD Coffee products. Additionally, urbanization and changing lifestyles have made convenience a priority for many consumers, driving the demand for RTD Coffee. Furthermore, the growing influence of Western culture and the adoption of coffee as a trendy and fashionable beverage have also contributed to the growth of the market. In conclusion, the Ready-to-Drink (RTD) Coffee market in Asia is experiencing growth due to changing customer preferences, emerging market trends, local special circumstances, and underlying macroeconomic factors. As consumers seek convenience, healthier options, unique flavors, and premium experiences, the market is expected to continue its upward trajectory in the coming years.

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.