Ready-to-Drink (RTD) Coffee - Bhutan

The Ready-to-Drink (RTD) Coffee market in Bhutan has been experiencing significant growth in recent years.

Customer preferences: Bhutanese consumers have shown a growing preference for convenience and on-the-go products, which has contributed to the rise in popularity of RTD coffee. With the fast-paced lifestyles and increasing urbanization in Bhutan, consumers are seeking convenient and ready-to-consume options that can be easily consumed while commuting or during work breaks.

Trends in the market: One of the key trends in the RTD coffee market in Bhutan is the increasing demand for healthier and more natural options. Consumers are becoming more conscious of their health and are actively seeking products that are made with natural ingredients and have reduced sugar content. This has led to the introduction of RTD coffee products that are made with organic coffee beans and contain no artificial additives or preservatives. Another trend in the market is the growing popularity of flavored RTD coffee. Bhutanese consumers are increasingly looking for unique and indulgent flavors in their coffee beverages. As a result, companies are introducing a wide range of flavors, such as vanilla, caramel, and hazelnut, to cater to this demand.

Local special circumstances: Bhutan has a unique coffee culture, with a significant portion of the population being avid coffee drinkers. Coffee is not only consumed for its taste and aroma, but it also holds cultural significance in Bhutan. Coffee is often consumed during social gatherings and is seen as a way to connect with others. This cultural affinity towards coffee has played a role in the growth of the RTD coffee market in Bhutan.

Underlying macroeconomic factors: The growing economy of Bhutan has also contributed to the development of the RTD coffee market. With increasing disposable incomes and a rising middle class, consumers have more purchasing power to spend on premium and convenient products like RTD coffee. Additionally, the expanding tourism industry in Bhutan has also created a demand for RTD coffee among both domestic and international tourists. In conclusion, the Ready-to-Drink (RTD) Coffee market in Bhutan is witnessing growth due to the increasing preference for convenience, the demand for healthier and more natural options, the popularity of flavored coffee, the cultural significance of coffee, and the underlying macroeconomic factors such as the growing economy and tourism industry.

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.