Ready-to-Drink (RTD) Coffee - Canada

Canada

Highlights

Revenue, at home (e.g., revenue generated in supermarkets and convenience stores) in the Ready-to-Drink (RTD) Coffee market amounts to US$51.29m in 2024.
Revenue, out-of-home (e.g., revenue generated in restaurants and bars) amounts to US$1.33m in 2024.
Revenue, combined amounts to US$52.61m in 2024.
The revenue, at home is expected to grow annually by 3.33% (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$1.31 are generated in 2024.
In the Ready-to-Drink (RTD) Coffee market, volume, at home is expected to amount to 5.00m L by 2024.
Volume, out-of-home is expected to amount to 27.50k L in 2024.
Volume, combined is expected to amount to 5.03m L in 2024.
The Ready-to-Drink (RTD) Coffee market is expected to show a volume growth, at home of 2.8% in 2025.0.
The average volume per person, at home in the Ready-to-Drink (RTD) Coffee market is expected to amount to 0.13L in 2024.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

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

Customer preferences: Consumers in Canada have shown a growing preference for convenience and on-the-go products, which has contributed to the increasing demand for RTD coffee. Busy lifestyles and the need for quick and easy beverage options have driven the popularity of RTD coffee among Canadians. Additionally, there is a growing interest in healthier beverage choices, and RTD coffee brands have responded by offering low-sugar and dairy-free options to cater to these preferences.

Trends in the market: One of the key trends in the RTD coffee market in Canada is the introduction of innovative flavors and formulations. Manufacturers are constantly launching new and unique coffee flavors to attract consumers. This includes flavors inspired by popular coffee shop beverages, such as caramel macchiato and mocha. Moreover, there is a growing trend of incorporating functional ingredients, such as protein and antioxidants, into RTD coffee products to appeal to health-conscious consumers. Another trend in the market is the increasing availability of RTD coffee in various distribution channels. While convenience stores and supermarkets have traditionally been the main outlets for RTD coffee, there has been a rise in the availability of these products in cafes, vending machines, and online platforms. This expansion of distribution channels has made RTD coffee more accessible to a wider range of consumers, further driving market growth.

Local special circumstances: Canada's coffee culture has played a significant role in the development of the RTD coffee market. Canadians have a strong affinity for coffee and are known for their high coffee consumption per capita. This cultural preference for coffee has created a favorable environment for the growth of the RTD coffee market in Canada. Additionally, the cold climate in many parts of the country has contributed to the popularity of ready-to-drink iced coffee products, especially during the summer months.

Underlying macroeconomic factors: The growing economy in Canada has positively impacted the RTD coffee market. As disposable incomes rise, consumers have more purchasing power to spend on premium and convenience products like RTD coffee. Moreover, the increasing urbanization and changing demographics in Canada have led to a shift in consumer preferences towards on-the-go beverages, further fueling the demand for RTD coffee. In conclusion, the Ready-to-Drink (RTD) Coffee market in Canada is experiencing growth and development due to customer preferences for convenience and healthier beverage choices. The market is characterized by innovative flavors and formulations, as well as an expanding distribution network. Canada's coffee culture and favorable macroeconomic factors have also contributed to the growth of the RTD coffee market in the country.

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.