Ready-to-Drink (RTD) Coffee - El Salvador

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

Customer preferences: El Salvadorians are increasingly opting for convenience and on-the-go consumption, which is driving the demand for ready-to-drink coffee products. The busy lifestyles of consumers in El Salvador have led to a rise in demand for portable and convenient beverage options. RTD coffee provides a quick and easy solution for consumers who are looking for a caffeine boost on the go.

Trends in the market: One of the key trends in the RTD coffee market in El Salvador is the growing popularity of flavored and specialty coffee beverages. Consumers are becoming more adventurous in their taste preferences and are seeking unique and innovative flavors. This trend is driving the introduction of new and exciting flavors in the RTD coffee market, such as caramel, mocha, and vanilla. Another trend in the market is the increasing demand for healthier and natural ingredients. Consumers are becoming more health-conscious and are looking for products that are made with natural ingredients and have reduced sugar content. As a result, manufacturers are focusing on developing RTD coffee products that are low in sugar and use natural sweeteners.

Local special circumstances: El Salvador has a strong coffee culture, with a long history of coffee production. This cultural affinity towards coffee has created a favorable environment for the growth of the RTD coffee market. Consumers in El Salvador have a deep appreciation for the taste and aroma of coffee, which has contributed to the popularity of RTD coffee products.

Underlying macroeconomic factors: The growing middle class in El Salvador is playing a significant role in the development of the RTD coffee market. As disposable incomes increase, consumers have more purchasing power and are willing to spend on convenient and premium products like RTD coffee. Additionally, the expanding urban population and the increasing number of coffee shops and cafes in El Salvador are also contributing to the growth of the RTD coffee market. In conclusion, the Ready-to-Drink (RTD) Coffee market in El Salvador is witnessing growth and development due to the increasing customer preference for convenience, the popularity of flavored and specialty coffee beverages, and the demand for healthier and natural ingredients. The strong coffee culture in El Salvador and the growing middle class, along with the expanding urban population, are underlying macroeconomic factors that are driving 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.