Ready-to-Drink (RTD) Coffee - Puerto Rico

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

Customer preferences: Puerto Rican consumers have shown a growing preference for convenience and on-the-go consumption, which has contributed to the increasing popularity of RTD coffee. The fast-paced lifestyle of modern consumers has led to a greater demand for ready-to-drink beverages that can be easily consumed without the need for preparation or brewing. Additionally, the tropical climate in Puerto Rico makes cold beverages like RTD coffee particularly appealing to consumers looking for a refreshing drink.

Trends in the market: One of the key trends in the RTD coffee market in Puerto Rico is the increasing variety of flavors and formulations available to consumers. Manufacturers are constantly innovating and introducing new flavors and combinations to cater to the diverse tastes of consumers. This trend has been driven by the demand for unique and exotic flavors, as well as the desire for healthier options. As a result, consumers in Puerto Rico now have a wide range of choices when it comes to RTD coffee, including options that are low in sugar, dairy-free, or made with organic ingredients. Another trend in the market is the growing popularity of premium and specialty RTD coffee products. Puerto Rican consumers are willing to pay a premium for high-quality and unique products. This has led to the emergence of artisanal and craft RTD coffee brands that offer a more premium and gourmet experience. These brands often focus on sourcing high-quality coffee beans and using traditional brewing methods to create a superior product. The premium segment of the market is expected to continue growing as consumers become more discerning and willing to try new and unique flavors.

Local special circumstances: Puerto Rico has a strong coffee culture, with a long history of coffee production and consumption. Coffee is deeply ingrained in the local culture and is considered a staple beverage. This cultural affinity for coffee has played a significant role in the growth of the RTD coffee market in Puerto Rico. Consumers are already familiar with the taste and aroma of coffee, making them more likely to try RTD coffee products. Additionally, the availability of high-quality coffee beans locally has made it easier for manufacturers to produce RTD coffee that meets the expectations of Puerto Rican consumers.

Underlying macroeconomic factors: The economic growth and increasing disposable incomes in Puerto Rico have also contributed to the development of the RTD coffee market. As consumers have more money to spend, they are more willing to indulge in premium and convenient products like RTD coffee. Additionally, the tourism industry in Puerto Rico has been growing, attracting a large number of international visitors who are also potential consumers of RTD coffee. The combination of a growing local market and a steady stream of tourists has created a favorable environment for the expansion of the RTD coffee market in Puerto Rico.

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.