Ready-to-Drink (RTD) Tea - ASEAN

ASEAN

Highlights

Revenue, at home (e.g., revenue generated in supermarkets and convenience stores) in the Ready-to-Drink (RTD) Tea market amounts to US$3.98bn in 2024.
Revenue, out-of-home (e.g., revenue generated in restaurants and bars) amounts to US$1.71bn in 2024.
Revenue, combined amounts to US$5.68bn in 2024.
The revenue, at home is expected to grow annually by 3.92% (CAGR 2024-2029).
In global comparison, most revenue, at home is generated China (US$24bn in 2024).
In relation to total population figures, the average revenue per capita, at home of US$5.75 are generated in 2024.
In the Ready-to-Drink (RTD) Tea market, volume, at home is expected to amount to 2.28bn L by 2024.
Volume, out-of-home is expected to amount to 419.60m L in 2024.
Volume, combined is expected to amount to 2.70bn L in 2024.
The Ready-to-Drink (RTD) Tea market is expected to show a volume growth, at home of 1.5% in 2025.0.
The average volume per person, at home in the Ready-to-Drink (RTD) Tea market is expected to amount to 3.30L in 2024.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

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

Customer preferences: Customers in ASEAN have shown a growing preference for healthier beverage options, leading to an increased demand for RTD tea. With rising health consciousness and a desire for convenience, consumers are increasingly turning to RTD tea as a refreshing and healthier alternative to carbonated soft drinks. The natural ingredients and lower sugar content of RTD tea products make them more appealing to health-conscious consumers.

Trends in the market: One of the key trends in the RTD tea market in ASEAN is the increasing popularity of green tea. Green tea is known for its numerous health benefits and has gained a strong following among health-conscious consumers. As a result, many RTD tea brands have introduced green tea variants to cater to this growing demand. Another trend in the market is the introduction of innovative flavors and blends. Manufacturers are constantly coming up with new and unique flavor combinations to attract consumers. This includes exotic fruit flavors, floral infusions, and herbal blends. These innovative flavors not only provide a refreshing taste but also cater to the diverse taste preferences of consumers in ASEAN.

Local special circumstances: ASEAN countries have a rich tea-drinking culture, which has played a significant role in the growth of the RTD tea market. Tea is deeply ingrained in the local traditions and customs of many ASEAN countries, making it a popular choice among consumers. This cultural affinity towards tea has created a favorable environment for the growth of the RTD tea market. Furthermore, the hot and humid climate in many ASEAN countries makes RTD tea a popular choice for quenching thirst and staying refreshed. The convenience and portability of RTD tea products make them an ideal choice for on-the-go consumption in these weather conditions.

Underlying macroeconomic factors: The growing middle-class population and rising disposable incomes in ASEAN countries have contributed to the growth of the RTD tea market. As consumers have more purchasing power, they are willing to spend on premium and healthier beverage options, including RTD tea. This has created a lucrative market for RTD tea manufacturers to tap into. In addition, urbanization and changing lifestyles have also played a role in the growth of the RTD tea market. As more people move to urban areas and lead busy lives, there is an increasing demand for convenient and ready-to-consume products. RTD tea fits this requirement perfectly, providing a quick and refreshing beverage option for consumers on the go. Overall, the Ready-to-Drink (RTD) Tea market in ASEAN is driven by customer preferences for healthier beverage options, the introduction of innovative flavors, the local tea-drinking culture, the hot climate, and underlying macroeconomic factors such as the growing middle-class population and urbanization. With these factors in play, the RTD tea market in ASEAN is expected to continue its growth 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.