Ready-to-Drink (RTD) Tea - Cambodia

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

Customer preferences: Cambodian consumers have shown a strong preference for healthier beverage options, which has contributed to the rise in popularity of RTD tea. As more people become health-conscious and seek out alternatives to sugary carbonated drinks, RTD tea has emerged as a favorable choice. The convenience of ready-to-drink packaging, combined with the perceived health benefits of tea, has made it an appealing option for consumers in Cambodia.

Trends in the market: One of the key trends in the RTD tea market in Cambodia is the growing demand for natural and organic products. Consumers are increasingly seeking out beverages that are made from natural ingredients and free from artificial additives. This trend aligns with the global movement towards clean label products and reflects a growing awareness of the potential health risks associated with consuming artificial ingredients. Another trend in the market is the introduction of innovative flavors and blends. RTD tea brands in Cambodia are constantly experimenting with new flavors and combinations to cater to the evolving tastes of consumers. This includes unique fruit-infused teas, herbal blends, and even tea-based energy drinks. By offering a wide variety of flavors, brands are able to attract a larger consumer base and cater to different preferences.

Local special circumstances: Cambodia's warm climate and cultural affinity for tea have also contributed to the growth of the RTD tea market. Tea is a popular beverage in Cambodia, and the availability of ready-to-drink options allows consumers to enjoy their favorite drink conveniently, especially in the hot weather. Additionally, the cultural significance of tea in Cambodia has created a strong market for RTD tea, as it is seen as a refreshing and traditional beverage.

Underlying macroeconomic factors: The growing middle class in Cambodia has played a significant role in the development of the RTD tea market. As disposable incomes increase, consumers have more purchasing power and are willing to spend on premium and healthier beverages. This has created a favorable environment for RTD tea brands to expand their presence in the market and introduce new products. Furthermore, the increasing urbanization and modernization in Cambodia have also contributed to the growth of the RTD tea market. With more people living in cities and leading busy lifestyles, there is a greater demand for convenient and on-the-go beverage options. RTD tea provides a convenient solution for consumers who are looking for a refreshing drink that can be consumed anytime, anywhere. In conclusion, the Ready-to-Drink (RTD) Tea market in Cambodia is experiencing growth due to customer preferences for healthier beverage options, the introduction of innovative flavors, the country's warm climate and cultural affinity for tea, and the underlying macroeconomic factors such as the growing middle class and increasing urbanization.

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.