Ready-to-Drink (RTD) Tea - Israel

Israel

Highlights

Revenue, at home (e.g., revenue generated in supermarkets and convenience stores) in the Ready-to-Drink (RTD) Tea market amounts to US$107.50m in 2024.
Revenue, out-of-home (e.g., revenue generated in restaurants and bars) amounts to US$70.02m in 2024.
Revenue, combined amounts to US$177.60m in 2024.
The revenue, at home is expected to grow annually by 3.66% (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$11.55 are generated in 2024.
In the Ready-to-Drink (RTD) Tea market, volume, at home is expected to amount to 24.56m L by 2024.
Volume, out-of-home is expected to amount to 2.37m L in 2024.
Volume, combined is expected to amount to 26.93m L in 2024.
The Ready-to-Drink (RTD) Tea market is expected to show a volume growth, at home of 2.4% in 2025.0.
The average volume per person, at home in the Ready-to-Drink (RTD) Tea market is expected to amount to 2.64L in 2024.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

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

Customer preferences: Israeli consumers have shown a growing preference for healthier beverage options, which has driven the demand for RTD tea. With increasing health consciousness, consumers are seeking beverages that offer both refreshment and nutritional benefits. RTD tea, with its natural ingredients and lower sugar content compared to carbonated soft drinks, has emerged as a popular choice among health-conscious consumers in Israel. Additionally, the convenience factor of RTD tea appeals to busy consumers who are looking for on-the-go options.

Trends in the market: One of the key trends in the RTD tea market in Israel is the growing popularity of herbal and fruit-infused tea variants. Consumers are increasingly looking for unique and exotic flavors that offer a refreshing and indulgent experience. This has led to the introduction of a wide variety of flavors in the RTD tea segment, including hibiscus, mint, pomegranate, and lemon. Another trend in the market is the rise of functional RTD teas. These teas are formulated with added ingredients such as vitamins, antioxidants, and probiotics, which provide additional health benefits. Functional RTD teas cater to the specific needs of consumers, such as immunity-boosting, digestion support, and stress relief.

Local special circumstances: Israel's unique climate and cultural preferences have also influenced the development of the RTD tea market. The hot and arid climate in the region makes refreshing beverages like RTD tea particularly appealing. Additionally, tea has a long-standing cultural significance in Israel, with tea consumption being a common practice among the population. This cultural preference has created a favorable environment for the growth of the RTD tea market in the country.

Underlying macroeconomic factors: The growing economy and increasing disposable income in Israel have played a significant role in the development of the RTD tea market. As consumers have more purchasing power, they are willing to spend on premium and healthier beverage options like RTD tea. The rising middle class in the country has also contributed to the market growth, as these consumers are more likely to prioritize health and wellness in their purchasing decisions. In conclusion, the Ready-to-Drink (RTD) Tea market in Israel is experiencing growth due to the increasing preference for healthier beverage options, the introduction of new and unique flavors, and the cultural significance of tea in the country. The rise of functional RTD teas and the favorable macroeconomic conditions also contribute to the market's development.

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.