Ready-to-Drink (RTD) Tea - Madagascar

The Ready-to-Drink (RTD) Tea market in Madagascar has been experiencing significant growth in recent years, driven by changing consumer preferences and local special circumstances. Customer preferences in the RTD Tea market in Madagascar are shifting towards healthier beverage options. As consumers become more health-conscious, they are increasingly looking for beverages that are low in sugar and calories. This has led to a rise in demand for RTD teas that are made with natural ingredients and are free from artificial sweeteners. Additionally, consumers in Madagascar are also seeking out RTD teas that offer functional benefits, such as improved digestion or increased energy. Trends in the RTD Tea market in Madagascar include the introduction of new flavors and varieties. Manufacturers are constantly innovating to meet the evolving tastes of consumers. This has resulted in a wide range of flavors being available in the market, including traditional flavors like green tea and black tea, as well as more exotic options like hibiscus or lemongrass. In addition, there has been a growing trend towards the use of local ingredients in RTD teas, as consumers in Madagascar appreciate products that are made with locally sourced ingredients. Local special circumstances in Madagascar have also contributed to the growth of the RTD Tea market. The country has a rich tea culture, with a long history of tea production. This has created a strong demand for RTD teas among the local population, who are familiar with and appreciate the taste of tea. Furthermore, the tropical climate in Madagascar makes it an ideal market for RTD teas, as consumers are often looking for refreshing and hydrating beverages. Underlying macroeconomic factors have also played a role in the development of the RTD Tea market in Madagascar. The country has experienced steady economic growth in recent years, which has led to an increase in disposable income among consumers. This has allowed more people to afford RTD teas, which were previously considered a luxury item. Additionally, the growing middle class in Madagascar has also contributed to the growth of the RTD Tea market, as this demographic segment is more likely to prioritize convenience and is willing to spend on ready-to-drink beverages. In conclusion, the RTD Tea market in Madagascar is experiencing growth due to changing customer preferences towards healthier beverages, the introduction of new flavors and varieties, local special circumstances such as a tea culture and tropical climate, and underlying macroeconomic factors such as economic growth and an expanding middle class.

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.