Ready-to-Drink (RTD) Coffee & Tea - Southeast Asia

Southeast Asia

Highlights

Revenue, at home (e.g., revenue generated in supermarkets and convenience stores) in the Ready-to-Drink (RTD) Coffee & Tea market amounts to US$6.29bn in 2024.
Revenue, out-of-home (e.g., revenue generated in restaurants and bars) amounts to US$1.73bn in 2024.
Revenue, combined amounts to US$8.02bn in 2024.
The revenue, at home is expected to grow annually by 3.72% (CAGR 2024-2029).
In global comparison, most revenue, at home is generated Japan (US$32bn in 2024).
In relation to total population figures, the average revenue per capita, at home of US$9.08 are generated in 2024.
In the Ready-to-Drink (RTD) Coffee & Tea market, volume, at home is expected to amount to 2.87bn L by 2024.
Volume, out-of-home is expected to amount to 422.70m L in 2024.
Volume, combined is expected to amount to 3.30bn L in 2024.
The Ready-to-Drink (RTD) Coffee & Tea market is expected to show a volume growth, at home of 1.0% in 2025.0.
The average volume per person, at home in the Ready-to-Drink (RTD) Coffee & Tea market is expected to amount to 4.15L in 2024.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Ready-to-Drink (RTD) Coffee & Tea market in Southeast Asia has been experiencing significant growth in recent years.

Customer preferences: Customers in Southeast Asia have shown a strong preference for convenient and on-the-go beverage options. The busy lifestyles of urban consumers have led to an increasing demand for RTD Coffee & Tea products that can be easily consumed while commuting or during work breaks. Additionally, the rising popularity of Western coffee culture has also contributed to the growth of the RTD Coffee & Tea market in the region.

Trends in the market: One of the key trends in the RTD Coffee & Tea market in Southeast Asia is the increasing demand for healthier and natural ingredients. Consumers are becoming more health-conscious and are seeking products that are low in sugar and free from artificial additives. As a result, companies in the market are introducing new product variants that cater to these preferences, such as RTD Coffee & Tea products made with natural sweeteners and plant-based milk alternatives. Another trend in the market is the growing popularity of premium and specialty RTD Coffee & Tea products. Southeast Asian consumers are increasingly willing to pay a premium for high-quality and unique flavors. This has led to the introduction of a wide range of premium RTD Coffee & Tea options, including cold brews, single-origin coffees, and artisanal tea blends. These products are often marketed as indulgent treats or as a way to elevate the coffee and tea drinking experience.

Local special circumstances: Southeast Asia is a diverse region with a rich coffee and tea culture. Each country in the region has its own unique preferences and traditions when it comes to coffee and tea consumption. For example, in Indonesia, traditional iced coffee known as "kopi susu" is a popular choice among locals, while in Thailand, Thai iced tea is a staple beverage. Companies operating in the RTD Coffee & Tea market need to understand and cater to these local preferences in order to succeed.

Underlying macroeconomic factors: The growing middle class and increasing disposable incomes in Southeast Asia have played a significant role in driving the growth of the RTD Coffee & Tea market. As more people have the means to afford premium and convenient beverages, the demand for RTD Coffee & Tea products has surged. Additionally, urbanization and changing lifestyles have also contributed to the growth of the market, as consumers seek convenient and on-the-go options to fit their busy schedules. In conclusion, the Ready-to-Drink (RTD) Coffee & Tea market in Southeast Asia is experiencing strong growth due to customer preferences for convenience and on-the-go options, the trend towards healthier and premium products, the diverse local preferences, and the underlying macroeconomic factors such as the growing middle class and urbanization. Companies operating in this market need to understand and adapt to these trends and preferences in order to capitalize on the opportunities available in the region.

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.