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

Southern 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$1.32bn in 2024.
Revenue, out-of-home (e.g., revenue generated in restaurants and bars) amounts to US$104.00m in 2024.
Revenue, combined amounts to US$1.43bn in 2024.
The revenue, at home is expected to grow annually by 10.21% (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$0.69 are generated in 2024.
In the Ready-to-Drink (RTD) Coffee & Tea market, volume, at home is expected to amount to 828.60m L by 2024.
Volume, out-of-home is expected to amount to 25.45m L in 2024.
Volume, combined is expected to amount to 854.10m L in 2024.
The Ready-to-Drink (RTD) Coffee & Tea market is expected to show a volume growth, at home of 4.0% in 2025.0.
The average volume per person, at home in the Ready-to-Drink (RTD) Coffee & Tea market is expected to amount to 0.43L in 2024.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

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

Customer preferences: One of the main reasons for the growth of the RTD Coffee & Tea market in Southern Asia is the changing preferences of customers. Consumers in this region are increasingly seeking convenient and on-the-go beverage options. Ready-to-drink coffee and tea products provide a convenient solution for busy individuals who want to enjoy their favorite beverages without the hassle of brewing or steeping. Additionally, the younger generation in Southern Asia is particularly attracted to the trendy and innovative flavors offered by RTD Coffee & Tea brands.

Trends in the market: One trend that has been observed in the Southern Asian RTD Coffee & Tea market is the increasing demand for healthier options. As consumers become more health-conscious, they are looking for beverages that are low in sugar, calories, and artificial additives. This has led to the rise of RTD Coffee & Tea brands that offer natural and organic options, as well as products that cater to specific dietary needs, such as lactose-free or gluten-free. Another trend in the market is the growing popularity of functional beverages. Consumers are increasingly seeking beverages that offer additional benefits, such as increased energy, improved focus, or relaxation. RTD Coffee & Tea brands are responding to this demand by introducing products that contain natural ingredients like ginseng, matcha, or adaptogens, which are believed to have various health benefits.

Local special circumstances: In Southern Asia, the RTD Coffee & Tea market is heavily influenced by local cultural preferences and traditions. For example, in countries like India and Sri Lanka, tea is deeply ingrained in the culture and is consumed throughout the day. As a result, RTD tea products, especially those that offer traditional flavors and brewing methods, are particularly popular in these countries. On the other hand, in countries like Thailand and Indonesia, where coffee consumption is more prevalent, RTD coffee products are in high demand.

Underlying macroeconomic factors: The growing RTD Coffee & Tea market in Southern Asia can also be attributed to favorable macroeconomic factors. Rising disposable incomes and urbanization have led to an increase in the purchasing power of consumers, allowing them to spend more on premium and convenience products like RTD beverages. Additionally, the expansion of modern retail channels, such as supermarkets and convenience stores, has made RTD Coffee & Tea products more accessible to a larger consumer base. In conclusion, the RTD Coffee & Tea market in Southern Asia is experiencing growth due to changing customer preferences for convenient and on-the-go beverages, as well as the rising demand for healthier and functional options. Local cultural preferences and favorable macroeconomic factors also play a significant role in shaping the market trends in this 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.