Ready-to-Drink (RTD) Coffee & Tea - United Arab Emirates

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

Customer preferences: Customer preferences for ready-to-drink coffee and tea have been influenced by several factors. Firstly, the convenience of these beverages appeals to busy consumers who are looking for a quick and easy way to enjoy their favorite coffee or tea flavors. Additionally, the increasing health consciousness among consumers has led to a growing demand for healthier options in the market, such as low-sugar or organic beverages. Lastly, the popularity of unique and innovative flavors has also contributed to the growth of the RTD coffee and tea market in United Arab Emirates.

Trends in the market: One of the key trends in the RTD coffee and tea market in United Arab Emirates is the increasing popularity of cold brew coffee. Cold brew coffee is known for its smoother and less acidic taste compared to traditional hot brewed coffee. This trend can be attributed to the growing interest in specialty coffee and the desire for a refreshing beverage during the hot summer months. Another trend in the market is the rise of functional beverages, which are beverages that offer additional health benefits beyond hydration. This includes beverages with added vitamins, antioxidants, or other natural ingredients that promote health and wellness.

Local special circumstances: The United Arab Emirates has a diverse population with a mix of locals and expatriates from different countries. This diversity has influenced the demand for a wide range of coffee and tea flavors in the market. Additionally, the UAE is known for its hot climate, which has led to a higher demand for cold beverages such as iced coffee and iced tea. The local culture also plays a role in shaping customer preferences, with traditional Arabic coffee being a popular choice among locals.

Underlying macroeconomic factors: The growing economy of the United Arab Emirates has contributed to the development of the RTD coffee and tea market. As disposable incomes rise, consumers are more willing to spend on convenience products like ready-to-drink beverages. Additionally, the UAE has a thriving tourism industry, attracting visitors from around the world who are looking to experience local flavors and beverages. This has created a demand for a variety of coffee and tea options in the market. In conclusion, the Ready-to-Drink (RTD) Coffee & Tea market in United Arab Emirates has experienced growth due to customer preferences for convenience, health-conscious options, and unique flavors. The market has also been influenced by trends such as the popularity of cold brew coffee and functional beverages. Local special circumstances, including the diverse population and hot climate, have further shaped customer preferences. The underlying macroeconomic factors, such as the growing economy and tourism industry, have also contributed to the development of the market.

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.