Ready-to-Drink (RTD) Coffee & Tea - Mongolia

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

Customer preferences: Mongolian consumers have shown a growing preference for convenience and on-the-go products, which has contributed to the rise in demand for RTD Coffee & Tea. The busy lifestyles of urban dwellers and the increasing number of young professionals who are seeking quick and easy refreshment options have fueled this trend. Additionally, the influence of Western culture and the popularity of coffee and tea among the younger generation have also played a role in driving the demand for RTD products.

Trends in the market: One of the key trends in the RTD Coffee & Tea market in Mongolia is the introduction of innovative flavors and varieties. Manufacturers are constantly launching new and exciting products to cater to the diverse tastes of consumers. This includes unique combinations of coffee and tea flavors, as well as the incorporation of local ingredients to create a distinct Mongolian twist. The increasing availability of these innovative options has further boosted the popularity of RTD Coffee & Tea among Mongolian consumers. Another trend in the market is the growing emphasis on health and wellness. Mongolian consumers are becoming more health-conscious and are seeking products that offer functional benefits. As a result, there has been a rise in the demand for RTD Coffee & Tea products that are low in sugar, made with natural ingredients, and enriched with vitamins and antioxidants. Manufacturers are responding to this trend by introducing healthier alternatives to traditional RTD Coffee & Tea beverages.

Local special circumstances: The unique climate and geography of Mongolia have also contributed to the development of the RTD Coffee & Tea market. Mongolia experiences extreme weather conditions, with very cold winters and hot summers. This has led to a preference for hot beverages during the colder months and a shift towards refreshing and cooling drinks during the summer. RTD Coffee & Tea products provide a convenient solution for consumers to enjoy their favorite beverages at any time of the year, regardless of the weather conditions.

Underlying macroeconomic factors: The growing economy and rising disposable incomes in Mongolia have also played a significant role in the development of the RTD Coffee & Tea market. As consumers have more purchasing power, they are able to afford premium and higher-priced products, including RTD Coffee & Tea. Additionally, the expanding middle class and the increasing number of urban dwellers have created a larger consumer base for these products. In conclusion, the Ready-to-Drink (RTD) Coffee & Tea market in Mongolia is experiencing growth due to customer preferences for convenience and on-the-go products, the introduction of innovative flavors and varieties, the emphasis on health and wellness, the unique climate and geography, and the underlying macroeconomic factors such as the growing economy and rising disposable incomes. These factors have contributed to the increasing popularity and demand for RTD Coffee & Tea products among Mongolian consumers.

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.