Ready-to-Drink (RTD) Coffee - Egypt

The Ready-to-Drink (RTD) Coffee market in Egypt has experienced significant growth in recent years.

Customer preferences: Egyptian consumers have shown a growing preference for convenience and on-the-go consumption, which has contributed to the rise in popularity of RTD coffee. Busy lifestyles and the desire for quick and easy refreshment options have driven the demand for ready-to-drink beverages in general, and coffee is no exception. Additionally, the younger generation in Egypt, who are more open to trying new products and flavors, have embraced RTD coffee as a trendy and convenient beverage choice.

Trends in the market: One of the key trends in the RTD coffee market in Egypt is the increasing availability and variety of products. Local and international brands have recognized the potential of this market and have introduced a wide range of RTD coffee options to cater to different consumer preferences. This includes variations in flavors, packaging formats, and caffeine content. Moreover, there has been a growing emphasis on healthier options, with the introduction of low-sugar and plant-based alternatives to traditional RTD coffee products. Another trend in the market is the expansion of distribution channels. RTD coffee products are now not only available in traditional retail outlets such as supermarkets and convenience stores but also in cafes, restaurants, and online platforms. This has made RTD coffee more accessible to consumers, further fueling its popularity.

Local special circumstances: Egypt has a strong coffee culture, with coffee being an integral part of social gatherings and daily routines. Traditionally, coffee is prepared and served in a specific way, but the rise of RTD coffee has challenged these norms. However, despite the growing popularity of RTD coffee, traditional coffee preparations and cafes still hold a special place in Egyptian culture, and many consumers continue to enjoy both options.

Underlying macroeconomic factors: The growth of the RTD coffee market in Egypt can be attributed to several underlying macroeconomic factors. The country has seen improvements in its overall economic performance, with rising disposable incomes and a growing middle class. This has led to increased spending power and a greater willingness to try new products and experiences. Furthermore, Egypt's young and growing population presents a significant market opportunity for RTD coffee brands. With a large portion of the population under the age of 30, there is a strong demand for convenient and trendy beverages, making RTD coffee an attractive choice. In conclusion, the Ready-to-Drink (RTD) Coffee market in Egypt has experienced significant growth due to customer preferences for convenience and on-the-go consumption. The availability of a wide range of products and the expansion of distribution channels have further fueled this growth. Despite the rise of RTD coffee, traditional coffee preparations and cafes continue to hold a special place in Egyptian culture. The underlying macroeconomic factors of rising disposable incomes and a young population have also contributed to the development of the RTD coffee market in Egypt.

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.