Ready-to-Drink (RTD) Tea - Hungary

The Ready-to-Drink (RTD) Tea market in Hungary has been experiencing steady growth in recent years.

Customer preferences: Hungarian consumers have shown a growing preference for healthier beverage options, which has contributed to the increasing demand for RTD tea. With rising health consciousness and a desire for natural and functional ingredients, consumers are turning to RTD tea as an alternative to sugary carbonated drinks. The convenience and portability of RTD tea also appeal to busy, on-the-go consumers who are looking for a refreshing and hydrating beverage.

Trends in the market: One of the key trends in the RTD tea market in Hungary is the growing demand for organic and natural products. Consumers are becoming more aware of the potential health benefits of organic ingredients and are willing to pay a premium for products that are free from artificial additives and preservatives. This trend is driving the introduction of new organic RTD tea products in the market. Another trend in the market is the increasing popularity of flavored RTD teas. Manufacturers are introducing a wide range of flavors, including fruit-infused and herbal varieties, to cater to the diverse tastes of consumers. These flavored RTD teas offer a refreshing and unique drinking experience, further driving the demand for these products.

Local special circumstances: Hungary has a rich tea-drinking culture, with a long history of consuming hot tea. This cultural preference for tea has translated into a growing demand for RTD tea as well. Hungarian consumers appreciate the convenience and variety of flavors that RTD tea offers, while still being able to enjoy the traditional tea-drinking experience.

Underlying macroeconomic factors: The growing economy in Hungary has contributed to the increasing disposable income of consumers. As a result, consumers have more purchasing power and are willing to spend on premium and healthier beverage options, such as RTD tea. Additionally, the increasing urbanization and busy lifestyles of consumers have also fueled the demand for convenient and ready-to-drink beverages like RTD tea. In conclusion, the Ready-to-Drink (RTD) Tea market in Hungary is experiencing growth due to the increasing preference for healthier beverage options, the introduction of organic and flavored RTD tea products, the cultural preference for tea, and the underlying macroeconomic factors such as growing disposable income and urbanization.

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.