Ready-to-Drink (RTD) Tea - Portugal

The Ready-to-Drink (RTD) Tea market in Portugal has been experiencing significant growth in recent years, driven by changing customer preferences and local special circumstances.

Customer preferences: In Portugal, there is a growing demand for healthier beverage options among consumers. Ready-to-Drink (RTD) Tea, with its natural ingredients and perceived health benefits, has become a popular choice for many. Additionally, the convenience factor of RTD Tea appeals to busy consumers who are looking for on-the-go refreshment.

Trends in the market: One of the key trends in the RTD Tea market in Portugal is the increasing popularity of flavored and functional teas. Consumers are drawn to unique and innovative flavors, such as fruit-infused teas or herbal blends. Additionally, functional teas that offer specific health benefits, such as detoxification or relaxation, are gaining traction in the market. Another trend in the market is the rise of premium and organic RTD Tea products. Consumers are willing to pay a premium price for high-quality teas that are sourced sustainably and have a superior taste. This trend is driven by the growing awareness of the environmental impact of food and beverage production, as well as the desire for a more authentic and natural product.

Local special circumstances: Portugal has a strong tea-drinking culture, with a long history of tea consumption. This cultural background has created a favorable environment for the growth of the RTD Tea market. Additionally, Portugal's warm climate makes it a suitable market for refreshing and thirst-quenching beverages like RTD Tea.

Underlying macroeconomic factors: The improving economic conditions in Portugal have also contributed to the growth of the RTD Tea market. As disposable incomes rise, consumers have more purchasing power and are willing to spend on premium and healthier beverage options. Furthermore, the increasing trend of urbanization and the busy lifestyles of consumers have fueled the demand for convenient and ready-to-drink products like RTD Tea. In conclusion, the Ready-to-Drink (RTD) Tea market in Portugal is experiencing growth due to changing customer preferences towards healthier and convenient beverage options. The market is driven by trends such as flavored and functional teas, as well as the demand for premium and organic products. Portugal's tea-drinking culture and warm climate, along with the improving economic conditions, further support the growth of the RTD Tea market in the country.

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.