Ready-to-Drink (RTD) Coffee & Tea - United States

The Ready-to-Drink (RTD) Coffee & Tea market in United States has been experiencing significant growth in recent years. This can be attributed to changing consumer preferences, emerging trends in the market, local special circumstances, and underlying macroeconomic factors.

Customer preferences: Customers in the United States have shown a growing preference for convenience and on-the-go consumption. This has led to an increased demand for ready-to-drink beverages, including coffee and tea. Busy lifestyles, long commutes, and a desire for instant gratification have all contributed to the popularity of RTD coffee and tea products. Additionally, health-conscious consumers are seeking out healthier beverage options, such as low-sugar or plant-based alternatives, which has further fueled the growth of this market segment.

Trends in the market: One of the key trends in the RTD Coffee & Tea market in the United States is the rise of premium and artisanal products. Consumers are willing to pay a premium for high-quality, ethically sourced ingredients and unique flavor profiles. This trend has led to the emergence of niche brands and specialty products, catering to the discerning tastes of consumers. Another trend is the increasing popularity of functional beverages, such as RTD coffees and teas infused with vitamins, antioxidants, or other health-enhancing ingredients. These products offer added benefits beyond just refreshment, appealing to health-conscious consumers.

Local special circumstances: The United States has a strong coffee culture, with a large number of coffee shops and cafes across the country. This cultural affinity for coffee has translated into a strong demand for RTD coffee products. The popularity of coffee on-the-go has also been driven by the prevalence of drive-thru coffee shops, making it even more convenient for consumers to grab a quick cup of coffee while on the move. In addition, the United States has a diverse population with varied tastes and preferences, leading to a wide range of RTD coffee and tea products available in the market.

Underlying macroeconomic factors: The growing RTD Coffee & Tea market in the United States can also be attributed to underlying macroeconomic factors. The country has a strong and stable economy, with high disposable incomes and a large middle-class population. This has increased consumers' purchasing power and willingness to spend on premium and convenience products. Furthermore, the increasing urbanization and hectic lifestyles have created a demand for on-the-go beverages, driving the growth of the RTD coffee and tea market. Additionally, the rise of e-commerce and online grocery shopping has made it easier for consumers to access a wide variety of RTD coffee and tea products, further fueling market growth. In conclusion, the Ready-to-Drink (RTD) Coffee & Tea market in the United States is experiencing significant growth due to changing customer preferences, emerging market trends, local special circumstances, and underlying macroeconomic factors. The demand for convenience, premium and artisanal products, functional beverages, and healthier options has contributed to the expansion of this market segment. The strong coffee culture, diverse population, and stable economy in the United States have also played a significant role in driving the growth of the RTD coffee and tea 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.