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Emerging Health Consciousness for Brewed Beverages Supporting Demand for Global Tea Varieties

Posted on 22 June 2017 by KenResearch

The most consumed global beverages in terms of volume in tea. There is shift in consumer’s preference to healthier and natural beverages, which have led to adaptable tea, based brewed beverages through consumption occasion.

It is said that in a global beverages tea is the most dynamic category. The largest beverages market and its versatility as a product is present everywhere. It can be consumed hot or cold and sweet & unsweetened. Tea is a low priced commodity as compared to coffee and soft drinks and it has entered and era of value creation.

According to the market research report "Global Tea: Consumer Trends Converge Around Brewed Beverages", there is a rise in demand for tea and will continue because there is growth of chilled RTD tea, hot green tea and premium specialty black teas. For refreshment, hydration and functional benefits, RTD has become better option than soft drink. The area of major growth is US because of premium priced single served teas. The reason behind growth in China is the introduction of healthier RTD teas. NPD are targeting young consumers, after the introduction of flavored brewed RTD teas.

In terms of global consumption, hot tea is the second most beverages consumed. Functional, healthier and flavorful tea blends has realized a potential in sales value. It is very important to build interest and loyalty among youngsters as they represent the future.

Other than traditional forms, tea has also shown development in non- traditional form and channels outside the home as well. India, UAE, and other markets are finding increasing growth and success in the outside food service tea and alternative tea products like home tea appliances. US and European food services are finding mixed opinion in the market from coffee chain to fast food.

Tea industry has come over with innovation, bold trends and funky fads. Health conscious consumers are preferring green tea and there is rise in health-oriented customers in India, Sri Lanka and Africa. In addition, there is increase in demand for tea bags. Tea is something that most of the population consumes every day. Tea bags are very handy, instant and easy to use. Because of high industrial farming and bulk machine processing the tea bags are cheap as it replaces skill labor and craft. There is one more trend in tea world, which has shown rise in demand among consumers is tea cocktails. The main ingredient of classic drinks was replaced with tea concentrates.

In Europe, increasing popularity of specialty tea among tea consumers has led to increase in demand for high quality tea. This segment of market is rapidly growing. In the tea specialty segment, highly down-the-line consumers want to have the knowledge about the different tea varieties, proper brewing techniques and from where it has been originated.

In special teashops or retailers, the high quality and specialty teas are paramountcy found in specialty teashops or retailers or in high-end restaurants, hotels or coffee cafes. Specialist retailers have been able to overcome the demand for these special teas very well. They have been able to appeal the younger consumers by providing a wide variety of tea flavors and origins, unusual variety of combinations and the ability to customize teas.

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Related reports:

Research Report on Coffee Industry in Vietnam, 2017-2021

Organic Beverages in Germany

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Ken Research
Ankur Gupta, Head Marketing & Communications
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