Out-of-Home Tea market CAGR 9.5% during the forecast period, the demand for tea infused with flavors, fragrances, and herbal ingredients is anticipated to drive the global out-of-home tea market. Due to its health benefits, ready-to-drink tea is favored by consumers. Tea strengthens the immune system and reduces inflammation. In the near future, market growth is likely to be influenced by the rising awareness of tea's health benefits. It is anticipated that the development and introduction of products with regional flavors will provide lucrative growth opportunities for industry vendors. To increase their share of the out-of-home tea market, sellers are offering a wide variety of flavors via various e-commerce websites.
Outside the home, tea is consumed. It can be consumed in a variety of locations, including quick-service restaurants, bars and pubs, hotels, cafes, and workplaces. Matcha tea, oolong tea, black tea, herbal tea, and green tea are among the many flavors and varieties available for purchase outside the home. Camellia Sinensis, a species of an evergreen shrub, is used to make black tea, which is frequently flavored with other plants. Black tea is one of the world's most popular and widely consumed beverages. It is rich in anti-inflammatory antioxidants and other substances. Green tea is a traditional Asian beverage with numerous health benefits. It helps to stop bleeding, treats heart conditions, and heals wounds.
Increase in Demand for With Flavors, Fragrances, and Herbal Ingredients Infused Tea Boosting Out-of-Home Tea Market Growth
Tea has been a popular beverage since antiquity. In recent years, a number of tea manufacturers have begun offering a variety of tea types. Tea is selected by consumers on the basis of its origin, flavor, and health benefits. The consumption of green tea away from home has numerous health benefits, including the prevention of cancer, cardiovascular disease, and type 2 diabetes.
Leaf teas are flavored with a variety of substances to impart specific health benefits. White tea, yellow tea, and oolong tea are among the most popular organic tea varieties. According to the Tea Association of the United States, next to the water, tea is the most widely consumed beverage in the world and can be found in nearly 80% of U.S. households. In 2021, Americans consumed nearly 85 billion servings, or more than 3.9 billion gallons, of which 84% were black tea, 15% were green tea, and the rest were oolong, white, and dark tea. In the coming years, the high consumption of tea is expected to drive the demand for tea sold outside the home.
Negative Effects of Coffee Consumption on Health
Caffeine consumption is high in the United States and several European nations, including Finland, Austria, Slovenia, Denmark, and Germany. Consuming excessive amounts of caffeine has negative health effects. It causes the body to produce stress hormones, which increase blood pressure, heart rate, and tension levels. These health risks have caused a substantial shift towards tea. Tea contains no sodium, fat, sugar, or carbonation. It contains flavonoids, which are naturally occurring antioxidant compounds. Therefore, the various health benefits of tea are likely to drive the expansion of the outside-the-home tea market in the near future.
According to the Tea Association of the United States, black and green tea imports into the United States are projected to reach 240 million pounds in 2021, representing a 6% annual growth rate compared to 2020. Consumer preference for hot tea and specialty tea continues to rise, and green tea accounts for 15% of all imported tea. Therefore, an increase in tea imports is anticipated to enhance the dynamics of the global tea market in the coming years.
Intensive Use of Green Tea
According to the most recent market trends for tea sold outside the home, the green tea segment is expected to lead the industry during the forecast period. Less oxidation during the manufacturing process produces green tea leaves. Steaming and pan-firing are the two primary techniques for producing green tea. Green tea is abundant in Epigallocatechin Gallate (EGCG), which aids in disease prevention. In the near future, the black tea segment is anticipated to expand at a significant rate. Black tea is heavily oxidized and brewed with vigorous heat. It is rich in antioxidants, which improve overall health and may prevent certain forms of cancer.
APAC to Remain as the Global Leader
According to the most recent projections for the out-of-home tea market, Asia Pacific is expected to lead the industry from 2023 to 2031, followed by North America. China and India are the leading tea producers. As a result of hectic lifestyles, the demand for convenient and healthy products is expected to increase in Asia and the Pacific, which is likely to increase market statistics in the region. In North America and Europe, the industry is anticipated to be driven by an increase in the preference for tea over coffee. Due to the numerous health risks associated with coffee, many people in these regions prefer tea.
Analysis of Key Participants
Teekanne GmbH & Co. KG, Tata Consumer Products Limited, Unilever, Ito En, Ltd., ApeejaySurrendra Group, Starbucks Coffee Company, Taetea Group, Barry's Tea, Associated British Foods plc, Bettys and Taylors Group Ltd., and Ito En, Ltd. are significant players in this market. The majority of companies are committed to expanding their out-of-home tea market revenue through extensive R&D investments. To expand their regional presence, they are also adopting merger-and-acquisition, partnership, and collaboration strategies.
Key developments in the Out of Home Tea market include the following:
Historical & Forecast Period
This study report represents analysis of each segment from 2022 to 2032 considering 2023 as the base year. Compounded Annual Growth Rate (CAGR) for each of the respective segments estimated for the forecast period of 2024 to 2032.
The current report comprises of quantitative market estimations for each micro market for every geographical region and qualitative market analysis such as micro and macro environment analysis, market trends, competitive intelligence, segment analysis, porters five force model, top winning strategies, top investment markets, emerging trends and technological analysis, case studies, strategic conclusions and recommendations and other key market insights.
Research Methodology
The complete research study was conducted in three phases, namely: secondary research, primary research, and expert panel review. key data point that enables the estimation of Out-of-Home Tea market are as follows:
Market forecast was performed through proprietary software that analyzes various qualitative and quantitative factors. Growth rate and CAGR were estimated through intensive secondary and primary research. Data triangulation across various data points provides accuracy across various analyzed market segments in the report. Application of both top down and bottom-up approach for validation of market estimation assures logical, methodical and mathematical consistency of the quantitative data.
| ATTRIBUTE | DETAILS |
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| Research Period | 2022-2032 |
| Base Year | 2023 |
| Forecast Period | 2024-2032 |
| Historical Year | 2022 |
| Unit | USD Million |
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Key questions answered in this report
