Europe RTD Tea & Coffee Market Outlook, 2028

The rise of cafe culture in Europe in the late 20th century contributed to the demand for RTD tea and coffee. As more Europeans embraced the coffee shop experience, the availability and variety of RTD coffee options increased. Over time, the range of RTD tea and coffee products expanded in Europe. This included the introduction of different tea varieties, such as green tea, herbal teas, and fruit-infused teas, providing consumers with more choices. The fast-paced and busy lifestyles of Europeans have led to a rise in on-the-go consumption of RTD tea and coffee. These beverages offer convenience for individuals who are looking for a quick and refreshing option while commuting, at work, or during leisure activities. There are growing trends towards European consumers showing a growing interest in specialty and artisanal RTD tea and coffee offerings. Craft coffee shops, specialty tea brands, and small-scale producers are gaining popularity as consumers look for unique flavours, innovative blends, and ethically sourced products. European consumers often incorporate the consumption of RTD tea and coffee into their social and cultural habits. Whether it's enjoying a cup of coffee at a local cafe or indulging in afternoon tea rituals, these beverages play a role in European socialising and cultural traditions. The market for herbal tea is expected to see growth over the next few years due to a number of factors, including an expanding population, rising disposable income, rising consumer health consciousness, and on-going wellness trends. The health advantages of herbal tea, which includes components outside the tea plant, including bark or roots, have been extensively acknowledged.

According to the research report, "Europe Ready-to-Drink Tea and Coffee Market Outlook, 2028," published by Bonafide Research, the market is anticipated to add USD 4.20 Billion in size from 2023 to 2028. Consumer preferences have shifted towards beverages that offer convenience without compromising taste or quality. RTD tea and coffee products cater to these changing preferences by providing a ready-to-consume option that meets the demand for both refreshing flavours and convenience. The increasing trend of out-of-home consumption, such as at cafes, restaurants, and on-the-go establishments, contributes to the growth of the RTD tea and coffee market in Europe. Consumers seek portable and ready-to-drink options that they can enjoy while dining out or during their daily activities. There is a growing trend towards premiumization in the RTD coffee and tea market in Europe. Consumers are willing to pay more for high-quality, specialty, and artisanal products that offer unique flavours, origins, and brewing methods. This trend is driven by a desire for a more elevated and indulgent beverage experience. Based on the types included in this report, ready-to-drink tea and ready-to-drink coffee are in the Europe region. Ready to drink Tea holds the largest market share in this region. Tea has a long-standing tradition and cultural significance in many European countries. European consumers have a deep-rooted appreciation for tea, with tea-drinking rituals and customs being an integral part of their daily lives. Europe has a diverse tea culture, with a wide variety of teas consumed across different countries. Traditional teas such as black tea, green tea, and herbal teas have a strong presence in the European market, catering to a range of tastes and preferences. In the future, RTD coffee will grow at the highest CAGR rate.

There are certain government initiatives and associations for the RTD tea and coffee market. The European Food Safety Authority (EFSA) is an independent agency of Europe responsible for providing scientific advice and risk assessment related to food safety. It assesses the safety of ingredients and additives used in RTD tea and coffee products and provide guidance on maximum residue levels and labelling requirements. Each European country has its own national food safety authority responsible for ensuring the safety and quality of food and beverages sold within their respective jurisdictions. These authorities enforce regulations and conduct inspections to ensure compliance with food safety standards. The European Tea Committee represents the interests of the European tea industry. It works towards promoting responsible tea consumption, providing information on tea quality and sustainability, and fostering cooperation among tea producers, importers, and traders. The Specialty Coffee Association Europe (SCAE) is an industry association dedicated to promoting specialty coffee in Europe. It provides training, education, and certification programmes for coffee professionals and organises events and competitions to showcase the quality and craftsmanship of specialty coffee. The Sustainable Coffee Platform (SCP) is a multi-stakeholder initiative that focuses on promoting sustainable coffee production and consumption. It brings together coffee companies, governments, NGOs, and research institutions to address environmental, social, and economic challenges in the coffee sector.

Based on the packaging type, the segment includes the pet bottle, canned, glass bottle, fountain/aseptic, and pouches, cartoons, and cups. In Europe, the pet bottle has the highest market share. PET bottles offer greater breakage resistance and consume less energy and time during manufacturing than glass bottles. The demand for PET bottles for packaging RTD tea and coffee is rising due to their recyclability and reusability. In Europe, the market player prefers the single-serve bottle, which is a small-sized PET bottle designed for single-serving portions of RTD tea and coffee. They typically range in size from 200 ml to 500 ml, making them suitable for on-the-go consumption. Single-serve bottles are often lightweight and compact, allowing consumers to easily hold and carry them. Manufacturers are continuously innovating to improve the functionality and appeal of PET bottles. This includes features such as ergonomic shapes for easy grip, innovative pouring mechanisms, and thermal insulation to keep beverages hot or cold for longer durations. These innovations enhance the consumer experience and drive the adoption of PET bottles in the RTD tea and coffee market. In the future, canned goods are expected to grow at the highest CAGR rate. Based on the pricing range, there are regular prices ($0.50 to $2 per unit), popular prices ($2 to $4), premium prices ($4 to $8), fountain prices ($4 to $8), and super premium prices ($4 to $8). In Europe, the regular price segment holds the highest market share of this entire segment. European consumers, like consumers in many other regions, are price-conscious and seek value for their money. They often prioritise practicality and cost-effectiveness when making purchasing decisions. The regular price segment aligns with their preferences by offering reliable and reasonably priced options that meet their needs without exceeding their budget. Also, many established and mainstream brands operate in the regular price range, offering a wide variety of choices in terms of flavour, formats, and packaging sizes. This extensive product range and market presence contributes to the segment's dominance.

Based on the distribution channel, which includes off-trade and on-trade, in Europe, off-trade distribution has the highest market share. The off-trade segment includes various hypermarkets and supermarkets; there are several hypermarkets and supermarkets that offer a wide variety of RTD tea and coffee, including Tesco, Carrefour, Aldi, Lidl, and Sainsbury's. Countries cover in this report is Germany, France, Italy, Spain and Russia. The Germany is having leading the market in 2022. Due to Germany has a long-standing culture of tea and coffee consumption. Germans have a deep appreciation for quality beverages and are known for their love of coffee and tea. This cultural affinity towards tea and coffee contributes to the popularity of RTD options in the market. As well as the Germany is known for its health-conscious population, with consumers placing emphasis on natural, organic, and healthy products. This aligns well with the increasing demand for RTD beverages that offer functional benefits, use natural ingredients, and have reduced sugar content.



Considered in this report

• Geography: Europe
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028

Aspects covered in this report

• Europe Ready to Drink Tea & Coffee market with its value and forecast along with its segments
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

Countries Covered in this report

• Germany
• UK
• France
• Italy
• Spain
• Russia

By Type

• Ready to Drink Tea
• Ready to Drink Coffee

By Packaging

• Pet Bottle
• Canned
• Glass Bottle
• Fountain/Aseptic
• Others (Pouches, Cartoons and Cups)

By Price

• Regular ($0.50 to $2 per unit)
• Popular Priced ($2 TO $4)
• Premium ($4 to $8)
• Super Premium (above $8)
• Fountain

By Distribution Channel

• Off-trade
• On-trade (Food Service and Vending)


The approach of the report:

This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to ready to Drink Tea & Coffee industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.