The UK has experienced a significant growth in the popularity of specialty coffee and tea, including ready-to-drink coffee and tea beverages. Consumers are becoming more discerning and interested in the origin, quality, and flavour profiles of their coffee drinks. Increased urbanisation and demanding work schedules, including long, wearying hours, pin people down. Hence, growth in the working population, as well as hectic schedules, has boosted the demand for the consumption of RTD beverages due to their convenience. In addition, the industrialization integrated with the expansion of the vending machine business has become one of the major reasons for workers to prefer such beverage products as the perfect ready-to-drink in the middle of a hard day’s work. Additionally, RTD beverages are quickly replacing synthetic sports drinks as a preferred source of instant energy among young people in both developed and developing nations. Additionally, the transition by consumers from carbonated beverages to a mix of RTD products to satisfy their desire for instant energy has further fueled the expansion of the global market for ready-to-drink tea and coffee.
According to the research report "UK Ready-to-Drink Tea and Coffee Market Overview, 2028," published by Bonafide Research, the UK ready-to-drink tea and coffee market is projected to reach a market size of USD 432.46 Million by 2023 to 2028. In the UK, ready-to-drink tea has the highest market share in the country rather than coffee. Cold-brew coffee and iced tea have gained popularity in the UK market. These beverages offer a refreshing alternative to hot drinks and are often perceived as less bitter. Cold brew coffee, in particular, has seen significant growth as a ready-to-drink option, providing a smoother and less acidic flavour profile. With a fast-paced lifestyle, there is a demand for convenient ready-to-drink tea and coffee products that can be consumed on the go. This includes single-serve bottles, cans, or cartons that are easily portable and fit into busy lifestyles. Growing awareness regarding health and wellbeing has led the UK RTD-Tea segment to grow in recent years as consumers shift from carbonated, highly sugared soft drinks to healthier alternatives. Also, ready-to-drink tea variants try to fill out niches in the market; there is an increasing amount of product variety regarding RTD tea products without sugar, as well as carbonated variants of RTD tea, where RTD tea competes against traditional soft drinks like cola and lemonades. Increasing socialisation and social gatherings amongst various age groups, especially the millennials, has increased the demand and need for easily available portable drinks such as ready-to-drink coffee and tea.
There are various start-ups regarding ready-to-drink tea and coffee in the UK. Jimmy's Iced Coffee is a UK-based start-up that specialises in ready-to-drink iced coffee beverages. They offer a range of cold brew coffee drinks in different flavours, including original, mocha, and vanilla. The company focuses on using ethically sourced coffee and has gained popularity for its unique branding and strong presence in the UK market. Minor Figures is a start-up known for its oat milk-based products, including oat milk lattes and ready-to-drink iced coffee. They prioritise sustainability and offer dairy-free alternatives that appeal to the growing demand for plant-based options in the UK market. DRGN (pronounced "dragon") is a UK-based start-up that produces a range of functional beverages, including ready-to-drink herbal tea infusions. Their products are formulated with natural ingredients, adaptogens, and vitamins to provide health benefits. DRGN has gained attention for its unique flavour profiles and focus on functional wellness. Steep Soda is a start-up that specialises in ready-to-drink sparkling tea-based beverages. They offer a range of carbonated tea drinks in various flavours, including Earl Grey, Lemon & Mint, and Jasmine Green Tea. Steep Soda aims to provide a refreshing alternative to traditional soft drinks while incorporating the natural flavours of tea. And BEAR is a UK-based start-up that produces cold-pressed and ready-to-drink fruit-infused beverages, including tea-based options. They offer a range of fruit and herbal tea blends with no added sugars or artificial additives. Bear focuses on using natural ingredients and creating a healthier alternative to traditional soft drinks.
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