Hot Drinks in Dominican Republic

Coffee remains dominant, while both tea and other hot drinks have potential to innovate and grow

Hot drinks saw steady growth in 2019, with coffee remaining the dominate hot drink in the landscape. Coffee sales benefit from the drink having a long traditional in in the Dominican Republic, where consumer enjoy brewing fresh ground coffee at home, as well as reaching for instant coffee brands.

An increased demand for variety sees a rise in premium and gourmet coffee options

The premiumisation trend grew across the Dominican Republic in 2019, encouraged by the growing coffee culture across the country. As the coffee culture increases, consumer awareness of different coffee varieties and preparations continues to grow, fuelling demand for more coffee products, including gourmet offerings.

Competition in hot drinks revolves around a few key players who benefit from their well-established brands and place within the landscape

A few key players led hot drinks in 2019, with Industrias Banilejas CxA continuing to lead fresh coffee sales, aided by its Café Santo Domingo coffee shops as well as its well-established, trusted brand that offers fresh ground coffee, whole bean offering and coffee pod options - appealing to consumers with various income-levels. Nestlé Dominicana SA continued to lead instant coffee values sales in 2019, where it came out on top for both instant and decaffeinated options.

As chocolate-based flavoured powder drinks remain popular, Nestlé introduces Dolce Gusto Nesquik

Chocolate-based flavoured powder drinks led other hot drinks, with the beverage benefiting from being traditionally drunk by younger consumers, as well as appealing to some adults. Responding to the demand and popularity of the drink, as well as the success of its Dolce Gusto single-serving hot drinks machine, Nestlé has bought its popular chocolate-based flavoured powder drink Nesquik, to shelves, in pod format.

Hot drinks will see growth over the forecast period, boosted by the increased coffee culture and rise of gourmet offerings

Hot drinks is expected to see growth in the Dominican Republic over the forecast period, boosted by robust economic growth, the increasing coffee culture and the rise of premiumisation in the country. As coffee shops increase across the country, consumers awareness of gourmet offerings in all types of hot drinks will increase, particularly in coffee which has a substantial amount of flavours and varieties in international chains such as Starbucks.

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