Larger pack sizes of RTD tea provide convenience and better value for money, and manufacturers and retailers are therefore predicted to concentrate on larger pack size offerings over the forecast period. This will be to attract consumers who have struggled with reduced disposable incomes and the high levels of inflation seen recently, which are expected to continue in the short term.
In addition to highlighting its low sugar content, the recent EU recognition of rooibos tea from South Africa, allowing producers to display a “protected designation of origin” logo on their products, is also likely to lead to strong marketing of RTD tea brands that are infused with this flavour. Moreover, the popularity of rooibos tea can also be seen in BOS Ice Tea’s expansion to the UK, which is one of the largest rooibos markets in the world.
Despite the strong competition from private label in other categories, no significant private label activity has been seen within RTD tea. As evident from other soft drinks, private label has typically seen strong consumer demand and subsequent supply, facilitated by strong distribution from leading retailers at competitive price points.
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This category includes all packaged products based on brewed tea or tea extract. May be sweetened or unsweetened, carbonated or still, with a wide variety of different flavourings. May contain juice.See All of Our Definitions
This report originates from Passport, our RTD Tea research and analysis database.
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