United Kingdom (UK) RTD Tea & Coffee Market Overview, 2028

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.

Based on the by packaging segment, there are pet bottles, canned goods, glass bottles, fountains, aseptic, and others (pouches, cartoons, and cups). In the UK, pet bottles have the highest market share in the country. PET bottles offer greater breakage resistance and consume less energy and time during manufacturing than glass bottles. The demand for PET bottles for packaging ready-to-drink tea and coffee is rising due to their recyclability and reusability. PET bottles are easily recycled from many types of secondary products, including pillow stuffing, carpet fibres, tote bags, and strapping materials. In the future, the canned segment will grow at the highest CAGR rate. Based on the distribution channel, it includes off-trade and on-trade. In the UK, the off-trade segment has the highest market share. Based on the price segments, there are the regular price, popular price, premium price, fountain price, and super premium. In the UK, the regular price segment is leading the market. Based on the distribution channel, which includes off-trade and on-trade, in the UK, the off-trade is leading the market. Supermarkets play a significant role in the off-trade distribution of ready-to-drink tea and coffee. Large supermarket chains such as Tesco, Sainsbury's, Asda, and Morrisons offer a wide range of options from different brands, flavours, and packaging formats. Considered in this report • Geography: UK • Historic year: 2017 • Base year: 2022 • Estimated year: 2023 • Forecast year: 2028 Aspects covered in this report • UK 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

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Manmayi Raval

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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

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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.