Out-of-home Tea Market by Product Type, Packaging, Utility, Certification, End-user

List of Tables

[195 Pages Report] The Out-of-home Tea Market size was estimated at USD 43.29 billion in 2023 and expected to reach USD 45.41 billion in 2024, at a CAGR 5.73% to reach USD 63.95 billion by 2030.

The out-of-home tea includes tea-based beverages served in locations and establishments beyond individual households. This includes tea served at cafes, restaurants, hotels, offices, events, serve-yourself stations in supermarkets or gas stations, and various other venues where tea is consumed by individuals away from their homes. Increasing health consciousness among consumers preferring healthier beverage choices and rising disposable incomes allowing for indulgence in premium experiences at specialty cafes is driving the demand for out-of-home tea. Growing appreciation for diverse cultural cuisines, with tea becoming a popular choice for social gatherings and relaxation, is expanding the demand for out-of-home tea. Rising variability in raw material prices due to unpredictable weather patterns affecting crop yields is hampering market growth. The rising introduction of rare and exotic teas with diverse flavors by market vendors is expected to create opportunities for market growth. The ongoing collaboration activities by market vendors with popular local or international brands to offer exclusive products or promotions and the rising adoption of environmentally-conscious practices such as sustainable packaging solutions and ethically sourced ingredients are anticipated to expand the scope of the market.

KEY MARKET STATISTICS
Base Year [2023]	USD 43.29 billion
Estimated Year [2024]	USD 45.41 billion
Forecast Year [2030]	USD 63.95 billion
CAGR (%)	5.73%

Product Type: Growing demand for green tea due to its health benefits

Black tea is a widely consumed tea variety globally due to its strong flavor profile and versatility in blends. It is generally associated with energy-boosting effects, owing to its higher caffeine content as compared to other tea types. Green tea has become popular in recent years due to its health benefits, such as antioxidative properties and improved metabolism. It appeals particularly to health-conscious consumers preferring a milder taste compared to black tea. Green tea comes in various forms, including matcha powder, sencha leaves, and flavored varieties infused with fruits or herbs. Herbal tea refers to beverages made from the infusion of herbs, fruits, and spices that do not contain tea leaves. As they are naturally caffeine-free, these teas cater to consumers with specific dietary restrictions or those seeking relaxation and stress relief. Herbal tea encompasses a wide range of flavors and benefits, such as chamomile for sleep aid, ginger for digestion, and hibiscus for blood pressure support.

End-User: Expanding usage of Out of Home tea across tea stalls & cafe and hotels & restaurants

In the hotels and restaurants segment, consumers expect high-quality tea offerings that align with the establishment's overall ambiance and service standards. Premium blends are often sought after in this sector, along with an assortment of flavors to cater to varying tastes. Tea consumption in offices and institutions revolves around convenience and efficiency while maintaining taste consistency. The preference leans toward easy-to-prepare options such as tea bags or sachets instead of loose-leaf tea. The tea stalls and cafe's segment is characterized by the need to serve diverse customer preferences while maintaining cost-effectiveness.

Packaging: Growing utilization of sustainable materials in tea bags

Bottled tea caters to consumers seeking convenience, portability, and variety in flavors. It is an ideal choice for on-the-go consumption as it offers a ready-to-drink (RTD) format with resealable caps. Canned tea is another popular RTD option that stands out for its longer shelf life than bottled tea due to aluminum's effectiveness in preserving freshness and preventing light-induced degradation. Tea pouches provide an alternative for consumers who prefer the experience of brewing their tea while ensuring ease of use and minimal mess. This segment often appeals to eco-conscious customers due to its reduced packaging waste compared to other formats. The most traditional format in the out-of-home tea market is tea bags, which offer consumers familiarity and control over the brewing process while being portable and easy to store. The various packaging segments cater to distinct consumer preferences and occasions. Bottled and canned teas dominate the RTD market due to convenience factors, making them popular for busy or on-the-go individuals. On the other hand, tea pouches and tea bags attract those who enjoy personalized brewing experiences with enhanced environmental benefits. Recent trends reveal growing demand for innovative flavors, functional ingredients, eco-friendly packaging solutions, and sustainable sourcing practices, creating market expansion and differentiation opportunities among manufacturers. Other forms of packaging, including tea pods, have also gained considerable popularity in recent years as manufacturers explore new packaging solutions to attract consumers.

Utility: Increasing consumer inclination towards ready-to-drink tea options with new flavors

Loose leaf tea remains a popular choice for consumers who prioritize quality, flavor variety, and an authentic tea experience. Loose leaf teas are typically consumed at specialty tea shops or premium cafes, which offer an array of options that cater to diverse personal preferences in taste, aroma, and health benefits. The need-based preference for this segment revolves around consumers seeking a more environmentally friendly packaging option compared to teabags, often containing microplastics. Ready-to-drink tea continues to gain traction as it serves the need-based preference for convenience and on-the-go consumption. RTD tea appeals to consumers who want a refreshing beverage without the hassle of brewing loose leaves or steeping tea bags. Emerging trends in this segment include functional teas that incorporate ingredients with perceived health benefits, such as probiotics and antioxidants, as well as low-sugar and organic offerings.

Certification: Proliferating consumption and production of organic out-of-home tea with increasing consumer awareness

Conventional out-of-home tea refers to non-organic tea products widely consumed in cafes, hotels, restaurants, and other outdoor establishments. The primary need-based preference for this category is affordability and familiarity since these teas have been part of the market for a long time. Organic out-of-home tea comprises environmentally friendly products made from sustainably sourced ingredients without synthetic pesticides or fertilizers. The need-based preference for organic tea revolves around health-conscious consumers prioritizing environmental sustainability and chemical-free beverages over cost. Conventional and organic teas serve different demographics with distinct preferences in the out-of-home market. While conventional teas dominate most spaces due to their affordability and familiarity, organic teas cater to an increasingly health-conscious and eco-friendly consumer base. The two segments differ in pricing, with conventional tea products typically less expensive than organic options. From a manufacturers' perspective, the organic out-of-home tea market has grown significantly over recent years due to consumers' rising awareness of environmental issues and demand for sustainable solutions. This trend has encouraged specialized organic tea companies and conventional players to expand their product lines and adopt more environmentally friendly practices.

Regional Insights

Consumer preferences are shifting toward healthier choices, and the high adoption of tea in various nations, such as the U.S., UK, Germany, China, Japan, and India, is significantly contributing to the growth of the out-of-home tea market. Furthermore, the U.S. is a technologically advanced country with advanced production facilities, including high-speed tea bagging machines, automation, and robotics to drive the production efficiency of out-of-home tea, subsequently expanding the market scope. Furthermore, worldwide, China produces 40% of the tea, approximately 2.4 million tonnes, and most tea is cultivated in Yunnan, Guangdong, and Zhejiang areas. Additionally, in Asian countries, including India, Sri Lanka, and Vietnam, the tea market is huge, with a significant number of tea gardens distributed across the country, further creating opportunities for the market to grow across this region. In the European Union (EU) countries, the out-of-home tea sector is fueled by growing interest in unique flavors and wellness attributes. Countries, including the United Kingdom, are witnessing an increase in specialty tea lounges and cafes that cater to these preferences.

FPNV Positioning Matrix

The FPNV Positioning Matrix is pivotal in evaluating the Out-of-home Tea Market. It offers a comprehensive assessment of vendors, examining key metrics related to Business Strategy and Product Satisfaction. This in-depth analysis empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success: Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis

The Market Share Analysis is a comprehensive tool that provides an insightful and in-depth examination of the current state of vendors in the Out-of-home Tea Market. By meticulously comparing and analyzing vendor contributions in terms of overall revenue, customer base, and other key metrics, we can offer companies a greater understanding of their performance and the challenges they face when competing for market share. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With this expanded level of detail, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Key Company Profiles

The report delves into recent significant developments in the Out-of-home Tea Market, highlighting leading vendors and their innovative profiles. These include Apeejay Surrendra Group, Asahi Group Holdings, Ltd., Associated British Foods PLC, Barry's Tea, Betjeman and Barton, Bettys & Taylors Group Limited, Bigelow Tea, Ceylon Tea, Dabur India Limited, DavidsTea Inc., Dilmah Ceylon Tea Company PLC by MJF Exports (Pvt) Limited, Fauchon SAS, Godrej & Boyce Manufacturing Company Limited, Guangzhou Runming Food Technology Co., Ltd, Harney & Sons Fine Tea, ITO EN LTD., Jacobs Douwe Egberts B.V., Julius Meinl Industrieholding GmbH, Kirin Holdings Company, Limited, Kusmi Tea by Orientis Gourmet SAS, Lipton Teas and Infusions, Marvel Tea, Nerada Tea Pty Ltd., Nestle S.A., Numi, Inc., Organic India Pvt. Ltd., Palais des Thes, PepsiCo, Inc., Sancha Tea, Sapat International Pvt. Ltd., Sapporo Holdings Limited, Sugimoto Seicha Usa, Inc., Suntory Holdings Limited, Tata Consumer Products Limited, Tea of Life, Teaxpress, TenFu's Tea, The Coca-Cola Company, The Daintree Tea Company, The Hain Celestial Group, Inc., The Republic of Tea, Inc., Unilever PLC, Vahdam Teas Private Limited, and Williamson Magor & Co. Limited.

Market Segmentation & Coverage

This research report categorizes the Out-of-home Tea Market to forecast the revenues and analyze trends in each of the following sub-markets:

Product Type
- Black Tea
- Green Tea
- Herbal Tea

Packaging
- Bottled Tea
- Canned Tea
- Pouches
- Tea Bags

Utility
- Loose Leaf Tea
- Ready-to-Drink

Certification
- Conventional
- Organic

End-user
- Hotels & Restaurants
- Offices & Institutions
- Tea Stalls & Cafe's

Region
- Americas
  - Argentina
  - Brazil
  - Canada
  - Mexico
  - United States
    - California
    - Florida
    - Illinois
    - New York
    - Ohio
    - Pennsylvania
    - Texas
- Asia-Pacific
  - Australia
  - China
  - India
  - Indonesia
  - Japan
  - Malaysia
  - Philippines
  - Singapore
  - South Korea
  - Taiwan
  - Thailand
  - Vietnam

Europe, Middle East & Africa
- Denmark
- Egypt
- Finland
- France
- Germany
- Israel
- Italy
- Netherlands
- Nigeria
- Norway
- Poland
- Qatar
- Russia
- Saudi Arabia
- South Africa
- Spain
- Sweden
- Switzerland
- Turkey
- United Arab Emirates
- United Kingdom

The report offers valuable insights on the following aspects:

1. Market Penetration: It presents comprehensive information on the market provided by key players.

2. Market Development: It delves deep into lucrative emerging markets and analyzes the penetration across mature market segments.

3. Market Diversification: It provides detailed information on new product launches, untapped geographic regions, recent developments, and investments.

4. Competitive Assessment & Intelligence: It conducts an exhaustive assessment of market shares, strategies, products, certifications, regulatory approvals, patent landscape, and manufacturing capabilities of the leading players.

5. Product Development & Innovation: It offers intelligent insights on future technologies, R&D activities, and breakthrough product developments.

The report addresses key questions such as:

1. What is the market size and forecast of the Out-of-home Tea Market?

2. Which products, segments, applications, and areas should one consider investing in over the forecast period in the Out-of-home Tea Market?

3. What are the technology trends and regulatory frameworks in the Out-of-home Tea Market?

4. What is the market share of the leading vendors in the Out-of-home Tea Market?

5. Which modes and strategic moves are suitable for entering the Out-of-home Tea Market?

Product Code: MRR-036C5CF3B4E9

1. Preface

1.1. Objectives of the Study
1.2. Market Segmentation & Coverage
1.3. Years Considered for the Study
1.4. Currency & Pricing
1.5. Language
1.6. Stakeholders

2. Research Methodology

2.1. Define: Research Objective
2.2. Determine: Research Design
2.3. Prepare: Research Instrument
2.4. Collect: Data Source
2.5. Analyze: Data Interpretation
2.6. Formulate: Data Verification
2.7. Publish: Research Report
2.8. Repeat: Report Update

3. Executive Summary

4. Market Overview

5. Market Insights

5.1. Market Dynamics
- 5.1.1. Drivers
  - 5.1.1.1. Increase in awareness about the health benefits associated with tea
  - 5.1.1.2. High availability across cafes, online & offline retail stores, and food outlets
- 5.1.2. Restraints
  - 5.1.2.1. Fluctuating cost of raw materials used in making of out-of-home tea
- 5.1.3. Opportunities
  - 5.1.3.1. Introduction of novel and advanced flavors in the out-of-home tea
  - 5.1.3.2. Improvements in the packaging and increasing rate of certifications of products
- 5.1.4. Challenges
  - 5.1.4.1. Contamination and quality issues with out-of-home tea
5.2. Market Segmentation Analysis
- 5.2.1. Product Type: Growing demand for green tea due to its health benefits
- 5.2.2. End-User: Expanding usage of Out of Home tea across tea stalls & cafe and hotels & restaurants
- 5.2.3. Packaging: Growing utilization of sustainable materials in tea bags
- 5.2.4. Utility: Increasing consumer inclination towards ready-to-drink tea options with new flavors
- 5.2.5. Certification: Proliferating consumption and production of organic out-of-home tea with increasing consumer awareness
5.3. Market Trend Analysis
- 5.3.1. Increasing consumer preferences for healthier beverage options along with the emergence of innovative packaging designs
- 5.3.2. Robust production capabilities coupled with high consumption of tea due to socio-cultural environment in APAC region
- 5.3.3. Increasing number of consumers seeking a premium tea experience outside their homes in the EMEA region
5.4. Cumulative Impact of Russia-Ukraine Conflict
5.5. Cumulative Impact of High Inflation
5.6. Porter's Five Forces Analysis
- 5.6.1. Threat of New Entrants
- 5.6.2. Threat of Substitutes
- 5.6.3. Bargaining Power of Customers
- 5.6.4. Bargaining Power of Suppliers
- 5.6.5. Industry Rivalry
5.7. Value Chain & Critical Path Analysis
5.8. Regulatory Framework Analysis
5.9. Client Customization
- 5.9.1. Annual Statistics on Tea Consumption 2019-2023
- 5.9.2. Annual Statistics on Out-of-home Tea Consumption 2019-2023

6. Out-of-home Tea Market, by Product Type

6.1. Introduction
6.2. Black Tea
6.3. Green Tea
6.4. Herbal Tea

7. Out-of-home Tea Market, by Packaging

7.1. Introduction
7.2. Bottled Tea
7.3. Canned Tea
7.4. Pouches
7.5. Tea Bags

8. Out-of-home Tea Market, by Utility

8.1. Introduction
8.2. Loose Leaf Tea
8.3. Ready-to-Drink

9. Out-of-home Tea Market, by Certification

9.1. Introduction
9.2. Conventional
9.3. Organic

10. Out-of-home Tea Market, by End-user

10.1. Introduction
10.2. Hotels & Restaurants
10.3. Offices & Institutions
10.4. Tea Stalls & Cafe's

11. Americas Out-of-home Tea Market

11.1. Introduction
11.2. Argentina
11.3. Brazil
11.4. Canada
11.5. Mexico
11.6. United States

12. Asia-Pacific Out-of-home Tea Market

12.1. Introduction
12.2. Australia
12.3. China
12.4. India
12.5. Indonesia
12.6. Japan
12.7. Malaysia
12.8. Philippines
12.9. Singapore
12.10. South Korea
12.11. Taiwan
12.12. Thailand
12.13. Vietnam

13. Europe, Middle East & Africa Out-of-home Tea Market

13.1. Introduction
13.2. Denmark
13.3. Egypt
13.4. Finland
13.5. France
13.6. Germany
13.7. Israel
13.8. Italy
13.9. Netherlands
13.10. Nigeria
13.11. Norway
13.12. Poland
13.13. Qatar
13.14. Russia
13.15. Saudi Arabia
13.16. South Africa
13.17. Spain
13.18. Sweden
13.19. Switzerland
13.20. Turkey
13.21. United Arab Emirates
13.22. United Kingdom

14. Competitive Landscape

14.1. Market Share Analysis, 2023
14.2. FPNV Positioning Matrix, 2023
14.3. Competitive Scenario Analysis
- 14.3.1. Tata Tea Chakra Gold Launches Gold Premium Leaf Tea in AP and Telangana Market
- 14.3.2. What's Hitting the Shelves? New Beverage Launches
- 14.3.3. Vahdam India Launches Refreshing Iced Tea Line to Delight Consumers
- 14.3.4. Nestle Everyday and Tata Tea Kanan Devan partner for the Perfect Cup of Tea
- 14.3.5. DAVIDsTEA Expands Tea Bar Rollout on a National Scale
- 14.3.6. Bigelow Tea Introduces Three New Teas: Peak Energy(TM) Black Tea Plus Extra L-Theanine & Caffeine, Whispering Wildflowers(TM) Herbal Tea Plus L-Theanine, Ginger Honey Herbal Tea Plus Zinc
- 14.3.7. Javo Beverage Launches New All-NaturalL Functional Energy Lemonades And Flavored Iced Teas For Foodservice Operators To Meet Consumer Interest, Drive Beverages Sales
- 14.3.8. JDE Peet's to combine its Out-Of-Home and CPG Europe segments
- 14.3.9. Asahi Launches First New Tea Brand in 32 Years
- 14.3.10. Julius Meinl Acquires Three Distributors to Strengthen its U.S. Business

15. Competitive Portfolio

15.1. Key Company Profiles
15.2. Key Product Portfolio