Tea is the most consumed beverage after water. According to a report published by Zion Market Research (https://www.zionmarketresearch.com/), the global tea market was valued at around USD 49,456.52 million in 2017 and is expected to reach approximately USD 73,132.82 million by 2024, growing at a CAGR of around 4.5% between 2018 and 2024.

The global tea market is projected to exhibit significant growth within the forecast period. The market is mainly driven by the growing tea beverage industry. Increasing consumption of tea owing to its health benefits, growing number of restaurants serving tea, availability of flavored tea beverages, and growing tea consuming population are the key factors projected to fuel the global tea market growth during the forecast period.

Based on the type, the market is divided into oolong tea, black tea, herbal tea, green tea, and others. In terms of revenue, the black tea segment accounted for the largest market share in 2017. This is mainly due to the highest production and continuous developments. Green tea segment is anticipated to grow at the highest CAGR during the forecast period, owing to its increasing adoption. Based on application, the market is segmented into household and commercial. Commercial segment is anticipated to grow rapidly over the forecast period owing to increasing industrialization, rising number of hotels and restaurants, and increasing penetration of specialty tea cafés. Based on packaging, the market is segmented into a plastic container, loose tea packets, tea bags, and aluminum tins. Tea bag segment is the fastest growing segment with a considerable market share in 2017. Based on the distribution channel, the market is segmented into a specialty store, supermarket/hypermarket, online retail, and convenience store. Supermarket/hypermarket segment is the most popular distribution channel for tea products.

Asia Pacific

The Asia Pacific is anticipated to lead the global tea market in terms of revenue. Tea has been the most common and popular beverage consumed in various economies such as Japan, Thailand, Australia, China, Hong Kong, Singapore, and India. Growing food and beverage industry coupled with the innovations in the flavor and packaging is driving the global tea market. Increasing the number of tea houses especially outside offices is likely to affect the global tea market positively. Acceptance of tea as a functional beverage is expected to increase the demand for tea in the region. In addition, the culture of offering tea as a welcome drink at home is the main factor driving the tea market growth in the region. In addition, increasing disposable income, changing standard of living, industrialization, increasing brand awareness, and extensive marketing strategies are expected to fuel the tea demand in the region which is affecting the global tea market positively.

North America

North America is another prominent regional market after the Asia Pacific. The market is chiefly growing due to the shift of consumers from carbonated soft drinks to tea. This shift is driven by health benefits associated with tea. Increased demand for ready to drink beverages has fueled the tea market growth in the region. Increasing tea drinker base in regions like Canada is boosting the tea market in the region. Northeast and south region of America are prominent tea consumers. Increasing consumption of premium and luxury tea by prosperous class is expected to boost the tea demand in the region which is affecting the global tea market positively. In addition, increasing chain of premium tea shops & food services in developed countries such as the U.S. is expected to fuel the tea market in the years to come.

Europe 

Europe is anticipated to show significant growth in the tea market. Poland and west European countries have a strong tea tradition and the largest tea markets in the region. European tea market is mainly driven by high-quality specialty teas preference by rich class. In addition, increasing demand for flavored & premium tea, green tea, herbal/fruit tea, owing to health benefits offered by them is affecting the European tea market positively. Health continues to be a key trend driving the consumer decision to buy tea in Europe. European consumers prefer drinking a cup of high-quality tea rather than drinking pots of tea. Increasing the willingness of consumers to spend more on tea they drink has resulted in the premiumization of the tea market in the region which is expected to grow the global tea market growth.

Africa & Middle East 

The Middle East and Africa are expected to show considerable growth during the forecast period. The tradition of mint tea in the region of North Africa and the heavy consumption of black tea is driving the growth of the tea market in the region. Increasing demand for hot beverages and increasing awareness regarding health benefits of tea is driving the tea market in the region. In regions such as South Africa, tea is preferred multiple times in a day. Moreover, increasing launch of various innovative products is affecting the Middle East and Africa tea market positively. For instance, in January 2018, The Republic of Tea had launched Women of Tea to improve hygiene, nutrition, and literacy about diet habits. Moreover, the launch of Peter’s Garden Tea by The Republic of Tea and four new launches by Natalie’s Orchid Island Juice Company emphasizing spicy, ginger, lemon, and fruit flavors are expected to boost the tea market in the region.

Some of the key players have been focusing on merger and collaboration with tea vendors, research & development, nutritional advancement, maintaining the quality of the product, and packaging and pricing strategy in order to hold their ascendancy in the market. Some of the key players are Ting Hsin International Group, The Coca-Cola Company, PepsiCo Inc., Suntory Holdings Ltd., Sapporo Beverage Co., Ltd., Nestle S.A., Starbucks Corporation, Arizona Beverage Company, Asahi Group Holdings, Unilever NV., Danone SA, Uni-President Enterprises, Hangzhou Wahaha International Group Co. Ltd., Monster Beverage Corporation, and others.

References

1. Original Post: https://globenewswire.com/news-release/2018/08/08/1549020/0/en/Global-Tea-Market-Will-Reach-USD-49-456-52-Million-by-2024-Zion-Market-Research.html

2. https://www.zionmarketresearch.com/news/tea-market