More and more cafes are being opened in producing countries, promoting coffee consumption domestically.
These campaigns have been met with success in Brazil, India, Colombia, El Salvador and elsewhere.
Consumption in producing countries and emerging markets expected to continue to see faster growth than more traditional markets overall, despite the weaker economy. However, as the recession drags on some countries are particularly vulnerable to a slow down. The actual loss in bags is limited.
Educational programs and emphasis on health benefits helping to maintain demand.
Sports drinks target the active lifestyle consumer, promising hydration along with a myriad of flavors.
Behind North America, Asia Pacific is the second largest consumer of sports drinks, with over 70% of this volume generated by Japan and China alone.
Recent products are moving toward a sport-energy drink hybrid, capitalizing on the demand for energy drinks. These may include the same ingredients as traditional energy drinks, but also many natural components focused toward a healthy body.
These beverages continue to add multiple benefits to the consumer, packing various vitamins and minerals into every drink.
Tea becoming viewed as a smart and natural healthy drink option.
Many scientists are researching the various health benefits of tea, including reducing the risks of cancer.
Specialty teas are a quickly expanding subset of global tea consumption. Sales of specialty teas now outpace regular tea in countries like Canada.
The United States has seen a huge growth of the tea industry in the last 20 years. In the US, approximately 85% of tea is consumed as iced tea, a competitor more to sodas and waters than generally hot drinks such as coffee.
Source: Tea Association of Canada, Tea Association of the United States
Prices have surged as consumption growth has outpaced the increase in production by 3.4%.
In some developing markets like Russia, demand has shifted from more fashionable, expensive drinks to traditional, lower-quality tea.
In developed countries, gourmet tea has been an “affordable luxury” and sales have remained strong.
2,600 specialty tearooms in the U.S. and growing.
U.S. Tea Consumption Growing Estimated Wholesale Value of the US Tea Industry (billions of dollars) U.S. Tea sales expected to grow 20% by 2013 – Business Monitor International Source: Tea Association of the United States 1990 2008 Traditional Market $0.87 $1.95 R-T-D Market $0.20 $2.80 Foodservice Segment $0.50 $1.0 Specialty Segment $0.27 $1.1
Home brewing has become a growing industry, especially due to recent economic conditions.
Some home coffee pots imitate the single cup feeling by having many different flavors of coffee in single-serve brew capsules or pods. These usually brew in less than one minute per cup, faster than waiting in line at the local café.
Dozens of coffee and tea options for each system.
Pyramid teabags and powdered teas enjoying a resurgence.
U.S. Consumption Demographics Incidence of drinking RTD iced tea among teens, 2004-08 Source: Mintel 2004 2006 2008 45% 48% 51%
U.S. Consumption Demographics Coffee consumption compared to last year, by age, September 2009 Source: Mintel All 18-24 25-34 35-44 45-54 55-64 65+ More coffee than last year 17% 37% 29% 22% 11% 9% 5% Less coffee than last year 21% 34% 23% 17% 22% 23% 16% About the same as last year 61% 28% 48% 62% 67% 68% 79%
Coffee and Tea Prices Source: IMF Primary Commodity Prices Cents per kg/pound