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Hot Beverage Market To Increase at Steady Growth Rate

Press Release   •   Jan 08, 2018 16:00 IST

Market Introduction:

Beverage sales are on rising and almost all segments in food & Beverage sector are experiencing an exponential growth rate along with a continuous change in consumer preferences. Rising demand for hot drinks in emerging countries coupled with the launch of new beverage variants has resulted in an increased demand for the global hot drinks during the forecast period. Hot beverages, such as, coffee, tea helps in elevating the mood of the consumers and increases their energy levels. Hot beverages have many health benefits such as coffee is known as the psychoactive substance because it contains a stimulant called caffeine. Hot beverage improves various aspects of brain function. This includes improved memory, & mood, rise in energy levels, and helps in improving general cognitive functions. Green tea, a type of hot beverage, aids in burning of body fats thus leading to the improved metabolic reaction of the body. Hot beverages help in improving physical performance of the consumers and can help in fighting depression. Taste, ingredients, convenience, and price represent the most influential factors that determine the demand for hot beverages.

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Hot Beverage Market: Segmentation:

Global hot beverage market can be segmented on the basis of product type, end use, nature, distribution channel, and geography.

On the basis of product type, hot beverage can be segmented into tea, coffee, milk, and others. Tea can be further segmented into masala tea, green tea, and others. Coffee accounts for more than half of the global hot beverage market.

On the basis of end use, hot beverage market is segmented into HoReCa, beverage industry and food industry. The beverage industry holds a maximum share of the market.

On the basis of nature, hot beverage can be segmented into organic and conventional. The consumption of organic beverage is increasing among the health-conscious population because it helps to maintain their healthy lifestyle.

Hot beverage market is further segmented on the basis of distribution channel into a direct and indirect channel. Indirect channel is further segmented into modern trade, specialty stores, convenience stores, commercial, hotels/restaurants/bars, online retailers, and other retailing formats

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Hot Beverage Market: Drivers, Restraints, and Trends

Increasing focus on health and wellness, rise of single pod coffee machines as the preferred at home alternative, rising popularity of on the go products, sensory experience and indulgent products, growing consumers interest in exotic flavors, the steady evolution of hot drinks customization and emergence of crossover and hybridized coffee and tea options is fueling the growth of hot beverage market. The increasing focus on health has led tea manufacturers to promote the benefits of antioxidants and flavonoids in the beverage. The preference for beverages with detox and de-stress benefits has also led to the emergence of specialist tea outlets. The immense popularity of instant coffee, particularly in developing nation, supported by the cost, convenience factors, and versatility localization, is also expected to offer lucrative growth opportunities. Too much consumption of coffee or tea can lead to isonomy and can even lead to formation carcinogens.

Hot beverage Market: Regional Outlook

Depending on the geographic regions global hot beverage market is segmented into five key regions: North America, Latin America, Europe, APAC, and MEA.

Europe is the leading consumer of the hot beverage and exports mostly to the American.

Asia Pacific Hot beverage market represents the largest market during the forecast period because consumers are expanding the population, burgeoning middle class, rising income levels, growing brand awareness and westernization represents key growth drivers in the region. The Middle East and Africa are also expected to grow during the forecast period.

The recent trend due to increasing urbanization and a growing middle-class population with disposable incomes will drive the market.

Hot beverage Market: Key Players

Key global market players producing hot beverage include Ajinomoto General Foods Inc., Hainan Haikou Lisheng Coffee & Foods Co Ltd, Tata Global Beverages, Celestial seasoning Inc, Costa Coffee, Starbucks, McDonald's, Caffe Nero, Tazo tea company and other.

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