Saudi Arabia RTD Tea & Coffee Market Overview, 2028

Saudi Arabia RTD Tea & Coffee Market Overview, 2028

Saudi Arabia has a very strong tea culture. Tea is consumed not just in the morning but after every meal. Tea is drunk after breakfast, lunch, and dinner. People enjoy drinking many cups of tea that make them feel refreshed. There are various types of tea that people enjoy here. Apart from enjoying the tea, they love to offer tea to others. Ready-to-drink tea offers convenience to individuals who may not have the time or resources to prepare tea from scratch. It eliminates the need for brewing tea leaves or preparing tea bags, making it a quick and hassle-free option. In a country with a hot climate like Saudi Arabia, ready-to-drink tea allows individuals to enjoy a refreshing cold beverage without the need for additional ice or cooling. It provides a convenient way to quench thirst and stay hydrated. Serving dates alongside tea or Arabic coffee is a common practise in Saudi Arabia. Dates are considered a traditional accompaniment to these beverages and are often offered to guests as a symbol of generosity and hospitality. Saudi Arabia, tea is a popular drink that people prefer. The country imports more than 30,000 tons of tea annually, which shows its popularity.

According to the research report ""Saudi Arabia Ready-to-Drink Tea and Coffee Market Overview, 2028,"" published by Bonafide Research, the Saudi Arabia Ready-to-Drink Tea and Coffee market was valued at more than USD 128 Million in 2022. Saudi Arabian consumers are increasingly embracing ready-to-drink options as their preferences evolve. The demand for convenient, on-the-go beverages has grown, driven by busy work schedules, travel, and the need for portable refreshments. Rapid urbanisation and the modernization of Saudi Arabian society have influenced consumer habits. As people adapt to a more urban lifestyle, there is a greater demand for convenient products that fit into their busy routines. Saudi Arabia's hot climate encourages the consumption of refreshing beverages, making ready-to-drink tea and coffee an appealing choice for individuals seeking a cooling and energising drink. Based on the types, they include ready-to-drink coffee and tea. In Saudi Arabia, ready-to-drink tea has the highest market share, rather than coffee. Tea has a long-standing tradition in Saudi Arabian culture. It is deeply rooted in hospitality and is often served to guests as a gesture of warmth and welcome. The cultural significance of tea has contributed to its widespread consumption and popularity. Ready-to-drink Tea is available in a variety of flavours to suit various palates. It provides choices, including black tea, green tea, herbal tea, and other fruit-infused teas, so people can select their favourite flavour profile. There is an increasing need for better beverage options as people become more health-conscious. To appeal to consumers who are health-conscious, ready-to-drink tea and coffee businesses have responded to this trend by providing low-sugar, natural-ingredient, and organic options.

Based on the pricing range, there are regular prices, popular prices, premium prices, fountain prices, and super premium prices. In Saudi Arabia, the regular price segment is leading the market; in the future, the super-premium price segment will grow at the highest CAGR rate. Saudi Arabia has a high-income population, and the overall affluence of consumers is growing. As disposable incomes rise, there is an increasing willingness among consumers to indulge in premium and luxury products, including ready-to-drink tea and coffee. Super premium products often carry luxury or lifestyle branding, which appeals to affluent consumers. These products are positioned as offering a premium experience associated with elegance, sophistication, and exclusivity. The perceived value of these brands drives the willingness to pay a higher price. Based on the packaging segments, there are pet bottles, canned goods, glass bottles, and others (pouches, cartoons, and cups). In the country, pet bottles cover the highest share of ready-to-drink tea and coffee packaging.

The off-trade segment of the distribution channel is leading the market rather than the on-trade market; the off-trade market offers convenience to consumers by providing ready-to-drink tea and coffee products in various retail outlets, such as supermarkets, hypermarkets, convenience stores, and online platforms. Consumers can easily purchase these products and consume them at their convenience, whether at home, at work, or on the go. Consumer behaviour in Saudi Arabia, like in many other countries, has shifted towards home consumption and self-preparation of beverages. The off-trade market caters to this behaviour by offering ready-to-drink tea and coffee products that can be conveniently enjoyed at home or in other settings. Policies regarding ready-to-drink tea and coffee in Saudi Arabia, including The Saudi Food and Drug Authority (SFDA) is responsible for setting and enforcing food safety regulations. These regulations cover various aspects, including product quality, hygiene, labelling, and storage, ensuring that ready-to-drink tea and coffee products meet the required standards. Saudi Arabia places great importance on halal certification for food and beverages, including ready-to-drink tea and coffee. Companies producing and selling these products need to obtain halal certification from recognised authorities to comply with Islamic dietary laws. Start-ups in the Saudi Arabian food and beverage industry: Rawsha is a Saudi Arabian start-up that specialises in creating and delivering premium beverages, including ready-to-drink teas and coffees. They focus on using high-quality ingredients and innovative flavours to cater to consumer preferences.
 
Considered in this report
• Geography: Saudi Arabia
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028

Aspects covered in this report
• Saudi Arabia 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

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

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.