Asia-Pacific Ready to Drink Coffee - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2024 - 2030)
The Asia-Pacific Ready to Drink Coffee Market size is estimated at 15.24 billion USD in 2024, and is expected to reach 20.59 billion USD by 2030, growing at a CAGR of 5.14% during the forecast period (2024-2030).
Vietnam and Indonesia, as dominant coffee producers, are driving the growth of the market
Asia-Pacific continues to be one of the major regions with the highest growth in the global demand for RTD coffee products. From 2019 to 2023, Asia-Pacific witnessed a robust 18.7% growth in the value of its RTD coffee market. This surge can be attributed, in part, to the shifting preferences of Asian consumers, who are increasingly favoring RTD coffee over sugary carbonated drinks. RTD coffee has now become a go-to choice for Asians, spanning from lattes to nitro cold brews. Notably, Asia accounts for over a third of global coffee production, with Vietnam and Indonesia ranking among the top five coffee producers as of 2023, further fueling the demand for RTD coffee.
RTD iced coffee dominates the market. It accounted for a value growth of 11.2% from 2021 to 2023. In 2023, Japan, China, and South Korea collectively commanded an 80% value share in the RTD iced coffee sales. The surge in health and wellness trends has been a key driver for the growth of the iced coffee segment. Manufacturers are actively differentiating their offerings, infusing nutrients like vitamins, minerals, antioxidants, ginseng, and taurine.
Cold brew coffee is the second-largest RTD coffee segment in Asia-Pacific. It is projected to register a CAGR of 6.32% by value during 2024-2030. As the preferences of the younger generation, especially Gen Z, shift toward RTD coffee over traditional hot brews, a robust RTD coffee strategy is expected to be a smart move for manufacturers in the region. In 2022, approximately 45-50% of Gen Z consumers in Indonesia adopted cold brew coffee in their routines.
The shift toward convenient and on-the-go consumption with the influence of busy lifestyles drives market growth
The RTD coffee market in Asia-Pacific registered a CAGR of 2.16% in terms of volume during 2018-2023. Consumer shift toward convenient and on-the-go consumption with the influence of rapid urbanization and busy lifestyles is driving the market growth in Asia-Pacific. Japan is leading in RTD coffee consumption in the region, followed by China and South Korea. The prevalent coffee culture is identified as the key market driver in Japan. As the fifth largest importer of coffee and coffee products globally, Japan consumed around 433 million tons of coffee in 2021.
China and South Korea collectively accounted for a 23.76% share of the region's overall RTD coffee market in 2023 in terms of volume. In China, the market is estimated to register a CAGR of 9.83% in terms of value during 2023-2030. The market growth can be attributed to the ongoing development of coffee drinking culture, which influences the consumer preference for RTD coffee. The average coffee consumer in China tends to reside in first-tier cities, between the ages of 20 and 40, with higher education and income levels, consuming between two to three cups of coffee per week.
Vietnam and India are identified as the fastest-growing markets, with an anticipated volume CAGR of 16.10% and 12.16%, respectively, from 2024 to 2030. Evolving lifestyles with the influence of ongoing urbanization, smart city developments, and social media are driving the popularity of RTD coffee among Indian consumers. Presently, the country holds fewer brands compared to other Asian countries. However, tier-1 companies such as Tata Consumer Product and Nestle are foraying into the segment to tap the potential consumer base.
Asia-Pacific Ready to Drink Coffee Market Trends
Consumers are increasingly seeking convenient and portable beverage options to fit their busy lifestyles, thereby driving segment sales
Majorly younger consumers in the region have demonstrated a love of coffee that has driven the industry’s growth in a region known to be dominated by tea culture.
The RTD coffee market is dominated by industry giants, which possess strong brand awareness among young consumers. In 2022, Starbucks, in particular, stood out in terms of brand awareness followed by Nestle.
Compared to other countries in the region, China is slowly becoming a coffee-drinking nation, as consumption is growing at an incredible 15% annually, as opposed to the global rate of 2.2%.
The demand for RTD coffee products is gaining traction among consumers. Consumers in the Asia-Pacific region prefer coffee over tea as it appeals to young and urban consumers.
Asia-Pacific Ready to Drink Coffee Industry Overview
The Asia-Pacific Ready to Drink Coffee Market is moderately consolidated, with the top five companies occupying 41%. The major players in this market are Kirin Holdings Company, Limited, Lotte Chilsung Beverage Co., Ltd., Nestle S.A., Suntory Holdings Limited and UCC Holdings Co., Ltd. (sorted alphabetically).
Additional Benefits:
The market estimate (ME) sheet in Excel format
3 months of analyst support
Vietnam and Indonesia, as dominant coffee producers, are driving the growth of the market
Asia-Pacific continues to be one of the major regions with the highest growth in the global demand for RTD coffee products. From 2019 to 2023, Asia-Pacific witnessed a robust 18.7% growth in the value of its RTD coffee market. This surge can be attributed, in part, to the shifting preferences of Asian consumers, who are increasingly favoring RTD coffee over sugary carbonated drinks. RTD coffee has now become a go-to choice for Asians, spanning from lattes to nitro cold brews. Notably, Asia accounts for over a third of global coffee production, with Vietnam and Indonesia ranking among the top five coffee producers as of 2023, further fueling the demand for RTD coffee.
RTD iced coffee dominates the market. It accounted for a value growth of 11.2% from 2021 to 2023. In 2023, Japan, China, and South Korea collectively commanded an 80% value share in the RTD iced coffee sales. The surge in health and wellness trends has been a key driver for the growth of the iced coffee segment. Manufacturers are actively differentiating their offerings, infusing nutrients like vitamins, minerals, antioxidants, ginseng, and taurine.
Cold brew coffee is the second-largest RTD coffee segment in Asia-Pacific. It is projected to register a CAGR of 6.32% by value during 2024-2030. As the preferences of the younger generation, especially Gen Z, shift toward RTD coffee over traditional hot brews, a robust RTD coffee strategy is expected to be a smart move for manufacturers in the region. In 2022, approximately 45-50% of Gen Z consumers in Indonesia adopted cold brew coffee in their routines.
The shift toward convenient and on-the-go consumption with the influence of busy lifestyles drives market growth
The RTD coffee market in Asia-Pacific registered a CAGR of 2.16% in terms of volume during 2018-2023. Consumer shift toward convenient and on-the-go consumption with the influence of rapid urbanization and busy lifestyles is driving the market growth in Asia-Pacific. Japan is leading in RTD coffee consumption in the region, followed by China and South Korea. The prevalent coffee culture is identified as the key market driver in Japan. As the fifth largest importer of coffee and coffee products globally, Japan consumed around 433 million tons of coffee in 2021.
China and South Korea collectively accounted for a 23.76% share of the region's overall RTD coffee market in 2023 in terms of volume. In China, the market is estimated to register a CAGR of 9.83% in terms of value during 2023-2030. The market growth can be attributed to the ongoing development of coffee drinking culture, which influences the consumer preference for RTD coffee. The average coffee consumer in China tends to reside in first-tier cities, between the ages of 20 and 40, with higher education and income levels, consuming between two to three cups of coffee per week.
Vietnam and India are identified as the fastest-growing markets, with an anticipated volume CAGR of 16.10% and 12.16%, respectively, from 2024 to 2030. Evolving lifestyles with the influence of ongoing urbanization, smart city developments, and social media are driving the popularity of RTD coffee among Indian consumers. Presently, the country holds fewer brands compared to other Asian countries. However, tier-1 companies such as Tata Consumer Product and Nestle are foraying into the segment to tap the potential consumer base.
Asia-Pacific Ready to Drink Coffee Market Trends
Consumers are increasingly seeking convenient and portable beverage options to fit their busy lifestyles, thereby driving segment sales
Majorly younger consumers in the region have demonstrated a love of coffee that has driven the industry’s growth in a region known to be dominated by tea culture.
The RTD coffee market is dominated by industry giants, which possess strong brand awareness among young consumers. In 2022, Starbucks, in particular, stood out in terms of brand awareness followed by Nestle.
Compared to other countries in the region, China is slowly becoming a coffee-drinking nation, as consumption is growing at an incredible 15% annually, as opposed to the global rate of 2.2%.
The demand for RTD coffee products is gaining traction among consumers. Consumers in the Asia-Pacific region prefer coffee over tea as it appeals to young and urban consumers.
Asia-Pacific Ready to Drink Coffee Industry Overview
The Asia-Pacific Ready to Drink Coffee Market is moderately consolidated, with the top five companies occupying 41%. The major players in this market are Kirin Holdings Company, Limited, Lotte Chilsung Beverage Co., Ltd., Nestle S.A., Suntory Holdings Limited and UCC Holdings Co., Ltd. (sorted alphabetically).
Additional Benefits:
The market estimate (ME) sheet in Excel format
3 months of analyst support
1 EXECUTIVE SUMMARY & KEY FINDINGS
2 REPORT OFFERS
3 INTRODUCTION
3.1 Study Assumptions & Market Definition
3.2 Scope of the Study?
3.3 Research Methodology
4 KEY INDUSTRY TRENDS
4.1 Consumer Buying Behaviour
4.2 Innovations
4.3 Brand Share Analysis
4.4 Regulatory Framework
5 MARKET SEGMENTATION (INCLUDES MARKET SIZE IN VALUE IN USD AND VOLUME, FORECASTS UP TO 2030 AND ANALYSIS OF GROWTH PROSPECTS)
5.1 Soft Drink Type
5.1.1 Cold Brew Coffee
5.1.2 Iced coffee
5.1.3 Other RTD Coffee
5.2 Packaging Type
5.2.1 Aseptic packages
5.2.2 Glass Bottles
5.2.3 Metal Can
5.2.4 PET Bottles
5.3 Distribution Channel
5.3.1 Off-trade
5.3.1.1 Convenience Stores
5.3.1.2 Online Retail
5.3.1.3 Specialty Stores
5.3.1.4 Supermarket/Hypermarket
5.3.1.5 Others
5.3.2 On-trade
5.4 Country
5.4.1 Australia
5.4.2 China
5.4.3 India
5.4.4 Indonesia
5.4.5 Japan
5.4.6 Malaysia
5.4.7 South Korea
5.4.8 Thailand
5.4.9 Vietnam
5.4.10 Rest of Asia-Pacific
6 COMPETITIVE LANDSCAPE
6.1 Key Strategic Moves
6.2 Market Share Analysis
6.3 Company Landscape
6.4 Company Profiles
6.4.1 Asahi Group Holdings, Ltd.
6.4.2 Bega Group
6.4.3 DyDo Group Holdings,Inc.
6.4.4 Gujarat Cooperative Milk Marketing Federation Limited
6.4.5 Japan Sangaria Beverage Co., Ltd.
6.4.6 Keurig Dr Pepper, Inc.
6.4.7 Kirin Holdings Company, Limited
6.4.8 Lotte Chilsung Beverage Co., Ltd.
6.4.9 Nestle S.A.
6.4.10 Suntory Holdings Limited
6.4.11 The Coca-Cola Company
6.4.12 UCC Holdings Co., Ltd.
6.4.13 Unilever PLC
7 KEY STRATEGIC QUESTIONS FOR SOFT DRINK CEOS
8 APPENDIX
8.1 Global Overview
8.1.1 Overview
8.1.2 Porter’s Five Forces Framework
8.1.3 Market Dynamics (DROs)
8.2 Sources & References
8.3 List of Tables & Figures
8.4 Primary Insights
8.5 Data Pack
8.6 Glossary of Terms
2 REPORT OFFERS
3 INTRODUCTION
3.1 Study Assumptions & Market Definition
3.2 Scope of the Study?
3.3 Research Methodology
4 KEY INDUSTRY TRENDS
4.1 Consumer Buying Behaviour
4.2 Innovations
4.3 Brand Share Analysis
4.4 Regulatory Framework
5 MARKET SEGMENTATION (INCLUDES MARKET SIZE IN VALUE IN USD AND VOLUME, FORECASTS UP TO 2030 AND ANALYSIS OF GROWTH PROSPECTS)
5.1 Soft Drink Type
5.1.1 Cold Brew Coffee
5.1.2 Iced coffee
5.1.3 Other RTD Coffee
5.2 Packaging Type
5.2.1 Aseptic packages
5.2.2 Glass Bottles
5.2.3 Metal Can
5.2.4 PET Bottles
5.3 Distribution Channel
5.3.1 Off-trade
5.3.1.1 Convenience Stores
5.3.1.2 Online Retail
5.3.1.3 Specialty Stores
5.3.1.4 Supermarket/Hypermarket
5.3.1.5 Others
5.3.2 On-trade
5.4 Country
5.4.1 Australia
5.4.2 China
5.4.3 India
5.4.4 Indonesia
5.4.5 Japan
5.4.6 Malaysia
5.4.7 South Korea
5.4.8 Thailand
5.4.9 Vietnam
5.4.10 Rest of Asia-Pacific
6 COMPETITIVE LANDSCAPE
6.1 Key Strategic Moves
6.2 Market Share Analysis
6.3 Company Landscape
6.4 Company Profiles
6.4.1 Asahi Group Holdings, Ltd.
6.4.2 Bega Group
6.4.3 DyDo Group Holdings,Inc.
6.4.4 Gujarat Cooperative Milk Marketing Federation Limited
6.4.5 Japan Sangaria Beverage Co., Ltd.
6.4.6 Keurig Dr Pepper, Inc.
6.4.7 Kirin Holdings Company, Limited
6.4.8 Lotte Chilsung Beverage Co., Ltd.
6.4.9 Nestle S.A.
6.4.10 Suntory Holdings Limited
6.4.11 The Coca-Cola Company
6.4.12 UCC Holdings Co., Ltd.
6.4.13 Unilever PLC
7 KEY STRATEGIC QUESTIONS FOR SOFT DRINK CEOS
8 APPENDIX
8.1 Global Overview
8.1.1 Overview
8.1.2 Porter’s Five Forces Framework
8.1.3 Market Dynamics (DROs)
8.2 Sources & References
8.3 List of Tables & Figures
8.4 Primary Insights
8.5 Data Pack
8.6 Glossary of Terms
