Ready-to-Drink (RTD) Coffee & Tea - Iceland

The Ready-to-Drink (RTD) Coffee & Tea market in Iceland has been experiencing significant growth in recent years.

Customer preferences: In line with global trends, Icelandic consumers are increasingly seeking convenient and on-the-go beverage options. This has led to a growing demand for RTD coffee and tea products, which provide a quick and easy way to enjoy these beverages without the need for preparation or brewing. The convenience factor of RTD drinks is particularly appealing to busy urban dwellers and young professionals who are looking for a convenient caffeine fix during their busy day.

Trends in the market: One of the key trends in the RTD Coffee & Tea market in Iceland is the rise of premium and specialty products. Consumers are becoming more discerning and are willing to pay a premium for high-quality and unique beverages. This has led to the emergence of niche brands offering artisanal coffee and tea blends, as well as innovative flavors and ingredients. Additionally, there has been a growing interest in healthier options, such as low-sugar or organic RTD beverages, as consumers become more health-conscious.

Local special circumstances: Iceland's unique geography and climate have also contributed to the development of the RTD Coffee & Tea market. The country's cold climate and long winter months make hot beverages a popular choice among Icelanders. However, the increasing popularity of RTD coffee and tea products has allowed consumers to enjoy their favorite beverages all year round, regardless of the weather. Additionally, Iceland's thriving café culture has also played a role in driving the demand for RTD drinks, as consumers seek to recreate the café experience at home or on the go.

Underlying macroeconomic factors: The growing RTD Coffee & Tea market in Iceland can also be attributed to favorable macroeconomic factors. The country has experienced strong economic growth in recent years, leading to an increase in disposable income and consumer spending. This has allowed consumers to indulge in premium and specialty beverages, including RTD coffee and tea. Furthermore, Iceland's tourism industry has been booming, with a record number of international visitors flocking to the country. This influx of tourists has created a demand for convenient and portable beverages, further driving the growth of the RTD Coffee & Tea market. In conclusion, the Ready-to-Drink (RTD) Coffee & Tea market in Iceland has been growing rapidly due to changing customer preferences, including a desire for convenience and premium products. The market has also been influenced by local special circumstances, such as Iceland's cold climate and café culture. Favorable macroeconomic factors, such as strong economic growth and a thriving tourism industry, have also contributed to the market's development. Overall, the future looks promising for the RTD Coffee & Tea market in Iceland, with continued growth expected in the coming years.

Data coverage:

The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:

Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on Non-Alcoholic Drinks, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Non-Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.