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

The Ready-to-Drink (RTD) Coffee & Tea market in Iran has been experiencing significant growth in recent years. This can be attributed to several factors including changing customer preferences, emerging trends in the market, local special circumstances, and underlying macroeconomic factors.

Customer preferences: In Iran, there has been a shift in customer preferences towards convenience and on-the-go consumption. As a result, the demand for ready-to-drink coffee and tea products has increased. Consumers are looking for quick and easy options that can be consumed anytime, anywhere. The RTD format provides this convenience, allowing consumers to enjoy their favorite coffee or tea without the need for brewing or preparation.

Trends in the market: One of the key trends in the RTD Coffee & Tea market in Iran is the increasing popularity of flavored and specialty products. Consumers are seeking unique and innovative flavors, such as caramel, vanilla, and matcha, which add a touch of indulgence to their beverages. This trend is driven by the desire for new and exciting taste experiences. Additionally, there is a growing demand for healthier options, with consumers looking for low-sugar, low-calorie, and organic products.

Local special circumstances: Iran has a rich tea-drinking culture, with tea being a popular beverage consumed throughout the day. This cultural preference for tea has influenced the RTD Coffee & Tea market, with a strong demand for ready-to-drink tea products. However, there is also a growing interest in coffee, particularly among the younger generation and urban population. This has led to the introduction of a wide range of coffee-based RTD products to cater to this emerging market segment.

Underlying macroeconomic factors: The growth of the RTD Coffee & Tea market in Iran can also be attributed to underlying macroeconomic factors. The country has experienced a period of economic stability and growth, which has increased disposable incomes and consumer purchasing power. As a result, consumers are more willing to spend on premium and convenience products, including ready-to-drink coffee and tea. In conclusion, the Ready-to-Drink (RTD) Coffee & Tea market in Iran is developing due to changing customer preferences towards convenience, emerging trends in the market such as flavored and specialty products, local special circumstances including the tea-drinking culture, and underlying macroeconomic factors such as increased disposable incomes. The market is expected to continue growing as consumers seek convenient and innovative beverage options.

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.