Global Out of Home Tea Market is set to rise at a robust 10.4% CAGR by 2025

Press Release

The global out of home tea market is anticipated to witness a sturdy rate of growth in the coming years, as reported by Transparency Market Research (TMR). The report, titled, “Out of Home Tea Market- Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2017 – 2025,” sheds light on the intense competition among established vendors and the mushrooming local vendors. The overall out of home (OOH) tea market comprises of a large number of international as well as local vendors, who compete on various factors such as quality, price, reputation, innovation, distribution and service. The market participants are expected to implement innovations according to the changing tastes of the consumers to thrive in the global out of home tea market. Some key vendors in the market are Nestle, Tata Global Beverages, ITO EN Inc., ABF, Starbucks Corporation, and Celestial Seasoning Inc., among others.

Based on revenue, TMR’s report estimates that there will be opportunities worth US$39,329.8 mn by 2025 in the global OOH tea market by the end of 2025, substantially more that the market’s evaluated valuation of US$17,835.9 mn as of 2017. On the basis of this evaluation, the global out of home tea market is predicted to rise at a robust 10.4% CAGR. Based on product, the segment of black tea is expected to continue holding a large market share, with an earlier share of roughly 33% in the overall market.

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Asia Pacific to Emerge as Leading Region, for All the Tea in China

In 2016, the segment of tea bags held a dominant share of the global out of home tea market, and this trend is expected to continue over the coming years. The popularity of tea bags could be ascribed to the fact that dried and crushed leaves, packaged in suitable sachets or bags, are much more convenient to use anytime and anywhere. In hospitality industries such as hotels, restaurants, pubs and quick service restaurants, along with outdoors and workplaces, tea bags tend to be used widely.

Geographically, Asia Pacific is presently a highly lucrative region by a substantial margin. By the end of 2025, the Asia Pacific out of home tea market is predicted to hold a market evaluation of US$29,741.2 mn, which would nearly three quarters of the global demand. Asia Pacific region is anticipated to witness a healthy rise in the green tea segment on account of the health benefits of the product such as being useful for weight loss, high metabolism rate, rich in anti-oxidants, and good for body aeration.

Health Benefits of Green Tea to Establish into a Leading Trend

Properties of green tea such as it being anti-oxidant and anti-bacterial prove it to be useful in restoring hormonal imbalances in the body and controlling body weight. It also aids in flushing out toxins from the body and provides protection against cancer. Green tea is beneficial in natural detoxification and aids in healing scars and blemishes, reduction of inflammation, and improving the skin’s elasticity. Moreover, green tea is also envisaged to carry has anti-aging properties that protects against freckles, wrinkle, skin-sagging, and fine lines, and wrinkles.

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The consumer inclination towards tea infused with different flavors, fragrances, and herbal ingredients is one of the key growth drivers for the out of home tea market. Moreover, factors such as health risks associated to excessive coffee consumption, the growing popularity of tea as a beverage, and changing scenario of retail stores are anticipated to magnify the demand of the global out of home tea market over the coming years.