Hot Drinks Sector accounted for a volume share of 10.8% of the global market and 29.9% of the regional (Asia-Pacific) market in 2016. The sector was valued at INR486,864.8 million (US$7,244.4 million) in 2016 and is forecast to grow at a CAGR of 9.1% during 2016-2021. Growth in the sector is driven by increasing consumption of tea, growing popularity of coffee and rising café culture in the country. Per capita consumption of Hot Drinks products stood at one kg, which is lower when compared to the global and Asia-Pacific levels of 2.2kg and 1.2kg, respectively, in 2016.
Hot Tea was the largest with value sales of INR381,569 million (US$5,677.6million) in 2016. Hot Coffee is expected to grow the fastest at a CAGR of10.1% compared to Hot Tea (9%) and Other Hot Drinks (8.1%) during 2016-2021.
Convenience Stores accounts for a leading value share in the distribution of Hot Drinks in India. It accounted for a value share of 43.2% in 2016, followed by On-trade transactions with a value share of 26.2%. Hypermarkets & Supermarkets held a share of 18.8% in the same year.
Paper & Board is the most commonly used package material in the Indian Hot Drinks Sector. In 2016, it accounted for a volume share of 50.5%, followed by Flexible Packaging and Rigid Plastics with shares of 39.1% and 9% respectively. The consumption of Hot Drinks is high among the male population in India. Moreover, consumption is particularly high among those consumers who received Tertiaryeducation. In terms of consumption by age group, Kids & Babies accounted for 22.8% share in 2016.
‘Tata Tea’ is the leading brand in the Indian Hot Drinks Sector. It held a value share of 14.6% in 2016, while the top five brands in the sector accounted for a combined share of40.2%in the same year.
The report Country Profile:
Hot Drinks Sector in India provides insights on high growth markets to target, trends in the usage of packaging materials, category level distribution channel data and market share of brands.
In particular, this report provides the following analysis -
Market data: Overall market value and volume data with growth analysis for 2011-2021. The overall market value and volume included in the report is split on the basis of On-trade and Off-trade
Category coverage: Value and growth analysis for Hot Coffee, Hot Tea and Other Hot drinks with inputs on individual category share within each market and the change in their market share forecast for 2016-2021
Leading players: Market share of brands and private labels, including private label growth analysis from 2011-2016
Distribution data: Percentage of sales within each market through distribution channels such as On-trade, Hypermarkets & Supermarkets, Convenience Stores, Food & Drinks Specialists, eRetailers and others
Packaging data: consumption breakdown for package materials and pack types in each market, in terms of percentage share of number of units sold. Package material data for Glass, Flexible Packaging, Paper & Board, Rigid Plastics, Rigid Metal and others; pack type data for: Carton, Bag/Sachet, Tub, Bottle, Jar and Stand Up Pouch
Companies mentioned in this report:
Tata Sons Limited, Unilever, Nestle, GlaxoSmithKline, Wagh Bakri Tea Group, Kanan Devan Hills Plantations Company, Amar Tea Pvt Ltd, Girnar Food & Beverages Pvt. Ltd, Tata Sons Limited, Jacobs Douwe Egberts, Duncans Industries Ltd., Golden Tips Tea Co Pvt Ltd, Goodricke Group Limited, Heinz, Associated British Foods Plc, Apeejay Surrendra Group, Duncans Industries Ltd., Madhu Jayanti International Limited, Kho-Cha, Nestle.
Of the three markets, Hot Tea was the largest in value terms, in 2016
Hot Coffee is expected to grow the fastest at a during 2016-2021
The per capita consumption of Hot Drinks is lower in India compared to the global and regional levels
Convenience Stores accounts for a leading value share in the distribution of Hot Drinks in India
‘Tata Tea’ is the leading brand in the Indian Hot Drinks Sector
Paper & Board is the most commonly used package material in the Indian Hot Drinks Sector, in 2016.
Reasons to buy
Identify high potential categories and explore further market opportunities based on detailed value and volume analysis
Existing and new players can analyze key distribution channels to identify and evaluate trends and opportunities
Gain an understanding of the total competitive landscape based on detailed brand share analysis to plan effective market positioning
Access the key and most influential consumer trends driving Hot Drinks products consumption, and how they influence consumer behavior in the market which will help determine the best audiences to target
Our team of analysts have placed a significant emphasis on changes expected in the sector that will provide a clear picture of the opportunities that can be tapped over the next five years, resulting in revenue expansion
The packaging analysis report helps manufacturers, in identifying the most commonly used packaging materials in the sector
Analysis on key macro-economic indicators such as GDP per capita, population (overall and breakdown by age), and consumer price index. It also covers a comparative analysis of political, economic, socio-demographic, and technological indicators (PEST) across 50 countries.