North America Herbal Tea Market Size and Forecast (2021-2031), Regional Share, Trend, and Growth Opportunity Analysis Report Coverage: By Type (Chamomile, Peppermint, Ginger, Hibiscus, Blends, Others), Form (Loose Tea, Tea Bags), Category (Organic, Conven
Description
The North American herbal tea market is projected to grow significantly, reaching an estimated US$ 952.00 million by 2031, up from US$ 655.82 million in 2024. This growth reflects a compound annual growth rate (CAGR) of 5.7% from 2025 to 2031.
Executive Summary and Market Analysis
The rising demand for herbal tea in North America is largely driven by a shift in consumer preferences towards healthier lifestyles and natural alternatives. As awareness of the health benefits associated with herbal teas increases, more consumers are looking to reduce their consumption of sugary drinks, caffeinated beverages, and artificial additives. Herbal teas present a naturally refreshing and low-calorie option that aligns with these health-conscious choices.
The trend towards natural and organic products is particularly notable, with a significant increase in the consumption of organic herbal tea. According to the Organic Trade Association, sales of US-certified organic products reached US$70 billion in 2023, indicating a robust market for organic goods. Additionally, urbanization in North America contributes to busier lifestyles, with approximately 82% of the population living in urban areas as of January 30, 2025, according to Worldometer. This hectic pace of life drives demand for herbal teas, which are valued for their stress-relieving properties.
The growing emphasis on mental health and self-care has also played a crucial role in the popularity of herbal teas. Varieties such as chamomile, peppermint, and lavender are increasingly favored for their calming effects. The wellness trend has been further amplified by social media, where influencers promote lifestyle habits centered around mindfulness, self-care, and natural remedies.
Strategic Insights
Market Segmentation Analysis
The North American herbal tea market can be segmented by type, form, category, and distribution channel.
Herbal tea has gained significant traction globally due to its numerous health benefits, making it a popular choice for consumers seeking natural wellness solutions. As health consciousness rises, the demand for herbal tea has surged, particularly for its potential to enhance overall well-being without synthetic ingredients.
Herbal teas like peppermint, ginger, and chamomile are well-known for their soothing effects on the digestive system, helping alleviate symptoms such as indigestion, bloating, and nausea. Chamomile tea, in particular, is recognized for its calming properties and is often consumed before bedtime. It contains bioactive phytochemicals, especially flavonoids, which have antioxidant properties. Research from the National Library of Medicine (NLM) suggests that chamomile tea may also alleviate symptoms of premenstrual syndrome, contributing to its rising popularity.
Hibiscus tea is another notable herbal option, rich in antioxidants and beneficial minerals like potassium and magnesium. It is known for its cardiovascular and antiviral properties, primarily due to its antioxidant content, particularly anthocyanins. Studies have shown that hibiscus tea can lower bad LDL cholesterol and triglyceride levels, making it a healthful choice.
Many herbal teas are celebrated for their stress-relieving and calming effects. Varieties such as chamomile, lavender, and valerian root are commonly consumed to reduce anxiety, promote relaxation, and improve sleep quality—benefits that are increasingly sought after in today’s fast-paced world.
As consumers turn to herbal remedies as safer and more sustainable alternatives to synthetic medications, the belief in the healing power of nature continues to gain traction, supported by traditional practices across cultures. The health benefits of herbal tea, including digestive support, stress relief, and antioxidant properties, are key drivers of its success in the market.
Country Insights
The North American herbal tea market includes the US, Canada, and Mexico, with the US holding the largest market share in 2024. The US market is witnessing a surge in demand for healthier, natural, and wellness-oriented products. As consumers become more health-conscious, they are increasingly opting for herbal teas, which are perceived as natural alternatives with various health benefits, including digestive support, stress relief, and detoxification.
The rise of wellness trends, including plant-based diets and holistic health practices, has further boosted the popularity of herbal teas. Consumers are actively seeking organic, caffeine-free, and gluten-free options, which are naturally provided by herbal teas. In response to this growing demand, manufacturers are expanding their product offerings. For example, in June 2023, Bigelow Tea launched new products, including Peak Energy Black Tea Plus Extra L-Theanine and Caffeine, Whispering Wildflowers Herbal Tea Plus L-Theanine, and Ginger Honey Herbal Tea Plus Zinc.
Company Profiles
Key players in the North American herbal tea market include Associated British Foods Plc, Bell Industries LLC, Bigelow Tea, Bird & Blend Tea Co., Donna McCafferty & Co LLC, East West Tea Company, LLC, Harney & Sons Fine Teas, JADE LEAF, LLC, LIPTON Teas and Infusions, Rishi Tea & Botanicals, Star Spangled Tea, Tata Consumer Products Ltd, The Hain Celestial Group Inc, Traditional Medicinals, and Universal Tea Company, Inc. These companies are employing various strategies such as expansion, product innovation, and mergers and acquisitions to enhance their market presence and cater to consumer demands.
Executive Summary and Market Analysis
The rising demand for herbal tea in North America is largely driven by a shift in consumer preferences towards healthier lifestyles and natural alternatives. As awareness of the health benefits associated with herbal teas increases, more consumers are looking to reduce their consumption of sugary drinks, caffeinated beverages, and artificial additives. Herbal teas present a naturally refreshing and low-calorie option that aligns with these health-conscious choices.
The trend towards natural and organic products is particularly notable, with a significant increase in the consumption of organic herbal tea. According to the Organic Trade Association, sales of US-certified organic products reached US$70 billion in 2023, indicating a robust market for organic goods. Additionally, urbanization in North America contributes to busier lifestyles, with approximately 82% of the population living in urban areas as of January 30, 2025, according to Worldometer. This hectic pace of life drives demand for herbal teas, which are valued for their stress-relieving properties.
The growing emphasis on mental health and self-care has also played a crucial role in the popularity of herbal teas. Varieties such as chamomile, peppermint, and lavender are increasingly favored for their calming effects. The wellness trend has been further amplified by social media, where influencers promote lifestyle habits centered around mindfulness, self-care, and natural remedies.
Strategic Insights
Market Segmentation Analysis
The North American herbal tea market can be segmented by type, form, category, and distribution channel.
- By Type: The market includes various types of herbal teas such as chamomile, peppermint, ginger, hibiscus, blends, and others. In 2024, the blends segment held the largest market share.
- By Form: The market is divided into loose tea and tea bags, with the tea bag segment dominating in 2024.
- By Category: The herbal tea market is categorized into organic and conventional segments, with conventional teas holding a larger share in 2024.
- By Distribution Channel: The distribution channels include supermarkets and hypermarkets, convenience stores, online retail, and others, with supermarkets and hypermarkets capturing the largest share in 2024.
Herbal tea has gained significant traction globally due to its numerous health benefits, making it a popular choice for consumers seeking natural wellness solutions. As health consciousness rises, the demand for herbal tea has surged, particularly for its potential to enhance overall well-being without synthetic ingredients.
Herbal teas like peppermint, ginger, and chamomile are well-known for their soothing effects on the digestive system, helping alleviate symptoms such as indigestion, bloating, and nausea. Chamomile tea, in particular, is recognized for its calming properties and is often consumed before bedtime. It contains bioactive phytochemicals, especially flavonoids, which have antioxidant properties. Research from the National Library of Medicine (NLM) suggests that chamomile tea may also alleviate symptoms of premenstrual syndrome, contributing to its rising popularity.
Hibiscus tea is another notable herbal option, rich in antioxidants and beneficial minerals like potassium and magnesium. It is known for its cardiovascular and antiviral properties, primarily due to its antioxidant content, particularly anthocyanins. Studies have shown that hibiscus tea can lower bad LDL cholesterol and triglyceride levels, making it a healthful choice.
Many herbal teas are celebrated for their stress-relieving and calming effects. Varieties such as chamomile, lavender, and valerian root are commonly consumed to reduce anxiety, promote relaxation, and improve sleep quality—benefits that are increasingly sought after in today’s fast-paced world.
As consumers turn to herbal remedies as safer and more sustainable alternatives to synthetic medications, the belief in the healing power of nature continues to gain traction, supported by traditional practices across cultures. The health benefits of herbal tea, including digestive support, stress relief, and antioxidant properties, are key drivers of its success in the market.
Country Insights
The North American herbal tea market includes the US, Canada, and Mexico, with the US holding the largest market share in 2024. The US market is witnessing a surge in demand for healthier, natural, and wellness-oriented products. As consumers become more health-conscious, they are increasingly opting for herbal teas, which are perceived as natural alternatives with various health benefits, including digestive support, stress relief, and detoxification.
The rise of wellness trends, including plant-based diets and holistic health practices, has further boosted the popularity of herbal teas. Consumers are actively seeking organic, caffeine-free, and gluten-free options, which are naturally provided by herbal teas. In response to this growing demand, manufacturers are expanding their product offerings. For example, in June 2023, Bigelow Tea launched new products, including Peak Energy Black Tea Plus Extra L-Theanine and Caffeine, Whispering Wildflowers Herbal Tea Plus L-Theanine, and Ginger Honey Herbal Tea Plus Zinc.
Company Profiles
Key players in the North American herbal tea market include Associated British Foods Plc, Bell Industries LLC, Bigelow Tea, Bird & Blend Tea Co., Donna McCafferty & Co LLC, East West Tea Company, LLC, Harney & Sons Fine Teas, JADE LEAF, LLC, LIPTON Teas and Infusions, Rishi Tea & Botanicals, Star Spangled Tea, Tata Consumer Products Ltd, The Hain Celestial Group Inc, Traditional Medicinals, and Universal Tea Company, Inc. These companies are employing various strategies such as expansion, product innovation, and mergers and acquisitions to enhance their market presence and cater to consumer demands.
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