US Ready to Drink Tea and Coffee Market Size, Share & Trends Analysis Report By Packaging Type (PET Bottle, Canned, Glass Bottle, and Others), By Type, By Price (Economy, and Premium), By Distribution Channel, and Forecast, 2023 - 2030

The United States (US) Ready to Drink Tea and Coffee Market size is expected to reach $30 Billion by 2030, rising at a market growth of 5.2% CAGR during the forecast period. In the year 2022, the market attained a volume of 4505.2 thousand Litres, experiencing a growth of 4.9% (2019-2022).

The ready to drink tea and coffee market in the United States has experienced significant growth in recent years, reflecting changing consumer preferences and a fast-paced lifestyle. Many American consumers seek beverages with refreshing taste and additional health benefits. This has led to incorporating ingredients such as collagen, vitamins, and adaptogens in ready to drink tea and coffee products.

In the U.S., the ready to drink coffee industry has seen remarkable growth, driven by the increasing coffee culture and the desire for premium, quality brews. Cold brew coffee, in particular, has become a major player in this segment, offering a smoother and less acidic alternative to traditional hot coffee. American consumers are drawn to the convenience of grabbing a ready to drink coffee for a quick energy boost or as an indulgent treat.

According to the National Coffee Association, in 2022, the total economic impact of the coffee industry in the United States was $343.2 billion, a 52.4% increase from 2015. American consumers contributed significantly to this growth, spending nearly $110 billion on coffee in the same year.

Brands have responded to evolving American consumer demands by introducing functional ingredients, such as plant-based milk alternatives, natural sweeteners, and adaptogens, to enhance the nutritional profile of their products. This customization aligns with the U.S. industry's emphasis on health and wellness, making ready-to-drink tea and coffee a go-to choose for those seeking a balance between taste and nutritional value.

Market Trends

Growing influence of supermarkets and hypermarkets in the U.S.

In recent years, the ready to drink tea and coffee market in the United States has witnessed a significant shift in the distribution landscape, with supermarkets and hypermarkets playing a pivotal role in shaping consumer preferences. The sheer volume of foot traffic through these retail channels ensures that ready to drink tea and coffee products are prominently displayed, catching the attention of a broad demographic in the U.S. Additionally, these outlets often implement attractive promotional strategies, such as discounts and bundled offers, further enticing American consumers to explore and purchase ready to drink beverages.

Walmart, a retail behemoth with an extensive presence across the United States, exemplifies one notable example of this trend. Walmart has strategically positioned itself as a one-stop-shop for a diverse range of products, including ready to drink tea and coffee in the U.S. The retail giant leverages its vast network of stores to provide American consumers various options, from popular brands to niche and specialty offerings. Walmart's dominance in the industry is evident in its ability to influence U.S. consumer choices through strategic placement and promotion of ready to drink tea and coffee products within its stores.

According to NACS, in 2020, Walmart saw a 20% expansion in its pickup and delivery capacity, aiming to increase it by 35%. Notably, in 2021, Walmart witnessed a remarkable surge of 170% in store orders. This underscores the escalating impact of supermarkets and hypermarkets in shaping the ready to drink tea and coffee market in the United States.

Furthermore, the fast-paced lifestyle of many Americans makes supermarkets and hypermarkets a preferred choice for quick and efficient shopping. With ready to drink tea and coffee aligning with the on-the-go preferences of U.S. consumers, supermarkets capitalize on this demand by providing a convenient and time-saving solution for shoppers. Thus, the ready to drink tea and coffee market in the United States has experienced a significant distribution shift towards supermarkets and hypermarkets.

Expansion of PET bottle packaging

In the United States, the ready to drink tea and coffee market has witnessed a remarkable surge, with PET (polyethylene terephthalate) bottle packaging playing a pivotal role in this expansion. The convenience factor is a key driver behind the increasing prevalence of PET bottle packaging in the U.S. ready to drink tea and coffee market. As American consumers lead increasingly busy lifestyles, the demand for portable, easy-to-carry beverage options has soared. 

Moreover, the U.S.' focus on sustainability has further propelled the adoption of PET bottles in ready to drink tea and coffee packaging. With an increasing awareness of environmental issues, American consumers are actively seeking eco-friendly options. PET bottles are not only recyclable but also require less energy to produce compared to traditional packaging materials, making them a sustainable choice for conscious U.S. consumers.

The resilience and versatility of PET bottles are particularly well-suited for the U.S. industry dynamics. As the U.S. continues to witness a shift in consumer preferences towards healthier beverage alternatives, PET bottle packaging aligns with this trend by providing a transparent and aesthetically pleasing option. The clear visibility of the product inside the bottle enhances the American consumer's experience, emphasizing the freshness and quality of ready to drink tea and coffee. Hence, the surge in the U.S. ready to drink tea and coffee market is driven by the convenience and sustainability offered by PET bottle packaging, catering to the busy lifestyles and eco-conscious preferences of American consumers.

Competition Analysis

The ready to drink tea and coffee market in the United States has experienced significant growth in recent years, driven by changing consumer preferences, convenience, and a desire for on-the-go beverage options. One of the major players in the U.S. ready to drink tea and coffee market is Starbucks, a globally recognized brand that has successfully capitalized on the growing demand for convenient and flavorful beverages. Starbucks offers a wide range of bottled and canned ready to drink coffee, including popular favorites like the Starbucks Doubleshot Espresso and the Starbucks Frappuccino. With its strong brand presence and loyal customer base, Starbucks remains a significant player in the U.S. industry.

Another prominent player in the industry is PepsiCo, which owns the popular brand Pure Leaf for ready to drink tea. Pure Leaf has gained traction among consumers seeking a premium and refreshing tea experience. The brand offers a variety of options, including unsweetened, sweetened, and herbal teas, catering to different taste preferences. PepsiCo's extensive distribution network and marketing capabilities contribute to Pure Leaf's widespread availability across the United States.

Nestlé, a global food and beverage giant, has also established a foothold in the U.S. ready to drink tea and coffee market. Through its brand, Nestea, the company provides a range of iced tea options in various flavors. Nestea has positioned itself as a reliable choice for those looking for a refreshing and convenient tea beverage. Nestlé's wide product portfolio and industry reach contribute to its success in the competitive ready to drink beverage landscape.

Beyond these established giants, emerging brands have made significant strides in capturing industry share. For instance, companies like Keurig Dr Pepper have expanded their presence in the ready to drink coffee segment, offering a diverse selection of ready to drink coffee options under the Keurig brand. These products cater to the preferences of coffee enthusiasts seeking high-quality brews in a convenient format.

The U.S. ready to drink tea and coffee market has also seen the rise of niche players focusing on unique formulations and health-conscious offerings. Brands like MatchaBar have gained attention for their innovative use of ingredients, such as matcha green tea, appealing to consumers looking for functional beverages with added health benefits.

As consumer demand for healthier and natural options grows, companies like Honest Tea, owned by The Coca-Cola Company, have gained prominence. Honest Tea emphasizes organic and fair-trade ingredients in its ready to drink tea products, resonating with consumers who prioritize sustainability and ethical sourcing. As preferences continue to evolve, companies are adapting by offering diverse options, from traditional iced teas to unique coffee blends, to meet consumers' varied tastes and lifestyles across the United States.

List of Key Companies Profiled

• Suntory Holdings Limited
• Nestle S.A.
• The Coca-Cola Company
• Unilever PLC
• Asahi Group Holdings Ltd.
• PepsiCo, Inc.
• Starbucks Coffee Company
• Monster Beverage Corporation
• Danone S.A.
• AriZona Beverages Company LLC

US Ready to Drink Tea and Coffee Market Report Segmentation

ByPackaging Type

• PET Bottle
• Canned
• Glass Bottle
• Others

By Type

• RTD Tea
• RTD Coffee

By Price

• Economy
• Premium

By Distribution Channel

• Supermarkets/Hypermarkets
• Convenience Stores
• Food Service
• Online

Chapter 1. Market Scope & Methodology
1.1 Market Definition
1.2 Objectives
1.3 Market Scope
1.4 Segmentation
1.4.1 USA Ready to Drink Tea and Coffee Market, by Packaging Type
1.4.2 USA Ready to Drink Tea and Coffee Market, by Type
1.4.3 USA Ready to Drink Tea and Coffee Market, by Price
1.4.4 USA Ready to Drink Tea and Coffee Market, by Distribution Channel
1.5 Methodology for the research

Chapter 2. Market Overview
2.1 Introduction
2.1.1 Overview
2.1.1.1 Market Composition and Scenario
2.2 Key Factors Impacting the Market
2.2.1 Market Drivers
2.2.2 Market Opportunities
2.2.3 Market Restraints
2.2.4 Market Challenges
2.2.5 Market Trends
2.3 Porter Five Forces Analysis

Chapter 3. Strategies Deployed in Ready to Drink Tea and Coffee Market

Chapter 4. US Ready to Drink Tea and Coffee Market
4.1 US Ready to Drink Tea and Coffee Market by Packaging Type
4.2 US Ready to Drink Tea and Coffee Market by Type
4.3 US Ready to Drink Tea and Coffee Market by Price
4.4 US Ready to Drink Tea and Coffee Market by Distribution Channel

Chapter 5. Company Profiles – Global Leaders
5.1 Suntory Holdings Limited
5.1.1 Company Overview
5.1.2 Financial Analysis
5.1.3 Segmental and Regional Analysis
5.1.4 Research & Development Expenses
5.1.5 SWOT Analysis
5.2 Nestle S.A.
5.2.1 Company Overview
5.2.2 Financial Analysis
5.2.3 Segmental and Regional Analysis
5.2.4 Research & Development Expenses
5.2.5 Recent strategies and developments:
5.2.5.1 Partnerships, Collaborations, and Agreements:
5.2.6 SWOT Analysis
5.3 The Coca-Cola Company
5.3.1 Company Overview
5.3.2 Financial Analysis
5.3.3 Segmental and Regional Analysis
5.3.4 Recent strategies and developments:
5.3.4.1 Acquisition and Mergers:
5.3.5 SWOT Analysis
5.4 Unilever PLC
5.4.1 Company Overview
5.4.2 Financial Analysis
5.4.3 Segmental and Regional Analysis
5.4.4 Research & Development Expense
5.4.5 SWOT Analysis
5.5 Asahi Group Holdings Ltd.
5.5.1 Company Overview
5.5.2 Financial Analysis
5.5.3 Segmental and Regional Analysis
5.5.4 Research & Development Expenses
5.5.5 Recent strategies and developments:
5.5.5.1 Acquisition and Mergers:
5.5.6 SWOT Analysis
5.6 PepsiCo, Inc.
5.6.1 Company Overview
5.6.2 Financial Analysis
5.6.3 Segmental and Regional Analysis
5.6.4 Research & Development Expense
5.6.5 Recent strategies and developments:
5.6.5.1 Partnerships, Collaborations, and Agreements:
5.6.5.2 Product Launches and Product Expansions:
5.6.6 SWOT Analysis
5.7 Starbucks Coffee Company
5.7.1 Company Overview
5.7.2 Financial Analysis
5.7.3 Regional & Segmental Analysis
5.7.4 SWOT Analysis
5.8 Monster Beverage Corporation
5.8.1 Company Overview
5.8.2 Financial Analysis
5.8.3 Segmental and Regional Analysis
5.8.4 Recent strategies and developments:
5.8.4.1 Product Launches and Product Expansions:
5.8.5 SWOT Analysis
5.9 Danone S.A.
5.9.1 Company Overview
5.9.2 Financial Analysis
5.9.3 Category and Regional Analysis
5.9.4 Recent strategies and developments:
5.9.4.1 Product Launches and Product Expansions:
5.9.5 SWOT Analysis
5.10. AriZona Beverages Company LLC
5.10.1 Company Overview
5.10.2 Recent strategies and developments:
5.10.2.1 Product Launches and Product Expansions:
5.10.3 SWOT Analysis

TABLE 1 US Ready to Drink Tea and Coffee Market, 2019 - 2022, USD Million
TABLE 2 US Ready to Drink Tea and Coffee Market, 2023 - 2030, USD Million
TABLE 3 US Ready to Drink Tea and Coffee Market, 2019 - 2022, Thousand Litres
TABLE 4 US Ready to Drink Tea and Coffee Market, 2023 - 2030, Thousand Litres
TABLE 5 US Ready to Drink Tea and Coffee Market by Packaging Type, 2019 - 2022, USD Million
TABLE 6 US Ready to Drink Tea and Coffee Market by Packaging Type, 2023 - 2030, USD Million
TABLE 7 US Ready to Drink Tea and Coffee Market by Packaging Type, 2019 - 2022, Thousand Litres
TABLE 8 US Ready to Drink Tea and Coffee Market by Packaging Type, 2023 - 2030, Thousand Litres
TABLE 9 US Ready to Drink Tea and Coffee Market by Type, 2019 - 2022, USD Million
TABLE 10 US Ready to Drink Tea and Coffee Market by Type, 2023 - 2030, USD Million
TABLE 11 US Ready to Drink Tea and Coffee Market by Type, 2019 - 2022, Thousand Litres
TABLE 12 US Ready to Drink Tea and Coffee Market by Type, 2023 - 2030, Thousand Litres
TABLE 13 US Ready to Drink Tea and Coffee Market by Price, 2019 - 2022, USD Million
TABLE 14 US Ready to Drink Tea and Coffee Market by Price, 2023 - 2030, USD Million
TABLE 15 US Ready to Drink Tea and Coffee Market by Price, 2019 - 2022, Thousand Litres
TABLE 16 US Ready to Drink Tea and Coffee Market by Price, 2023 - 2030, Thousand Litres
TABLE 17 US Ready to Drink Tea and Coffee Market by Distribution Channel, 2019 - 2022, USD Million
TABLE 18 US Ready to Drink Tea and Coffee Market by Distribution Channel, 2023 - 2030, USD Million
TABLE 19 US Ready to Drink Tea and Coffee Market by Distribution Channel, 2019 - 2022, Thousand Litres
TABLE 20 US Ready to Drink Tea and Coffee Market by Distribution Channel, 2023 - 2030, Thousand Litres
TABLE 21 Key Information – Suntory Holdings Limited
TABLE 22 Key Information – Nestle S.A.
TABLE 23 key information – The Coca-Cola Company
TABLE 24 Key Information – Unilever PLC
TABLE 25 Key Information – Asahi Group Holdings Ltd.
TABLE 26 Key Information – PepsiCo, Inc.
TABLE 27 Key information – Starbucks Coffee Company
TABLE 28 Key Information – Monster Beverage Corporation
TABLE 29 Key information – Danone S.A.
TABLE 30 Key Information – AriZona Beverages Company LLC

List of Figures
FIG 1 Methodology for the research
FIG 2 US Ready to Drink Tea and Coffee Market, 2019 - 2030, USD Million
FIG 3 Key Factors Impacting Ready to Drink Tea and Coffee Market
FIG 4 Porter’s Five Forces Analysis – Ready to Drink Tea and Coffee Market
FIG 5 US Ready to Drink Tea and Coffee Market share by Packaging Type, 2022
FIG 6 US Ready to Drink Tea and Coffee Market share by Packaging Type, 2030
FIG 7 US Ready to Drink Tea and Coffee Market by Packaging Type, 2019 - 2030, USD Million
FIG 8 US Ready to Drink Tea and Coffee Market share by Type, 2022
FIG 9 US Ready to Drink Tea and Coffee Market share by Type, 2030
FIG 10 US Ready to Drink Tea and Coffee Market by Type, 2019 - 2030, USD Million
FIG 11 US Ready to Drink Tea and Coffee Market share by Price, 2022
FIG 12 US Ready to Drink Tea and Coffee Market share by Price, 2030
FIG 13 US Ready to Drink Tea and Coffee Market by Price, 2019 - 2030, USD Million
FIG 14 US Ready to Drink Tea and Coffee Market share by Distribution Channel, 2022
FIG 15 US Ready to Drink Tea and Coffee Market share by Distribution Channel, 2030
FIG 16 US Ready to Drink Tea and Coffee Market by Distribution Channel, 2019 - 2030, USD Million
FIG 17 SWOT Analysis: Suntory Holdings Limited
FIG 18 SWOT Analysis: Nestle S.A.
FIG 19 SWOT Analysis: The Coca-Cola Company
FIG 20 SWOT Analysis: Unilever PLC
FIG 21 SWOT Analysis: Asahi Group Holdings Ltd.
FIG 22 Recent strategies and developments: PepsiCo, Inc.
FIG 23 Swot Analysis: PepsiCo, Inc.
FIG 24 SWOT Analysis: Starbucks Coffee Company
FIG 25 Swot Analysis: Monster Beverage Corporation
FIG 26 SWOT Analysis: Danone, S.A.
FIG 27 SWOT Analysis: AriZona Beverage Company LLC