Ready To Drink Market Size was valued at USD 1.1 billion in 2021. The ready to drink market industry is projected to grow from USD 1.22 Billion in 2022 to USD 2.57 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 11.20% during the forecast period (2022 - 2030). One market driver influencing the growth of the market is the rising popularity of ready-to-drink (RTD) beverages being offered as a side drink at different fast-food restaurants and cafés.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Due to growing consumer knowledge of mindful living and wholesome eating, shoppers are becoming more health conscious. The prevalence of obesity-related diseases like diabetes, hypertension, and heart disease has led consumers to avoid purchasing unhealthy food items. Moreover, customers that desire to lead healthy lifestyles favor organic and natural products. Ready-to-drink beverages that are sugar-free, vegan, gluten-free, and organic are now widely accessible, and their popularity is rising. Thus, with a line of completely vegan beverages, Chicago-based coffee brand Intelligentsia entered the ready-to-drink (RTD) industry in February 2021. When Intelligentsia first introduced their RTD line, it included Cold Brew Coffee and two oat-based lattes (Oat Latte and Spiced Oat Latte with vanilla, ginger, cinnamon, and orange). The first RTD line from Intelligentsia.
Furthermore, the market for ready to drink is driven by a number of phenomenal growth factors. Because of rising consumer interest & awareness, the rate of sales is increasing daily. A healthy lifestyle, ready-to-drink protein shakes, a shortage of time, and convenience are some other growth reasons that propel the market. The market for ready to drink is expanding as a result of rising health consciousness, which will have an impact on the market for ready-to-drink coffee over the forecast period of 2022–2030. Consumers are now more aware of what is healthy for them and what is not. Therefore, this factor has enhanced the ready to drink market CAGR across the globe in the recent years.
Additionally, the RTD beverage market's growth prospects can also be ascribed to the wide variety of well-liked and popular flavors that businesses offer. The demand for flavors in various products has risen quickly and is now rising at a significant rate as more customers experiment with food and beverages as well as novel tastes and flavors. Additionally, a variety of beverages are offered in RTD products, satisfying the demands, preferences, and regional preferences of customers from diverse locations. The addition of unusual flavors to manufacturers' product lineups will also be one of their main techniques for grabbing consumers' attention. Thus, driving the growth of the ready to drink market revenue.
The ready to drink market segmentation, based on type, includes Probiotic Drinks, Sports Drinks, Energy Drinks, Fruit & Vegetable Juices and Others. The probiotic drink segment held the majority share in 2021 in respect to the ready to drink market revenue because of growing health awareness. Customers have a tremendous appetite for the various flavors that are now on the market.
The ready to drink market segmentation, based on distribution channel, includes Store-Based and Non-Store-Based. The store-based segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030 due to their enormous popularity, particularly in Asian nations. The high level of customer reliance on retail outlets for food purchases is anticipated to have a substantial impact on the development of RTD. Hence, it positively impacts the market growth.
Figure 2: Ready To Drink Market, by Distribution Channel, 2021 & 2030 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. Europe ready to drink market accounted for USD 0.51 billion in 2021 and is expected to exhibit a significant CAGR growth due to changing consumer tastes for on-the-go items and rising consumer demand for a variety of flavors. These cocktails' low alcohol level and affordable price are increasing demand among people throughout the nation.
Further, the major countries studied in the market report are: The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 3: READY TO DRINK MARKET SHARE BY REGION 2021 (%)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
North America ready to drink market accounts for the second-largest market share. Changes in consumption habits, weight reduction trends, ready-to-drink coffee brands, a growing pub culture, and an increase in disposable income are the primary growth or driving drivers for the sector. Further, the US ready to drink market held the largest market share, and the Canada ready to drink market was the fastest growing market in the European region.
Asia Pacific America ready to drink Market is expected to grow at the fastest CAGR from 2022 to 2030. Increasing disposable income and shifting consumer habits are two key factors driving RTD demand in the area. One of the largest markets for RTD in the region is the emerging economies, which include China and India among others. Moreover, India ready to drink market held the largest market share, and the China ready to drink market was the fastest growing market in the North American region.
Major market players are spending a lot of money on R&D to increase their product lines, which will help the ready to drink market grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, with key market developments such as new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the ready to drink industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.
One of the primary business strategies adopted by manufacturers in the ready to drink industry to benefit clients and expand the market sector is to manufacture locally to reduce operating costs. In recent years, ready to drink industry has provided medicine with some of the most significant benefits. The ready to drink market major player such as PepsiCo (U.S.), Fuze Beverage (U.S.), Coca-Cola (U.S.), Nestlé (Switzerland), Kraft Foods (U.S.), Campbell Soup Company (U.S.) and Ocean Spray (U.S.).
The corporate headquarters of the American food, snack, and beverage giant PepsiCo, Inc. are in the hamlet of Purchase in Harrison, New York. The business of PepsiCo includes every facet of the food and beverage industry. It is in charge of its products' production, marketing, and distribution. In February 2022, in the U.S. market, PepsiCo introduced Nitro Pepsi, its first cola with nitrogen infusion. The company used widget technology, which is frequently used in the production of coffee or beer products, and applied it to the cola category to give Nitro Pepsi its foamy, frothy, smooth texture.
Also, the Coca-Cola Company is a American beverage company that was established in 1892 and is best known for being the maker of Coca-Cola. The Coca-Cola Company also produces, sells, and markets alcoholic beverages as well as other non-alcoholic beverage concentrates and syrups. In January 2022, with Constellation Brands Inc., The Coca-Cola Company has entered into a brand authorization agreement in order to introduce FRESCA Mixed, a line of fully flavored, spirit-based ready-to-drink (RTD) cocktails, in the United States. The FRESCA brands are designed to bridge the gap between flavorful bar cocktails and refreshing hard seltzers by appealing to people wanting fuller-flavored experiences and higher-quality RTD beverages.
Ready To Drink Industry Developments
July 2021: In Oceania, Southeast Asia, and Latin America, Starbucks ready-to-drink coffee products were introduced thanks to a partnership between Nestlé and Starbucks Corporation. RTD coffee sales brought in about CHF 2.7 billion (or about US$ 2.98 billion) for Starbucks. This strategic alliance will support Nestle in maintaining its position as the industry leader in the coffee market.
March 2021: For those who enjoy drinking cocktails and whisky, Diageo plc has introduced a new line of "Crown Royal ready to drink cocktails." It features three traditional, iconic Crown Royal drinks in the flavours of apple, cranberry, cola, and peach tea.
August 2020: Under its Ketel One brand, Diageo plc introduced a variety of flavoured, low-calorie RTD cocktails in the United States. The drink's three strong flavours are "Peach & Orange Blossom," "Cucumber & Mint," and "Grapefruit & Rose," and it is made with vodka combined with botanicals, natural fruits, and sparkling water.
| Report Attribute/Metric | Details |
| Market Size 2021 | USD 1.1 billion |
| Market Size 2022 | USD 1.22 billion |
| Market Size 2030 | USD 2.57 billion |
| Compound Annual Growth Rate (CAGR) | 11.20% (2022-2030) |
| Base Year | 2021 |
| Market Forecast Period | 2022-2030 |
| Historical Data | 2018 & 2020 |
| Market Forecast Units | Value (USD Billion) |
| Report Coverage | Revenue Forecast, Market Competitive Landscape, Growth Factors, and Trends |
| Segments Covered | Type, Distribution Channel and Region |
| Geographies Covered | North America, Europe, Asia Pacific, and Rest of the World |
| Countries Covered | The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil |
| Key Companies Profiled | PepsiCo (U.S.), Fuze Beverage (U.S.), Coca-Cola (U.S.), Nestlรฉ (Switzerland), Kraft Foods (U.S.), Campbell Soup Company (U.S.) and Ocean Spray (U.S.). |
| Key Market Opportunities | Increasing demand for beverages made of natural ingredients |
| Key Market Dynamics | The market is expanded as a result of lifestyle adjustments and a growing awareness of a balanced diet, The increased interest and consumer awareness |
Ready To Drink Market Highlights:
Frequently Asked Questions (FAQ) :
The ready to drink market size was valued at USD 1.1 Billion in 2021.
The market is projected to grow at a CAGR of 11.20% during the forecast period, 2022-2030.
Europe had the largest share in the market.
The key players in the market are PepsiCo (U.S.), Fuze Beverage (U.S.), Coca-Cola (U.S.), Nestlé (Switzerland), Kraft Foods (U.S.), Campbell Soup Company (U.S.) and Ocean Spray (U.S.).
The probiotic drink category dominated the market in 2021.
The store-based had the largest share in the market.
Senior Research Analyst I have a bachelor's degree in mechanical engineering and an mba. i have more than two years of expertise in the retail, food, and beverage, chemical, and material industries, and hence have developed a sound cross-domain expertise. a firm believer in lifelong learning and sharing of knowledge. having a proclivity for hatching ideas and trying to absorb as much information as possible in a short amount of time. introducing corporates to the data and insight, which enables them to move from probability to possibility, has been my key areas of interest.ย
Get in Touch
ยฉ 2024 Market Research Future ยฎ (Part of WantStats Reasearch And Media Pvt. Ltd.)
