The Ready-to-Drink Beverage Market in England Continues to Grow

The Ready-to-Drink Market in the UK is Expanding

The Ready-to-Drink (RTD) Tea and Coffee Market in the UK is expected to reach 580.57 million USD in 2024 and 928.84 million USD by 2033. This will occur with a %5.36 compound annual growth rate.

The main drivers of growth are the increasing demand for practical and healthy beverage options and the rising popularity of flavored and functional RTD drinks among busy urban consumers. Major players such as Starbucks and Twinings are strengthening market dynamics with innovative products like high-protein coffee beverages and sparkling teas.

Trends Driving Market Growth

In the UK, rapidly changing lifestyles are steering consumers towards RTD beverages that can be easily consumed without preparation. The availability of single-serving bottles and cans through supermarkets, shops, and online platforms supports this consumption.

For instance, in June 2024, Starbucks launched a new high-protein RTD coffee range in the UK market in collaboration with Arla. Each bottle of this range provides 20 grams of protein using low-fat milk without added sugar.

Healthy and Functional Ingredients

Healthy living trends have led to a preference for RTD teas that offer antioxidant and sugar-free alternatives in the UK. Companies are trying to meet this demand by introducing low-calorie, functional, and organic alternatives to the market. Particularly, plant-based milks and protein-enriched beverages are becoming popular among health-conscious consumers.

For example, in February 2024, Oatly introduced Barista Organic Oat Drink in the UK retail market, demonstrating that plant-based brands emphasize premium products and health benefits.

Challenges Faced

The biggest challenges facing the market include the tough competition from alternative beverages like energy drinks and freshly brewed coffee. The quest for variety among consumers could pose challenges to the potential growth of the market.

Additionally, sugar content and health regulations can lead to some RTD beverages containing excessive sugar. Many products may need to reformulate to maintain quality while remaining competitive.