Ready-to-Drink (RTD) Coffee - South America

The Ready-to-Drink (RTD) Coffee market in South America has been experiencing significant growth in recent years. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors have all contributed to this development. Customer preferences in South America have shifted towards convenience and on-the-go consumption. With busy lifestyles and a growing urban population, consumers are seeking convenient and portable beverage options. RTD coffee provides a quick and easy solution for coffee lovers who are looking for a caffeine boost while on the move. The popularity of RTD coffee is also driven by its wide range of flavors and varieties, catering to different consumer tastes and preferences. Trends in the market have further fueled the growth of the RTD coffee market in South America. The increasing adoption of Western lifestyles and coffee culture in the region has led to a greater demand for RTD coffee. Additionally, the rise of e-commerce and online shopping platforms has made it easier for consumers to access and purchase RTD coffee products. This has expanded the market reach and availability of RTD coffee in South America. Local special circumstances in South America have also played a role in the development of the RTD coffee market. The region is known for its coffee production, with countries like Brazil and Colombia being major coffee producers. This has created a strong coffee culture in South America, making RTD coffee a natural extension of the local coffee tradition. Furthermore, the growing popularity of coffee shops and cafes in urban areas has increased consumer awareness and interest in RTD coffee. Underlying macroeconomic factors have contributed to the growth of the RTD coffee market in South America. Economic growth and rising disposable incomes have led to an increase in consumer spending on premium and convenience products, including RTD coffee. Additionally, changing demographics, such as a growing middle class and a younger population, have created a larger consumer base for RTD coffee. The increasing urbanization in South America has also led to a greater demand for on-the-go beverage options, driving the growth of the RTD coffee market. In conclusion, the Ready-to-Drink (RTD) Coffee market in South America is developing due to customer preferences for convenience, trends in the market, local special circumstances, and underlying macroeconomic factors. As consumer lifestyles continue to evolve and coffee culture becomes more prevalent, the RTD coffee market in South America is expected to experience further growth in the coming years.

Data coverage:

The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:

Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on Non-Alcoholic Drinks, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Non-Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.