Ready-to-Drink (RTD) Coffee & Tea - Luxembourg

The Ready-to-Drink (RTD) Coffee & Tea market in Luxembourg has experienced significant growth in recent years, driven by changing consumer preferences and the increasing popularity of convenience beverages.

Customer preferences: Luxembourg, like many other countries, has seen a shift in consumer preferences towards healthier and more convenient beverage options. Ready-to-Drink (RTD) Coffee & Tea products offer the perfect combination of convenience and taste, making them a popular choice among busy professionals and on-the-go consumers. These beverages are often seen as a quick and easy way to get a caffeine boost or to enjoy a refreshing drink during the day.

Trends in the market: One of the key trends in the RTD Coffee & Tea market in Luxembourg is the growing demand for natural and organic products. Consumers are becoming more conscious about their health and are seeking beverages that are free from artificial ingredients and preservatives. As a result, companies in the market are focusing on developing and promoting products that are made with natural and organic ingredients. Another trend in the market is the increasing popularity of innovative flavors and blends. Consumers are looking for unique and exciting taste experiences, and companies are responding by introducing new and interesting flavors to their product portfolios. This includes flavors inspired by international cuisines and traditional tea blends.

Local special circumstances: Luxembourg is a small country with a high population density, which means that there is a strong demand for convenience products. RTD Coffee & Tea beverages offer a convenient solution for consumers who are looking for a quick and easy way to enjoy their favorite drinks. The compact size and portability of these beverages make them ideal for on-the-go consumption, whether it's during the morning commute or while running errands.

Underlying macroeconomic factors: Luxembourg has a strong economy and a high standard of living, which means that consumers have more disposable income to spend on premium products. This has created a favorable market environment for RTD Coffee & Tea companies, as consumers are willing to pay a premium for high-quality and innovative products. In addition, the growing trend of coffee shop culture and the increasing popularity of specialty coffee and tea beverages have also contributed to the growth of the RTD Coffee & Tea market in Luxembourg. Consumers are looking to recreate the coffee shop experience at home or on-the-go, and RTD beverages provide a convenient and cost-effective way to do so. Overall, the Ready-to-Drink (RTD) Coffee & Tea market in Luxembourg is experiencing growth due to changing consumer preferences, the demand for convenience, and the availability of premium and innovative products. As consumers continue to prioritize health and convenience, the market is expected to further expand 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.