Market Overview

Fruit Tea is black tea containing fruit flavours such as apple, peach, lemon, blackcurrant and more, along with herbs and spices. It contains a low amount of caffeine and is rich in antioxidants. Vitamin C. Fruit tea has a number of health benefits, such as lowering cholesterol and blood pressure, lowering blood sugar levels, boosting immunity and reducing the risk of infection.

Fruit Tea Market Analysis Demand to reach a valuation USD 2.34 million by 2030 at a 8.10% CAGR.

A rise in health consciousness among a large section of the global population leading to more preference for healthy low-caffeine beverages is driving the growth of the Fruit Tea Market Analysis. The growing popularity of fruit tea among both daily and occasional tea drinkers is also having a positive impact on the growth of the Fruit Tea Market Analysis. The younger population prefers fruit tea more than the older population, which also boosts this market. Growing population and rise in disposable incomes are other factors boosting the market growth.

High prices of fruit tea, volatility in the prices of raw materials to manufacture fruit tea, threats of alternative products and the limitations of the market for fruit tea are some major factors that hamper the growth of this market.

Market Segmentation

On the basis of category, the global Fruit Tea Market Analysis is divided into conventional and organic. The conventional segment accounted for 80% of the revenues in 2019. The high accessibility coupled with affordable pricing is the main reasons for the dominance of this segment. The organic segment is projected to grow fast in the forecast period because of increasing health consciousness among people.

On the basis of form, the global Fruit Tea Market Analysis is divided into tea bags, loose leaves and others. The tea bags segment is the fastest-growing due to its high convenience, an abundance of flavours and high-end packaging.

On the basis of distribution channels, the market is divided into offline and online. The offline segment holds the largest market share, accounting for 80% of the sales in 2019. This segment consists of supermarkets, teahouses, grocery stores, health stores, etc. Preference of consumers to taste the fruit tea flavours before making a purchase and the presence of specialist tea retailers providing authentic fruit tea are the main reasons for the dominance of this segment.

Regional Insights

On the basis of regions, the global Fruit Tea Market Analysis is divided into North America, Asia Pacific, Europe, Latin America and the Middle East and Africa.

Asia Pacific region is the largest Fruit Tea Market Analysis, accounting for 35% of the revenues in 2019. China is the biggest producer and consumer of fruit tea. North America is estimated to register the highest CAGR in the forecast period due to the growing shift of people in this region from sweet, high, calorie drinks to healthy beverages.

Industry News

• In October 2019, Hain Celestial launched TeaWell. This is a healthy tea product available in multiple fruit flavours such as grapes, elderberries and lemon.

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