The Global Caffeinated Beverage Market is expected to reach $310.5 billion by 2025, growing at a CAGR of 6.8% during 2019-2025.
A caffeine beverage is a drink that contains caffeine, which is a stimulant that is legal and popular in most advanced countries. The most popular naturally-caffeinated drinks are coffee and tea, which in one form or another (usually served hot, but sometimes iced) can be found in most world cultures. Many beverages are chemically caffeinated as part of their production process. These include other soft drinks (primarily cola drinks), as well as energy drinks designed to stimulate and to perpetuate activity at times when the person is expected to normally be asleep.
Caffeinated beverage intake is often intended for the physical and mental effects of caffeine in whole or in part. Examples include the ingestion of tea or coffee with breakfast in many Westernized cultures to' wake up' or the deliberate intake of energy drinks by night-time students or revellers trying to maintain a vigilant attitude during social recreation. However, if consumed in excessive amounts, caffeine can cause physical dependence.
Most information on the health benefits and risks of caffeine arises from observational studies wherein self-reported beverage and food consumption are correlated with health outcomes. These experiments complicate the classification of caffeine itself as the causative agent and the removal of residual confounding. There is insufficient evidence on the basis of available data to encourage or discourage regular consumption of coffee and/or tea. The effects of caffeine on neuropsychiatric, cardiovascular, endocrine, and gastrointestinal systems are numerous.
A higher awareness of caffeine drinks' health benefits, such as improved metabolism and endurance, is expected to fuel demand for the product, thereby increasing the market growth. In addition, increased income levels and better living standards are projected to have a significant impact on market growth in emerging regions like China and India. However, the rapidly expanding e-commerce sector worldwide provides the industry with numerous growth opportunities.
Major companies, such as PepsiCo Inc., Nestle S.A., and Red Bull GmbH, are targeting emerging markets, which will, in effect, boost the overall market growth. Furthermore, increased research and development and the use of natural sweeteners in caffeinated beverages will fuel their demand.
The World Health Organization (WHO) advises all countries to tax sugary drinks in order to reduce the issue of obesity, which is rapidly spreading mainly in North America and Europe. In 2014, Mexico's 10.0% tax introduction on sugar beverages resulted in an average 6.0% reduction in its purchase. This is likely to reduce the intake of carbonated soft drinks over the coming years.
These beverages are meant to provide instant energy as well as mental and physical stimulation. Caffeine is the main ingredient that helps activate the skin. Taurine is another major component that is essential for skeletal muscle development and cardiovascular function.
Growth in the segment is powered by the increasing number of e-commerce websites, like Natures Basket Ltd., Bakery Cart, and Amazon, offering a wide variety of different brands' soft and energy drinks. These sites provide door-to-door delivery services and sell discounted branded products, which will also improve product sales across online channels. In addition, the growth of the segment has been positively affected by online services offered by Quick Service Restaurants (QSRs) including McDonald's and Wendy's.
Rapid urbanization and an increase in the disposable income of the consumers have driven the growth of the ready meals market. Changes such as income levels, small family, busy lifestyle, growing number of working women, and most importantly, a shift from the rural to urban areas have driven the demand for easy to cook foods. Additionally, an increase in the purchasing power of consumers in middle and lower-level countries has also contributed to the growing demand for ready to eat meals. A rise in income levels of consumers is expected to significantly contribute to the growth of the ready meals market.
The major strategies followed by the market participants are Product launches and Partnerships & Collaborations. Based on the Analysis presented in the Cardinal matrix, The Coca Cola Company, PepsiCo, Inc., and Nestle S.A. are some of the forerunners in the Caffeinated Beverage Market.
Companies such as Red Bull GmbH, Keurig Dr Pepper, Inc., Monster Beverage Corporation, Rockstar, Inc., and Taisho Pharmaceuticals Holding Co., Ltd. are some of the key innovators in Caffeinated Beverage Market.
Based on Distribution Channel, the market is segmented into Online and Offline. Based on Product, the market is segmented into Carbonated soft drinks, Energy drinks, RTD Tea and coffee and Others. The report also covers geographical segmentation of Caffeinated Beverage market. The geographies included in the report are North America, Europe, Asia Pacific, and Latin America, Middle East & Africa. For the better analysis, the geographies are segmented into countries.
Key companies profiled in the report include
- Keurig Dr Pepper, Inc. (Dr Pepper Snapple Group)
- Monster Beverage Corporation
- Nestle S.A.
- PepsiCo, Inc.
- Red Bull GmbH
- Rockstar, Inc.
- Taisho Pharmaceuticals Holding Co. Ltd.
- The Coca-Cola Company
- AriZona Beverages Company LLC and
- Innovation Ventures, LLC.
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