Press Release

Fermented Tea Market to Grow with a CAGR of 8.42% through 2028

Increasing health consciousness and diversification of flavors are driving the Global Fermented Tea Market in the forecast period 2024-2028.

 

According to TechSci Research report, “Fermented Tea Market – Global Industry Size, Share, Trends, Competition Forecast & Opportunities, 2028”, the Global Fermented Tea Market stood at USD 4.01 billion in 2022 and is anticipated to grow with a CAGR of 8.42% in the forecast period, 2024-2028. The global fermented tea market has experienced significant growth and transformation in recent years, driven by evolving consumer preferences and a heightened focus on health and wellness. Fermented teas, including popular varieties like kombucha and kefir tea, have become increasingly popular among consumers seeking functional, flavorful, and probiotic-rich beverage options. In this overview, we'll delve into the key factors and dynamics shaping the global fermented tea market.

One of the primary drivers of the global fermented tea market is the increasing consumer emphasis on health and wellness. Fermented teas are perceived as natural, functional beverages with potential health benefits, primarily due to their probiotic content. Probiotics are known for their positive impact on gut health, which is linked to various aspects of overall well-being, including digestion, immune support, and even mental health. As consumers become more health-conscious and proactive in seeking out products that promote their well-being, fermented teas have gained traction as a go-to option.

 

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Fermented tea producers have responded to consumer demand for unique and diverse flavor experiences. While traditional kombucha was often based on green or black tea, the market now boasts a wide array of flavor profiles, from classic to exotic. Fruity, floral, spicy, and herbal infusions have proliferated, appealing to a broad spectrum of tastes. This diversification has significantly expanded the consumer base, attracting not only tea enthusiasts but also individuals looking for novel and enjoyable beverage options.

Another notable trend driving the global fermented tea market is the shift away from traditional alcoholic beverages. Particularly among younger demographics, there is a growing trend towards moderation in alcohol consumption. Fermented teas have stepped in as a desirable alternative, offering a complex and satisfying flavor experience without the intoxicating effects of alcohol. This trend has led to the development of low-alcohol and non-alcoholic fermented tea varieties, making fermented teas a popular choice for individuals seeking a healthier and less alcoholic alternative.

The global fermented tea market is increasingly influenced by sustainability considerations. As consumers become more environmentally conscious, they are drawn to brands and products that prioritize eco-friendly practices. In response, many fermented tea manufacturers are adopting sustainable sourcing of ingredients and employing eco-friendly packaging options, including recyclable, biodegradable, and compostable materials. These efforts resonate with eco-conscious consumers and contribute to brand loyalty.

The availability of fermented tea products has expanded significantly with an increasing number of distribution channels. Beyond traditional grocery stores, fermented teas are now sold in health food stores, cafes, restaurants, and even online marketplaces. The convenience of online shopping has particularly boosted accessibility, allowing consumers to explore and purchase a wide variety of fermented tea brands and flavors from the comfort of their homes. This expansion in distribution channels has played a pivotal role in increasing the global reach of fermented tea products.

In conclusion, the global fermented tea market is experiencing robust growth, fueled by consumer priorities centered on health and wellness, flavor diversity, the shift away from alcohol, sustainability concerns, and expanded distribution channels. As consumers continue to seek functional and flavorful beverages that align with their values, the fermented tea market is poised for further evolution and expansion, offering a wide range of options to cater to diverse tastes and preferences.

 

The Global Fermented Tea Market is segmented into product, distribution channel, regional distribution, and company.

 

Based on product the market is segmented into kombucha, pu-erh, and others. Kombucha, a fermented tea renowned for its probiotic benefits and unique flavor profiles, is witnessing a remarkable surge in demand within the global fermented tea market. Health-conscious consumers seeking gut-friendly beverages, combined with a trend toward healthier drinking options, are driving this growth. Kombucha's versatility in flavors and its ability to offer a satisfying alternative to traditional soft drinks and alcoholic beverages make it a popular choice. As consumers increasingly prioritize wellness and seek flavorful alternatives, kombucha continues to gain prominence, indicating a promising future in the ever-evolving beverage industry.

Based on distribution channel the market is segmented into offline and online.

Based on region the market is segmented into five regions, North America, Europe, Asia Pacific, Middle East & Africa, and South America.

 

Major companies operating in Global Fermented Tea Market are:

  • Buddha Teas
  • Humm Kombucha
  • KeVita
  • Live Soda LLC
  • GT’s Living Foods
  • Mandala Tea
  • Menghai Tea Factory
  • Born Teas
  • Hunan Provincial Baishaxi Tea Industry Co., Ltd.
  • Yogi Tea

 

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“Availability of innovative flavors is a significant trend that is expected to have an impact on growth over the forecasted period. Increasing health consciousness, changing lifestyle and product innovation will positively impact the Global Fermented Tea Market. Due to the wide range of products available to meet specific needs of, as well as the growing popularity of the online distribution channel, the market is growing at impressive rate through projected period,” said Mr. Karan Chechi, Research Director with TechSci Research, a research-based management consulting firm.

Fermented Tea Market By Product (Kombucha, Pu-Erh, Others), By Distribution Channel (Offline, Online), By Region, By Competition Forecast & Opportunities, 2018-2028F”, has evaluated the future growth potential of Global Fermented Tea Market and provides statistics & information on market size, structure, and future market growth. The report intends to provide cutting-edge market intelligence and help decision makers take sound investment decisions. Besides, the report also identifies and analyzes the emerging trends along with essential drivers, challenges, and opportunities in Global Fermented Tea Market.

 

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Increasing health consciousness and diversification of flavors are driving the Global Fermented Tea Market in the forecast period 2024-2028.

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