Slimming Tea Market (2021 - 2028) Size, Share & Trends Analysis Report By Product (Green Tea, Herbal Tea, Black Tea), By Distribution Channel (Hypermarkets & Supermarkets, Online, Convenience Stores), By Region, And Segment Forecasts

Report Overview

The global slimming tea market size was valued at USD 7.76 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 6.5% from 2021 to 2028. The growing prevalence of lifestyle diseases, coupled with a rise in health-conscious consumers, is a major factor driving the demand for slimming teas. The Covid-19 pandemic has affected the tea industry as there were unprecedented restrictions to mitigate the risk of the virus, for instance, in India, the lockdown damaged the first harvest of teas in Assam and Darjeeling impacting the tea industry in India. Furthermore, the changes in climatic conditions, coupled with the ongoing pandemic, resulted in the destruction of several tea plantations in the country.

The pandemic has compelled the industry players to launch new flavors in tea, which cater to the shifting consumer preference. In addition, during the lockdown, the consumption of tea at home increased as customers were eager to try different teas in this period.

Furthermore, the pandemic has encouraged companies in the market to improve their supply chain and the companies are working on providing a transparent list of raw material suppliers to the public. Companies such as Tata Tea, Typhoo, and Clipper have revealed the list of their suppliers to maintain transparency.

Tea companies in the market are experimenting with new flavors as consumers are looking for healthy options. Companies such as Celestial Seasonings are introducing herbal teas in different flavors. The pandemic has made many people realize the importance of immunity-boosting beverages and has increased the demand for weight loss teas.

Product Insights

The green tea segment held the largest share of over 30.0% in 2020 and is expected to witness the fastest growth over the forecast period owing to its antioxidant properties. In 2021, Bigelow Tea, a specialty tea company in the U.S., launched green tea with flavors like tart berries and earthy echinacea. In addition, in April 2021, ITO EN launched green tea and matcha blend with other functional ingredients. Based on product, the market is categorized into black tea, green tea, herbal tea, and others.

In Japan, companies and the government are promoting domestic tea consumption in the country. For instance, the Prefectural tea chamber and Shizouka Prefecture are collaborating with food and beverage manufacturers to create demand for Japanese black tea.

Distribution Channel Insights

The hypermarkets and supermarkets segment held the largest share of over 35.0% in 2020. The segment is driven by the rising in-home consumption of beverages, such as tea and coffee. During the pandemic, the in-home consumption of beverages has increased due to the longer stay-at-home period. Based on distribution channels, the market is segmented into hypermarkets and supermarkets, convenience stores, online, and others.

The online segment is projected to exhibit the fastest CAGR of 7.3% over the forecast period as several consumers are adopting the e-commerce platforms. For instance, according to Grocery Outlet Holding Corp., increasing demand for grocery e-commerce offers an opportunity for several companies to test e-commerce approaches to adopt new models.

Regional Insights

In 2020, Asia Pacific held the largest share of more than 30.0%. The rising demand for functional beverages and healthy teas is driving the regional demand. In 2019, green tea production reached 32% of the global output. The green tea exports include 84% of the tea imports through the country. In addition, herbal teas, purple tea, and fruit teas are in high demand.

The European market is anticipated to witness the fastest growth over the forecast period. The European market for slimming tea is driven by the rising demand for low-sugar foods. For instance, in 2021, the European Commission approved the use of Rebaudioside M (Reb M) for food and beverages. This initiative is expected to enable producers in exploring a new toolkit for sugar reduction in various product categories.

Key Companies & Market Share Insights

The market for slimming tea is characterized by the presence of major players. These firms have a strong distribution network and a wide geographical presence. Companies in the tea industry are launching new flavors to impact customers’ buying preferences. The growing demand for slimming teas from health-conscious consumers is acting as an opportunity for the players to increase their market share.

Furthermore, the growing number of tea bars and cafes is propelling the demand for different types of herbal teas. In 2021, Unilever announced to diversify its tea segment in Western Europe and North America. The company will be continuing its business operations in Indonesia and India. Some prominent players in the global slimming tea market include:

• ITO EN LTD.

• Celestial Seasonings

• Nestle S.A.

• Unilever

• Tata Consumer Products

Slimming Tea Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2016 to 2028. For this study, Grand View Research has segmented the global slimming tea market report based on product, distribution channel, and region:

• Product Outlook (Revenue, USD Million, 2016 - 2028)

  • Black Tea

  • Green Tea

  • Herbal Tea

  • Others

• Distribution Channel Outlook (Revenue, USD Million, 2016 - 2028)

  • Hypermarkets & Supermarkets

  • Convenience Stores

  • Online

  • Others

• Regional Outlook (Revenue, USD Million, 2016 - 2028)

  • North America

    • U.S.

    • Rest of North America

  • Europe

    • U.K.

    • Rest of Europe

  • Asia Pacific

    • China

    • India

    • Rest of Asia Pacific

  • Central & South America

    • Brazil

    • Rest of Central & South America

  • Middle East & Africa

    • Turkey

    • Rest of Middle East & Africa