Brazil Ready-to-Drink (RTD) Coffee Market Size

Brazil RTD Coffee Market Analysis

Brazil's ready-to-drink (RTD) coffee market is expected to register a CAGR of 2.8% over the next five years.

• Brazil is one of the largest producers of coffee beans in the world. According to National Supply Company (Portuguese: Companhia Nacional do Abastecimento (CONAB)), in 2022, the revenue of coffee production in Brazil was USD 11.81 billion. Brazil is one of the largest coffee-producing countries in the world, and coffee consumption is deeply ingrained in Brazilian culture. As a result, the country has a high demand for coffee beverages.
• Ready-to-drink coffee beverages have become increasingly popular in recent years due to their convenience and portability. These types of beverages are often packaged in containers such as cans or bottles, making them easy to consume on the go or while traveling. Ready-to-drink coffee products provide energy, freshness, and antioxidant benefits, so their consumption is increasing among millennials and working people.
• Additionally, the availability of ready-to-drink coffee products across various distribution channels has played a significant role in driving the market's growth. Supermarkets and retail stores are the primary channels for the distribution of these products in Brazil, as they allow manufacturers to reach a wide consumer base. Convenience stores have also become a popular distribution channel, particularly in urban areas where consumers are always on the go and looking for quick and easy options.
• In recent years, the growth of e-commerce has further expanded the reach of ready-to-drink coffee products in Brazil. With the increasing adoption of online shopping, consumers can now easily purchase their favorite coffee beverages from the comfort of their homes and have them delivered to their doorstep. This has opened up new opportunities for manufacturers to reach consumers in remote areas where traditional distribution channels may not be as accessible.
• With an increasing emphasis on health and wellness, many consumers in Brazil are turning to coffee beverages as a healthier alternative to sugary carbonated drinks. To cater to this growing market of health-conscious consumers, many coffee beverage manufacturers are innovating and diversifying their product offerings. In addition to traditional coffee flavors, they incorporate new and unique flavors, such as floral notes and other natural flavors, to appeal to younger consumers looking for new taste experiences. These innovations have helped drive growth in the ready-to-drink coffee market in Brazil, as more consumers opt for these products over highly processed drinks.
• However, increasing prices of coffee beans in the market are expected to restrain the market growth in the country. Over the medium term, the market is expected to grow owing to increasing innovations and consumer demand for convenience products.