Functional Tea Market Size, Share, Global Demand, Key Vendors, Drivers, Trends and Forecast to 2023

Functional Tea Market Global Information by Type (Fruit Tea, Herbal Tea, Flower Tea and others), Form ( Broken Tea, Loose Tea, Instant Tea Powder and Others), Function (Heart Health, Weight loss, Detox and Others), Packaging (Can, bag, Bottle, Sachet and Others ) and Region – Forecast to 2023

Market Overview

Global Functional Tea Market is accruing rapidly across the globe, mainly due to the growing FMCG sector worldwide, moving with the augmenting adoption of medicinal herbs and natural ingredients in the treatment of several ailments. Besides, the growing shift in consumer preferences, especially in the young consumer base towards natural and organic products is providing impetus to the market growth.

Additionally, novelties in flavor and packaging form brought about by the key players operating in the market are attracting the consumers to buy functional tea. Also, rising health awareness among consumers about the health benefits of functional tea has boosted the market demand for the herbal and Longjing functional tea. Resultantly, the functional tea market is growing pervasively on the global platform.

Considering the growth, the market is witnessing currently, Market Research Future (MRFR), in its recently published study report foretells that the global functional tea market, growing rapidly will gain phenomenal accruals by registering an outstanding CAGR during the review period (2017-2023).

Moreover, factors substantiating the market growth include growing millennial genre, growing industrialization & urbanization along with the improving economic conditions worldwide. Some giant players meticulously strategize their packaging solutions that can enhance the product & customer experience, while aligning with their branding of providing top of the line product innovation.  Such factors commutatively act as the tailwind to the market growth.

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Furthermore, distribution channels are playing a vital role in the development of this market, witnessing the proliferation of large format retail including hypermarkets, supermarkets, and online shopping.  Online channels perceive a huge growth, providing convenience to the price-sensitive consumers.

Competitive Analysis

The functional tea market appears to be highly competitive owing to the presence of numerous well-established players. These players are increasingly focusing on reducing the brand recall of their products among consumers, through effective marketing communications. Brand recall usually occurs due to the low product differentiation and the availability of a wide range of similar products. High potential growth demonstrated by the market is expected to attract several new entrants during the anticipated period. As a result, the competition will get further intensifying

Some of the prominent players profiled in MRFR analysis include Herbaty Szlachetne Sp. Z O.O. (Poland), Tata Tea Limited (India), Guangzhou Lohas Biological Technology Co., Ltd (China), The Mate Factor (US), Godrej Tea (India), Wuhan z-Micro Unite S&T Co., Ltd. (China), and Organic India (India)

Industry/Innovation/Related News

August 31, 2018 – Baidyanath Ayurveda (India), one of the leading global Ayurveda product company announced its venture into the growing functional herbal tea market with the launch of four variants – Laxi Tea, Trim Tea, Vital Tea and Coff Tea.

The fast-moving consumer goods (FMCG) sector worldwide, is moving towards the wider adoption of Ayurveda, involving the usages of medicinal herbs and natural ingredients in the treatment of several ailments. Seeing the growing shift in consumer preferences and the youth towards natural organic and Ayurvedic products, the company decided to foray into the FMCG market with health benefit products, including herbal tea.

Market Segments

The MRFR analysis is segmented into five key dynamics for the convenience of understanding;

By Types: Fruit Tea, Herbal Tea, Longjing Tea, and Flower Tea among others.

By Form:  Broken Tea, Loose Tea, and Instant Tea Powder among others.

By Functions: Heart Health, Weight loss, and Detox among others.

By Packaging: Can, bag, Bottle, and Sachet among others.

By Regions: North America, Europe, APAC and the Rest-of-the-World.

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