In his presentation, Carman Allison, NielsenIQ, said that optimism around the consumers’ personal financial situation is lagging, especially in North America and EU markets, despite the rate of inflation slowing across the globe. He explained that this has created financial polarization, noting, “it’s about the haves and the haves less.”

Allison said that in a recent consumer survey (conducted over the summer), Nielsen observed a shift from cautious to conscious consumption. “Heading into 2025, the state of consumers is determined, with three types of consumers [emerging]: resilient, vigilante and intentional. Consumers are spending in a more strategic way — they prioritize at-home, planning and waste-avoidant spending.”

This behaviour, Allison said, has ‘redefined discount’. “Consumers have embraced (and expect) a broader value from the concept of ‘discount’,” which is impacting buying behaviour across the board, not just in food, beverage (coffee and tea included) and other CPG products.

In their presentations, both Shabnam Weber, president of the Tea and Herbal Association of Canada (THAC), which organized and hosted this year’s NATC, and Peter Goggi, president of the Tea Association of the USA, discussed how health and wellness are driving components for consumers’ purchases.

“Consumers are searching for authenticity and community. People are disillusioned, particularly those ages 16-25,” said Weber, “but what’s hot is wellness and it spans all demographics.”

And while this should greatly benefit tea, it has competition from other ‘healthy beverages’. “Humans don’t ‘drink more’ during day, that is, they do not increase the number of beverages they drink in a day,” said Goggi, “they are swapping out one beverage for another, not adding.”

One strong opportunity for tea is in foodservice. “Globally, tea as an away-from-home beverage has a significant share,” said Margot Swindall of Technomic, but tea has an opportunity to further expand its share. She said cold/iced/frozen teas are growing in both Canada and US. “Hot tea is more often used as a pick-me-up while iced tea tends to serve as a meal companion and thirst-quencher (especially in the US).”

Swindall highlighted the top global foodservice consumer markets for tea for both hot and cold/iced tea in her presentation:

Hot Tea

1. Russia (47%)
2. India (43%)
3. Chile (37%)
4. Indonesia (37%)
5. Malaysia (36%)

Cold Tea

1. Philippines (52%)
2. Indonesia (45%)
3. Malaysia (44%)
4. S. (41%)
5. Thailand (39%)

Swindall said that tea meets other beverages head on in creativity and format extension on the global foodservice stage (in terms of functionality, healthy indulgence, etc.), and consumers are willing to experiment with tea (flavours and formats) — all of which enhances tea’s ability to grow its share in the foodservice channel.

“Foodservice is the playground for tea trial, experimentation and innovation,” Swindall stressed. So not taking advantage of this ‘under tapped’ market would be quite a missed opportunity.

• Vanessa L Facenda, editor, Tea & Coffee Trade Journal.
  Keep in touch via email: vanessa@bellpublishing.com Twitter: @TCTradeJournal or LinkedIn: Tea & Coffee Trade Journal

The post Foodservice is an ‘under tapped’ market for tea appeared first on Tea & Coffee Trade Journal.

Amcor, a Zurich, Switzerland-based packaging solutions company conducted a study on European consumers’ preferences and the factors shaping their coffee purchasing decisions. Their research reveals that European coffee consumers prioritise taste, aroma, brand, and price when selecting coffee.

Approximately, 70% of respondents consider brand trust to be ‘very important’ in their purchasing decisions. Additionally, packaging size and convenience are essential factors. Country-specific preferences indicate that UK respondents are particularly sensitive to the ‘premium aspect’ of coffee packaging, with 52% rating this criterion as ‘very important’.

The research also finds that convenience, robustness, and packaging material are key considerations in assessing the premium quality of coffee packaging.

“These insights underscore the positive correlation between packaging and fostering brand trust,” stated Giorgio Dini, coffee marketing manager at Amcor. “Well-designed packaging can align with consumer preferences and significantly influence their purchasing decisions.”

Nearly 70% of the shoppers polled have, at least sometimes, based their coffee choices solely on packaging. The research found that packaging proves to be particularly important for Gen Zers and millennials (18–34-year-olds).

Convenience is vital, as 50% of respondents see it as a key feature, and 33% said that they would not repurchase a pack if it was not easy to use. The research finds that when it comes to packaging functionality, “consumers rate ‘easy to open and reclose’ as second most appealing, after ‘preserves coffee aroma’.”

Sustainable packaging is important to European coffee consumers, with 44% of respondents affirming its positive influence on repurchasing decisions. This is top of mind with the two leading demographic groups – Gen Z and millennials – with 46% prioritising social and environmental factors.

According to the study, one in five consumers indicated they would forgo purchasing a coffee brand perceived as unsustainable, and 35% said they would be deterred by overpackaging. The research also revealed that consumers prioritise ‘less plastic’ and ‘recyclable’ claims in coffee packaging. Notably, 73% of UK respondents rated ‘recyclability’ as the most important claim.

The primary research conducted by Amcor, surveyed 1,655 grocery shoppers across the UK, Germany, France, Spain, and Italy. Consumers questioned have purchased coffee products in the last six months.

• Vanessa L Facenda, editor, Tea & Coffee Trade Journal.
  Keep in touch via email: vanessa@bellpublishing.com Twitter: @TCTradeJournal or LinkedIn: Tea & Coffee Trade Journal

The post European consumers prioritise packaging in coffee-purchase decisions appeared first on Tea & Coffee Trade Journal.

According to the Celestial Seasonings poll, the leading beverages adult Americans are drinking every day include:

•  Water (65%)
• Coffee (58%)
• Tea (30%)
• Juice (28%)
• Soda (24%)

The poll results found that tea is a popular choice among millennials, which make up three in five of those who prefer tea, and more than a third (34%) of this group turns to tea every day. According to the survey results, millennials’ beverage of choice to relax, to wake up, and to stay productive, is tea. Functional teas with benefits like melatonin, probiotics, and high caffeine levels (as much as a cup of coffee) continue to attract younger tea drinkers.

“Whether we’re returning to the office or working from home, we want to feel productive and energized,” said Tim Collins, general manager/vice president of Celestial Seasonings, Boulder, Colorado. “Millennials polled say a simple switch from coffee to tea has the potential to not only sustain that productivity, but also provide multiple benefits. Tea is having a big moment. We’re seeing a record number of consumers across age groups reach for tea, thanks to their new advantages that make healthful choices easier.”

The Celestial Seasonings poll results revealed that:

• While coffee connoisseurs may have the most drive in the morning (65%), less than a third of them (29%) keep that motivation in the afternoon. Meanwhile, (41%) of those who favour tea said they are typically brimming with energy in the afternoon, making for more productive days.
• Those who mainly drink water get the best sleep, as three in five say they get between six to eight hours every night, compared to just 42% of those who primarily sip coffee. More people who primarily choose water over other beverages reported lower levels of anxiety and stress (61%).
• Nearly all primary tea drinkers (93%) place high importance on their health and strive to make healthful choices. While (92%) of coffee lovers say the same thing, nearly two in five report their mental health constantly weighed down by feelings of anxiety or stress (38%). [Editor’s note: the anxiety and stress are more than likely related to the specific individuals/respondents and not the result of coffee consumption.] Among respondents who mainly sip tea (25%), and nearly a quarter of all respondents (23%), said tea is their beverage of choice when they want to unwind.

The survey also uncovered other interesting ‘tea factoids’ such as nearly three in five (58%) dominant tea-sippers live in the eastern United States, while more women (60%) than men (39%) are likely to continue drinking tea throughout the day. Furthermore, 63% of Americans get their fill of tea more than once a week, and nearly half (48%) of those respondents enjoy a cup every day.

The online quantitative survey was conducted by OnePoll, utilizing responses from 2,005 Americans located throughout the United States. Respondents, aged 18 and older, were surveyed based on their beverage consumption and preferences.

The survey did not specify what types of tea – black or green, for example– consumers may be choosing for their afternoon ‘caffeine pick-me-up’ or which botanical/herbal tea they may be drinking to unwind in the evening — there are certainly many options. Enjoy your cuppa!

• Vanessa L Facenda, editor, Tea & Coffee Trade Journal.
  Keep in touch via email: vanessa@bellpublishing.com Twitter: @TCTradeJournal or LinkedIn: Tea & Coffee Trade Journal

The post Tea is still top as a healthy beverage choice appeared first on Tea & Coffee Trade Journal.

The survey revealed that 30% of Brits disagree on the following brewing method: tea bag goes in first, boiling water is second and the milk is the final step. To no surprise, the majority – 96% – agreed that microwaving the water is just wrong. (I wonder what the response would have been if using a single serve brewing system for just the water was a survey question…)

The survey revealed that the top brewing-techniques according to Brits are:

• Tea bag, water, milk: 70.4%
• Water, tea bag, milk: 12.5%
• Tea bag, milk, water: 6.8%

Is anyone adding the milk first? Surprisingly, the answer is yes. The research found that more than 76% of people who add the milk first are men. And although many respondents agreed that microwaving the water is wrong, the survey discovered that most men (71%) actually opt to microwave the water rather than boiling the water in a kettle.

Furthermore, half of the respondents who add the tea bag the last and microwave the water are between 25 and 44 years old.

The survey also revealed that 65% of Brits prefer their tea without sugar. The data shows that younger generations are more likely to have a sweet brew, with Gen Zers typically adding two teaspoons and millennials, three. Meanwhile, most people ages 45 years and older do not add sugar to their tea. (This is on par with coffee studies that find younger demographics also prefer their coffee, both hot and cold, sweeter than older consumers.)

Without a doubt, the UK is a nation of tea-lovers, and this passion has continued to grow since the first lockdown in March 2020 with Brits drinking more tea than ever. According to the survey, the Northern Irish are the most “cuppa addicted” in the UK with the majority of respondents admitting to having more than five cups of tea per day, followed by the Welsh with 3-5 daily cups. The English and Scottish share the same levels of tea consumption per day: between 1-2 cups.

The survey also offers insights into another great tea debate: Which are Brits’ favourite tea brands? The data shows there is stiff competition between two brands: Yorkshire (favourited by 26.2%) and PG Tips (26.1%). The four most popular tea brands in the UK, per the survey are:

1. Yorkshire Tea: 26.2%
2. PG tips: 26.1%
3. Tetley: 13.2%
4. Twinings: 7.2%

This study was conducted by the Pluckley, Ashford-based, The Kent and Sussex Tea and Coffee Company. The data used in this study was collected via the Google Survey platform and conducted between 9 and 12 February 2021. The tea-consumption habits of approximately 2000 Brits were analyzed through questions to users that cover brewing techniques, milk and sugar preferences, daily tea intake and brand choices. Data points were then averaged and grouped by age group, gender and country.

So, while the great “proper cuppa” debate in the UK rages on, and as the weather is nearing 70˚F (c. 20˚C) again in New York City today, I may do something very “American,” and have an iced tea (but not a sweet tea!)!

• Vanessa L Facenda, editor, Tea & Coffee Trade Journal.
  Keep in touch via email: vanessa@bellpublishing.com
  Twitter: @TCTradeJournal or LinkedIn: Tea & Coffee Trade Journal.

The post Is microwaving water for tea acceptable? appeared first on Tea & Coffee Trade Journal.