2023 Trends in the Tea Market

2023 Trends in the Tea Market


The world’s most consumed drink is showing no sign of decreasing in popularity. Following the COVID-19-related lockdown, more people turned to tea for its health benefits. However, as we are leaving that era, the popularity of tea hasn’t decreased. In fact, the industry is predicted to grow from $23.3 billion to $31.6 billion USD, a 36% market increase, from now to 2028. The tea market thrived during the pandemic, but the industry as a whole is changing now to fit our needs in different ways.


Ready-to-Drink Options

Our re-entrance into our busy lifestyles, expansion of our purchasing power and drive to rebuild the economy have drastically changed our day-to-day lives. Long gone are the days of sitting at home in lockdown sipping tea. Prepackaged ready-to-drink (RTD) teas are being sold in gas stations, vending machines, and tea stalls across airports, hospitals, shopping malls, school cafeterias, and railways. A lot of the world spends the majority of their waking hours outside of the house running from errands, to work, to other activities with no time in between to brew a cup of tea. The convenience of on-the-go caffeine is creating a whole new market in the world of tea.


Innovative Fusion Flavors
Consumers are becoming increasingly interested in experimentation with flavors from around the world. “I see a continued increase in what I call heritage tradition foods, more small producers [around the globe] will continue to bring forth family recipes that are rich in flavors and stories that connect them to home and culture,” said Trendspotter V. Sheree Williams. With the increase in exploring different cultures, tea brands are branching out their flavors to highlight local cultures and cuisines. Many are craving more than just the typical tea varieties they can find in grocery stores and are looking to swap them for new, experimental flavors.


Functional Teas
As more Americans are focusing on living healthier lifestyles, herbal and holistic remedies are on the rise, namely, the consumption of functional teas. With 47% of Americans having at least one of three risk factors that contribute to heart disease, it’s no surprise that teas that actively combat these health issues are becoming more popular. Typically in America, tea drinking has been reserved for leisure and relaxation. However, recently, there has been a major shift in the view of tea from a leisure drink to a functional health drink.

Top 10 Tea Statistics for 2021 in the United States

Top 10 Tea Statistics for 2021 in the United States

Teas have been incredibly popular globally for decades, however, they seem to have grown exponentially over the last decade. What are some of the tea trends and statistics that have been seen?

1. 80% of households in the United States have a type of tea at home

2. Ready-to-drink teas have seen a sales increase of 15x since 2004 for an estimated $5.2 billion, particularly for home consumption.

3. Green teas have gained the most traction in recent years compared to any other tea.

4. 87% of millennials drink teas regularly.

5. Southern and Northeast United States have the greatest amount of tea drinkers, however over half of the American population drink tea on any given day.

6. The United States imports 519 million pounds of tea every year and the average
American will consume ½ a pound of tea every year.
7. 1 cup of black tea has about 40mg of caffeine which is equivalent to most caffeinated sodas on the market.

8. About 80% of tea beverages consumed are iced.

9. 1 pound of loose-leaf tea can make about 200 cups of tea, this means the average
American will drink 100 cups of tea every year.

10. 75% of the teas made in the United States are through steeping tea bags