This new report from Access Asia covers the market for hot tea, coffee, malted hot drinks and ready-to-drink (RTD) tea drinks. The market is a key focus of marketing activity in China, especially to the children’s and young adult markets.
The hot drinks market in China is probably the oldest in the world, the drinking of tea having been invented in China several centuries ago. Thus, the drinking of hot beverages is a long established practice in China, and the manufacturing of tea in particular is a well developed industry. Coffee, on the other hand, is a relatively new product to China, having been introduced largely in this century. Coffee has become a fashionable drink, especially amongst the urban youth of China. However, just as trendy cafés have been springing up all over the main urban centres of China, traditional-style tea houses have also become fashionable. Not only is the fashion based around image, but there is a growing trend towards drinking healthier beverages, and the herbal qualities of traditional teas are becoming key selling points in the battle to win consumers over. There has therefore been a resurgence in tea drinking concurrently with the rise in interest in drinking coffee. Both products are now becoming much more fashionable, and this is leading to a growth in new brands and the development of new products. Not only are teas and coffees drunk hot, but cold varieties of coffee and tea are also becoming very popular, leading to these drinks becoming competitors in the lucrative soft drinks market, competing with the likes of Coca-Cola and Pepsi. This is such a significant trend, that companies such as Coca-Cola and PepsiCo are developing their own brands of cold teas in order not to lose out on this dynamic market.

TABLE OF CONTENTS EXECUTIVE SUMMARY 3 CHAPTER 1 Market Overview 7 1.1 Market Definition 7 1.2 Research Highlights 7 1.3 Market Analysis 8 CHAPTER 2 Market Value 9 CHAPTER 3 Market Volume 10 CHAPTER 4 Market Segmentation I 11 CHAPTER 5 Market Segmentation II 12 CHAPTER 6 Market Share 13 CHAPTER 7 Competitive Landscape 14 CHAPTER 8 Leading Companies 15 8.1 Nestle S.A. 15 8.2 Kraft Foods, Inc. 15 CHAPTER 9 Distribution 16 CHAPTER 10 Market Forecasts 17 10.1 Market Value Forecast 17 10.2 Market Volume Forecast 18 CHAPTER 11 Macroeconomic Indicators 19 CHAPTER 12 Further Reading 21 12.1 Sources 21 12.2 Related Datamonitor Research 21 LIST OF TABLES Table 1: China Hot Drinks Market Value: $ billion, 2001-2005 9 Table 2: China Hot Drinks Market Volume: Kgs million, 2001-2005 10 Table 3: China Hot Drinks Market Segmentation I: % Share, by Value, 2005 11 Table 4: China Hot Drinks Market Segmentation II: % Share, by Value, 2005 12 Table 5: China Hot Drinks Market Share: % Share, by Volume, 2004 13 Table 6: China Hot Drinks Distribution: % Share, by Volume, 2004 16 Table 7: China Hot Drinks Market Value Forecast: $ billion, 2005-2010 17 Table 8: China Hot Drinks Market Volume Forecast: Kgs million, 2005-2010 18 Table 9: China Size of Population (million) , 2001-2005 19 Table 10: China GDP (1995=100), 2001-2005 19 Table 11: China Inflation, 2001-2005 19 Table 12: China Exchange Rate, 2001 20 CONTENTS