Close this search box.

Is the global health and wellness trend refreshing South Africa’s RTD/Iced Tea Market?

In light of the growing movement towards health and wellness, which has been accelerated by the ongoing COVID-19 pandemic, health-focused RTD Tea products are brewing interest in the RTD Tea market. This includes increased demand for low-sugar or sugar-free RTD Tea options, as well as healthier variants, such as rooibos and green tea, as well as kombucha. As these health-focused products increasingly become consumer’s ‘cup of tea’, these products are set to drive both the global and local RTD Tea markets.

Insight Survey’s latest SA RTD/Iced Tea Industry Landscape Report 2021, carefully uncovers the local and global RTD/Iced Tea market (including the impact of COVID-19), based on the latest information and research. It describes the latest global and local market trends, innovation and technology, drivers and challenges, to present an objective insight into the South African RTD Tea industry environment, and its future.

In 2020, the value of the global RTD Tea market reached a total value of approximately US$38.5 billion, as illustrated in the graph below. Furthermore, over the next six years, the global RTD Tea market is predicted to grow at a compound annual growth rate (CAGR) of 4.2%, to reach a value of approximately US$51.6 billion in 2026.

RTD Tea Market

Source: MarketWatch. Graphics by Insight Survey

In South Africa, the local RTD Tea market is expected to grow at a CAGR of 3.3% over the forecast period 2021-2025. This growth is expected to largely be driven by increased demand for healthier beverages, as well as the launch of new RTD Tea products that cater to this growing demand.

This demand can be seen globally, with a rising number of health-conscious consumers increasingly avoiding unhealthy carbonated beverages in favour of perceived healthier alternatives, such as RTD Tea products. This trend has been further bolstered by the ongoing COVID-19 pandemic, with greater emphasis being placed on the link between diet and health, amongst global consumers.

Similarly, this trend has also filtered into the South African market, with South African consumers seeking out beverages perceived to be healthier, in line with their shift towards a more holistic focus on health, diet, and lifestyle.

In particular, consumers are increasingly becoming conscious of the negative health effects of sugar on their diet, especially in terms of beverages that they consume. This has resulted in many consumers seeking out beverages that have low or no sugar content, such as sugar-free RTD Tea products. Some examples of companies that offer popular reduced-sugar and sugar-free variants, include leading local brands, BOS, Lipton, REAL-T, and Toni Glass Collection.

Furthermore, many consumers are opting for healthier teas, such as rooibos, green tea, and kombucha, due to the associated health benefits that these teas offer. By extension, RTD Tea products containing these teas are also becoming increasingly sought after by South African consumers, with these products gaining momentum over the past few years.

For example, rooibos, which has been linked to slowing down the ageing process, detoxing the body, and promoting energy, has become a staple for many South Africans. This has resulted in well-known RTD Tea brands that offer organic rooibos-based RTD Teas, such as BOS, Rubro, and REAL-T, becoming popular amongst consumers.

Additionally, green tea and kombucha have become especially popular amidst the COVID-19 pandemic, due to the perceived benefits of these teas. This includes reducing the risk of cardiovascular diseases and strokes, which is associated with green tea, as well as kombucha being popular due to it containing probiotics and antimicrobial properties, which are especially relevant during the pandemic.

Green tea-based RTD Tea products popular in the market include the Manhattan Ice Tea brand, which offers a range of green RTD Tea products in a variety of flavours. In terms of kombucha, these products are becoming increasingly available, with more players entering the market, such as Brew Kombucha. Moreover, South African retailer, Woolworths, also offers an extensive line of RTD Tea kombucha products throughout its stores.

Moreover, the rise in popularity of these RTD Tea products has resulted in the launch of new health-focused RTD Teas in the South African market. This includes the Carmien RTD Ice Tea product, which was launched in December 2020. This product was developed from the idea of a product base that contains fresh, hot-brewed rooibos tea, with reduced sugar content. Another recent example includes the new Manhattan Iced Tea Rooibos range, which was launched in January 2021. This product range is designed to have a very low glycaemic carbohydrate and saturated fat content, thereby appealing to more health-conscious consumers.

The South African RTD/Iced Tea Industry Landscape Report 2021 (71 pages) provides a dynamic synthesis of industry research, examining the local and global RTD/Iced Tea industry (including the impact of COVID-19), from a uniquely holistic perspective, with detailed insights into the entire value chain – key global and South African market trends, innovation and technology, drivers and challenges, as well as manufacturer, distributor, and pricing analysis.

Some key questions the report will help you to answer:

  • What are the current market dynamics of the global RTD/Iced Tea industry?
  • What are the key global South African RTD/Iced Tea industry trends, innovation and technology, drivers, and challenges?
  • What are the market size value and volume trends in the South African RTD/Iced Tea market (2015-2020) and forecasts (2021-2025), including the impact of COVID-19?
  • Who are the key manufacturers and distributors in the South African RTD/Iced Tea industry?
  • What are the prices of popular RTD/Iced Tea brands at leading South African retail outlets?

Please note that the 71-page report is available for purchase for R30,000.00 (excluding VAT). Alternatively, individual sections can be purchased for R12,500.00 (excluding VAT). For more information, please email or call our Cape Town office on (021) 045-0202 or Johannesburg office on (010) 140- 5756.

For more details and a full brochure: South African RTD/Iced Tea Industry Landscape Report 2021  

About Insight Survey:

Insight Survey is a South African B2B market research company with more than 15 years of heritage, focusing on business-to-business (B2B) market research to ensure smarter, more-profitable business decisions are made with reduced investment risk.

We offer B2B and industry research solutions, to help you to successfully improve or expand your business, enter new markets, launch new products, or better understand your internal or external environment.

Our bespoke Competitive Business Intelligence Research can help give you the edge in a global marketplace, empowering your business to overcome industry challenges quickly and effectively, and enabling you to realise your potential and achieve your vision.

From strategic overviews of your business’s competitive environment, through to specific competitor profiles, our customised Competitive Intelligence Research is designed to meet your unique needs.

For more information, go to

Scroll to Top