Report: Families, Parents Key to $25 Billion U.S. Tea Market

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Nov 02, 2015, 03:17 ET

ROCKVILLE, Md., Nov. 2, 2015 /PRNewswire/ -- In light of their elevated instant and ready-to-drink (RTD) tea household penetration and usage frequency, families have emerged as a key demographic shaping the $25 billion U.S. tea industry, according to market research publisher Packaged Facts.

The insight was revealed in the report, Tea and Ready-to-Drink Tea in the U.S.: Retail and Foodservice, 5th Edition. For an in-depth look at the report, including the abstract and table of contents, visit: http://www.packagedfacts.com/redirect.asp?progid=87990&productid=8090955.

Adult RTD iced tea usage penetration has grown 5% during 2009-2013, reaching 47%—but among those with children age 6-11 and 12-17 in the home, usage penetration has risen more strongly and overall usage penetration is higher. While this clearly places convenience-minded parents in the crosshairs of RTD marketers, it may also speak to the influence their kids have on HH tea purchasing decisions.

Instant tea mixes, on the other hand, are losing their grip on American families: while usage penetration has declined among all households, they are declining more steeply among those with young children in the home—a central demographic for this product.

Tea marketers can win over the parent demographic by positioning tea as a replacement for alternative beverages: leveraging tea's healthful properties and perhaps even juxtaposing these attributes against other popular sugary kids' beverages (i.e., sports drinks, soda), all the while underscoring ethical farming and production practices. The opportunity exists for tea marketers to leverage Millennial moms as the gateway to increasing penetration and usage among the key family demographic by leveraging these types of social media marketing tactics.

For more information on Tea and Ready-to-Drink Tea in the U.S.: Retail and Foodservice, 5th Edition visit: http://www.packagedfacts.com/redirect.asp?progid=87990&productid=8090955.

About Packaged Facts – Packaged Facts, a division of MarketResearch.com, publishes market intelligence on a wide range of consumer market topics, including consumer demographics and shopper insights, consumer financial products and services, consumer goods and retailing, consumer packaged goods, and pet products and services. Packaged Facts also offers a full range of custom research services. Reports can be purchased at www.PackagedFacts.com and are also available on www.marketresearch.com and www.profound.com.

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SOURCE Packaged Facts