Dairy Market Trends
June 1, 2010
Today’s shoppers want it all – they want taste, value and convenience at a price point that doesn’t break the bank. Now consumers can have it all thanks to a lineup of refrigerated, ready-to-drink tea and coffee beverages that attempt to offer instant gratification with every exotic and refreshing gulp.
Tea lovers, for instance, can achieve complete satisfaction in the $2.1 billion canned or bottled tea segment.
According to Chicago-based SymphonyIRI Group, AriZona Beverage topped the charts at $587.4 million in sales as of March 21, with its unsweetened tea that comes in a 10-ounce resealable PET bottle and is pre-priced at $1. The Cincinnati-based beverage company also enjoyed a leap in dollar sales of more than 150%, SymphonyIRI data says, for its AriZona Arnold Palmer line of Half & Half tea, which combines black tea and lemonade into a 20-ounce PET bottle.
Meanwhile, Lipton Brisk tea experienced a 23% climb in sales, according to SymphonyIRI data, while Gold Peak snagged the eighth slot with a nearly 24% jump in sales for its new chilled tea selection, which comes in a multi-serve 59-ounce carafe bottle and is available in Sweetened and Lemon flavors.
Of particular good news to dairy processors, refrigerated teas also saw an uptick in sales with private label coming in first at $121.3 million in sales, SymphonyIRI data says.
Turkey Hill Dairy placed second with $93.4 million in sales, thanks in part to the re-introduction of its decaffeinated iced tea in a half-gallon bottle.
Likewise, Swiss Premium Tea came in fourth with a 60% jump in sales for its lineup of Regular, Diet, Southern Style Sweet and Green Tea with Ginseng and Honey offerings that come in gallon, half-gallon and pint sizes.
Rutter’s Dairy, meanwhile, saw sales rise nearly 48% over last year for its broad assortment of tea items, SymphonyIRI data shows. The York, Pa.-based processor urges consumers to enter the Cold Drink Zone of its company-owned convenience stores, filled with iced tea, tea coolers, brewed tea, sweet tea and fruit-flavored tea offerings.
On the other hand, Pom Wonderful experienced a 33% drop in sales since last year, SymphonyIRI data says, despite the Los Angeles-based company’s revamp of its Anitoxidant Super Tea line. However, the company experienced a 200% leap in sales for its PomX ready-to-drink coffee line.
Others in the $22.1 million RTD coffee category also saw some impressive gains.
For example, SymphonyIRI reports Shock Coffee’s sales skyrocketed more than 12,000% since last year, as the brand continues its meteoric rise by finding new outlets for its products. Meanwhile, Adina Coffee’s sales saw a less jaw-dropping but still impressive rise of nearly 133%.
Instant gratification can be hard to come by, but today’s makers of tea and coffee beverages are helping consumers get closer to being completely satisfied.