Tea in Canada Fact Sheet

In 2017, the Canadian tea market in Grocery Stores was worth $329 million*.

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Grocery: Hot Tea Drives Market Growth*

  • Hot Tea 71%
  • RTD Ice Tea Cans 17.8%
  • Ice Tea Mixes 9.6%
  • Hot Instant Tea 0.9%

Format: Volume and Dollar Share*

  • In terms of pounds, regular tea bags still dominates (69.7 % tonnage), while specialty tea maintains its share of the category (26.3 % tonnage)
  • In term of dollars, it is the opposite with specialty tea dominating 60.9 % and regular tea representing 35.4% of total dollars

Foodservice: Hot Tea Growing**

  • Hot Tea consumption is up and ranks at #3, showing the strongest growth on the year (5%) compared to other beverages
  • Millennials increased their servings on the year
  • Hot Tea skews to Morning Meal (40%), which drives growth along with PM Snack occasions (12%)
  • Specialty hot tea picks up share of total hot tea
    • Specialty Hot 36% (compared 28 % 2016)
    • Regular 66% (compared to 72%2016)

Key findings from customized research conducted in 2017 by Nielsen:

  • Tea’s growth momentum continues in 2017
    • Cups per day increasing
  • Positive attitudes about tea remain consistent
    • “Relaxing” remains tea’s top health association
    • Green and herbal teas associated with health benefits
  • Millennial Tea Drinkers continue to seek innovation and variety (vs. Boomers)
    • More likely to explore new teas and to purchase tea at a variety of retailers

    * Nielsen MarketTrack, NAT XNFLD ALL CHANNELS, L52 Weeks, Period Ending October 14, 2017
    **The NPD Group Eating Patterns in Canada Report 2017

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