Taiwan is a fast-growing beverage consumer market and a magnet for new brands, both big and small. Juice, soft drinks, bottled water, alcohol, and other key beverage categories are all experiencing strong year-over-year growth, making it a good alternative for businesses looking to expand or just diversify their market exposure.
With annual sales of approximately US$ 2.7 billion and per capita spending of US$ 112, the market for caffeinated bean-based drinks is well-established, with plenty of space for expansion. According to Statista, a research group, the medium-term forecast is particularly promising, with a CAGR of near 7% expected through 2025.
Although convenience reigns supreme, with ready-to-drink coffee products accounting for the majority of coffee sales in Taiwan, at-home brewing and single-serve options—such as pods—are gaining traction. Consumers are upgrading to more expensive options and broadening their purchase patterns even in the RTD and instant coffee markets.
In 2020, alcohol brands generated over $17 billion in sales, with a 6.47 percent CAGR forecasted through 2025.
In Taiwan, beer is the preferred beverage. Consumers are abandoning basic lagers in favor of flavourful ales, IPAs, wheats, and stouts. Baijiu is giving way to whiskies, gins, liqueurs, and other imported spirits in the spirits market. Similarly, wine is becoming increasingly popular, especially among the young.
Juice & Soft Drinks
Carbonated beverages do not dominate in Taiwan, as they do in most other markets. Teas, coffees, bottled water, and other RTDs are the beverages of choice, with most customers preferring for teas, coffees, and the like. Taiwan is an appealing market, despite its fierce competition, because of its comparatively high discretionary incomes and exposure to overseas brands and buy possibilities.
In Taiwan, where summers are long, hot, and humid, cool and refreshing juices are a staple of daily life. Juice demand is high, and even as the market matures, it continues to increase year after year. The transition away from juice drinks with a lot of added sugar to 100% fruit juice beverages is hidden in this growth.
The market for juice and soft drinks in Taiwan is worth over US$3 billion and growing.
Taiwan’s GDP expanded by more than 2% in 2020 and is expected to expand by over 5% in 2021. Consumers are enthusiastic about the future and have a solid understanding of global brands and product possibilities because their incomes are high and expanding. Taiwan is a good alternative for firms searching for a robust export market that has functioned successfully in the face of the worldwide pandemic.