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India's Tea Giant Embraces Boba & Matcha
24 Dec
Summary
- Cold beverages grow 60% faster than hot drinks in India.
- Matcha and boba tea are gaining mainstream appeal.
- Wagh Bakri is adding cold drinks to attract younger customers.
The Indian beverage market is witnessing a dramatic transformation, with cold drinks like matcha and boba tea rapidly gaining popularity, especially among younger demographics. This trend has compelled established companies, such as the 13-decade-old Wagh Bakri, to innovate by introducing bubble and iced teas to their menus. The company aims to appeal to a younger audience and revitalize its tea lounges.
According to a recent report, cold beverages are growing 60% faster than hot drinks in India. Search interest for matcha has surged elevenfold over the past five years, while boba tea searches have quadrupled, indicating their move from niche to mainstream. This shift is driven by Gen Z's willingness to experiment with new tastes and formats, and a general preference for cold drinks as food accompaniments.
Cafes and quick-service restaurants are increasingly viewing cold beverages as a crucial growth area. Formats like matcha are proving to be a durable trend, extending coffee lines and reshaping consumption habits. With cold drinks accounting for a significant portion of beverage sales year-round, even in winter months, these innovative offerings are poised to become a permanent fixture in the Indian market.
