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Tea in the United Kingdom

United Kingdom tea market: Unilever Bestfoods & Tetley the key players

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2014-02-13 10:33:02 - Tea in the United Kingdom - a new market research report on

Unilever Bestfoods UK Ltd continued to lead the United Kingdom tea market with a 22% retail value share, but it shared the first position with Tetley GB, which had the same but a slightly higher 22% value share in 2012. Unilever´s position can be attributed to widespread distribution and strong marketing support but mainly to the heritage of its PG Tips brand.

Off-trade value sales increased by 5%, only slightly down from the 2011 figure, suggesting that the popularity of tea as an essential part of the UK diet remains assured. Whilst tea has undoubtedly been boosted by consumers becoming more sophisticated and therefore more willing to try out new flavours and types of tea, there seems little doubt that tea



has performed well thanks to the UK recession with many more consumers turning to the traditional cuppa as a cheap source of consolation.

Tea in the UK is likely to witness further premiumisation, with quality increasing in importance. Other tea is also expected to continue its rise and reach a wider consumer base as mainstream brands push variants in this category. Over the forecast period tea is set to remain see a flat in total volume CAGR. This will be a slight improvement on the review period, which witnessed a total volume CAGR decline of -1%.

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Mike King
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