Australians lap up iced tea and breakfast drinks

Roy Morgan Research has identified a significant decline in soft-drink consumption in Australia. Whereas 11,347,000 Australians aged 14+ (71% of the population) drank at least one soft drink in any given four weeks back in 2003, this had fallen to 9,996,000 (52%) by June 2014 - a loss of more than 1,300,000 people.

The news is not all bad for beverage manufacturers, however, with the same research indicating the number of people consuming breakfast drinks and iced tea has more than doubled in the same period. Around 11% of Australians now report having consumed the drinks in 2014, up from just 5% in 2003.

While consumption of iced tea and breakfast drinks has risen among men and women of all ages, the growth is driven primarily by the under-50s. Between 2003 and 2014, the proportion of young men aged 25-34 who drank iced tea and/or breakfast drinks in an average four weeks increased from 7% to 15%, while that of women the same age increased from 7% to 14%. The growth among the 35-49 age bracket during this period was even more substantial: from 3% to 10% of men and 4% to 9% of women.

Iced tea and breakfast drink consumption increased across all five socioeconomic quintiles. Conversely, the proportion of soft-drink consumers fell among every age group and socioeconomic quintile.

Warren Reid, Group Account Director - Consumer Products, Roy Morgan Research, identified Australia’s multicultural population as one of the reasons for iced tea’s growth, as “it’s more popular among people born in Asia, the US or Canada than those born in Australia… indicating that changes in a population’s ethnic mix over time can be a golden (or missed) opportunity for manufacturers”.

Reid also highlighted why beverage manufacturers need to understand consumer motivations in purchase decisions.

“Iced tea is an interesting category, often associated with health benefits, but in actuality the sugar content for most popular brands is comparable with that of regular carbonated soft drinks. 

“The popularity of breakfast drinks and iced tea is especially prevalent among Generation Z - particularly those who are studying. Breakfast drinks consumers are also more likely to agree with the statement ‘I seldom have time for breakfast’, with Gen Z again being above-average in this respect. This is quite surprising, considering that they are the least likely generation (of working age) to be employed,” he said.