Non-alcoholic beverages market size in Japan FY 2014-2023

In fiscal year 2023, the shipment value of the non-alcoholic beverage market in Japan was forecast to exceed five trillion Japanese yen. The Japanese soft drink market encompasses a variety of carbonated and non-carbonated beverages, with ready-to-drink tea accounting for the largest market share.

Ready-to-drink tea

Typically distributed through store retailers, kiosks, and vending machines, RTD tea is a widely available beverage in Japan. The indisputable industry favorite remains green tea, which dominates the domestic RTD tea production. However, the production of roasted barley tea, so-called mugicha, has been on the rise in the last decade. Popular as a summer refreshment, the market grew steadily following increasingly long hot days.

An unexpected favorite

While RTD tea is the current market leader in Japan, coffee is closing in on the top seller. Accounting for around one-fifth of the non-alcoholic beverage market, coffee established itself as the a popular hot drink for the cold seasons in Japan. In addition to coffee shops and retailers, the brewed beverage is also sold as a warmed, canned beverage in vending machines.