In 2022, hot drinks is recovering from the COVID-19 pandemic, largely due to the easement of restrictions and resumption of socialising among consumers, in and outside of the home. Tea remains intrinsically tied up with Omani culture, and drives sales for the overall industry.
In 2022, the most important trend to be seen within hot drinks is the ongoing health and wellness trend. This trend has been present for some years in Laos, however, since the outbreak of COVID-19 in 2020, it has gathered significant pace due to consumers becoming more aware of their overall health.
Muslims, who make up the majority of the population, are not permitted to drink alcohol, which is available only from licensed hotels and restaurants. Therefore, hot and soft drinks are popular and widely consumed.
The wide choice of brands/products, packaging, and quantities in hot drinks means that the industry caters to consumers of all socioeconomic groups. Lower-income consumers tend to choose lower-priced products, while middle-income consumers look for adequate quality and value for money.
Desert covers most of the landscape of Oman and most of the population are clustered together in urban areas along the country’s coastline. All of these urban areas are very well connected as Oman maintains an excellent road network, which supports the transportation of goods.
Volume growth rates are expected to remain moderate in all categories of drinks due to the reductions that have been seen in the overall size of the consumer base after many expatriates left Oman for their home countries during the review period, some due to narrowing employment opportunities for foreigners as a result of the government’s Omanisation programme and others due to the harsh realities of the COVID-19 pandemic. While Oman’s population is expected to continue growing, the lower numbers of foreigners living in the country will inevitably mean more muted retail sales growth in all categories of hot drinks.
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Hot Drinks
This report originates from Passport, our Hot Drinks research and analysis database.
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