Thailand's beverage and digital economy are experiencing remarkable growth as the trend of specialty Thai tea surges, demonstrating consumer preference for quality and local flavors.
According to data from LINE MAN, the Thai specialty tea market has seen significant expansion over the last three years. Notably, the number of stores offering specialty Thai teas has increased by 205%, reflecting rising consumer interest. This trend is evident when reviewing purchase orders for tea, with the 'Klin Rod Hidden Plant' tea brand standing out, accounting for 81% of purchase orders during four campaigns throughout 2024.
Not only are consumers indulging their preferences for specialty beverages, but they are also showcasing notable shifts toward healthier lifestyle choices. The overall digital economy continues to thrive, driven by changing consumer behaviors. Thagoon Chantasuthiphal, Head of FoodStory POS at LINE MAN Wongnai, observed this rise: "The delivery business grew by 20% compared to the previous year, and 2023 experienced 4 times the growth relative to the COVID-19 pandemic years."
This trend underlines the normalization of delivery services within Thai society, no longer confined solely to lockdown periods. Consumers are increasingly turning to delivery not just for restaurant meals but also for beverages. Thai tea, along with other drinks like Americano and matcha, has gained immense popularity. Americano consumption spiked by 38.4% as health-conscious consumers seek lower-sugar alternatives, whereas traditional Thai tea remains prevalent among both locals and tourists.
Matcha has also taken off, with total orders soaring to five million cups, representing a 78% increase. Bangkok, particularly districts like Chatuchak, Pathumwan, and Watthana, ranks as the area with the highest concentration of matcha vendors. This booming interest is reflected across the food sector, where items like Som Tam, Ka Prow, and Kuay Teow dominate orders alongside Thai tea.
For 2024, data indicates Som Tam (spicy papaya salad) leads as the most popular dish, seeing its popularity rise by 33%. Crossover trends show casual dining preferences manifesting through easy-to-prepare dishes, with consumers favoring accessibility through delivery or takeaway options.
A survey of consumer demographics reveals usage patterns among users, with 41% identifying as male and 59% female. The age groups are diverse, with 25% of users being under 25 years, 40% aged 25-34, 19% aged 35-44, and 16% over 44 years old. Over half (53%) of users report monthly income higher than 15,000 baht, with each spending approximately 182 baht per order and averaging five orders monthly.
While the growth of both specialty drinks and food delivery signifies thriving sectors within Thailand’s economy, challenges persist, especially within the restaurant industry. Approximately 50% of new restaurants close within their first year, and 65% shutter within three years due to high competition. A significant contributor to this high turnover rate stems from rising ingredient costs—77% of restaurateurs cite increased costs as their main concern.
With the anticipated influx of foreign tourists expected to increase spending levels by 2025, industry experts urge restaurant owners to adapt to the changing economic and consumer landscapes. There's observable growth opportunities for food and beverage enterprises, particularly those welcoming digital transformation through innovative solutions like Point of Sale (POS) systems.
The strong trend of Thai specialty tea reflects broader cultural shifts emphasizing local flavors and quality ingredients. Consumers today are not just drinking tea but exploring personalized flavors, often selecting based on aroma and region of cultivation.
With projections indicating continued growth within the delivery market—observing items like Grilled Chicken, Isaan dishes, and even desserts like Banoffee gaining exponential popularity (with Banoffee seeing 169% growth)—entrepreneurs must strategize effectively to navigate competitive challenges.
Given the spike in searches for food items like 'ตำเส้นเล็ก' (small noodle salad essence), trending searches increased by as much as 580%. Entrepreneurs venturing within Thailand's food and beverage sector must remain agile, adapting to consumer needs and leveraging delivery platforms to boost sales.
The Thai food scene continues to tantalize taste buds far and wide, positioning itself uniquely within the delivery economy, making 2024 both challenging and ripe with promising possibilities. The combination of age-old recipes and modern delivery options ensures access to flavors and dishes loved by locals and visitors alike.