Blue Tea Market Size, Share & Trends Analysis Report By Product (Loose Leaves, Powder), By Type (Conventional, Organic), By Distribution Channel (Off-Trade, On-Trade), By Region (North America, Europe), And Segment Forecasts, 2024 - 2030

Blue Tea Market Size & Trends

The global blue tea market size was estimated at USD 120.4 million in 2023 and is expected to grow at a CAGR of 5.9% from 2024 to 2030. Blue tea, also known as butterfly pea tea or blue matcha, is derived from the flowers of the Clitoria ternatea plant. This vibrant blue beverage has gained popularity for its striking color and health benefits, making it a favorite among health enthusiasts and culinary innovators alike. As consumer preferences shift toward natural and functional beverages, the market is poised for significant growth in the coming years.

The increasing awareness of the health benefits associated with butterfly pea tea is a major driver of market growth. Rich in antioxidants, particularly anthocyanins, blue tea is known to help combat oxidative stress and inflammation. Consumers are increasingly seeking out beverages that offer functional health benefits, driving the demand for blue tea. Additionally, studies suggest that butterfly pea tea may enhance cognitive function and support weight management, further boosting its appeal among health-conscious individuals.

The unique and visually appealing nature of blue tea is another significant driver. The vibrant blue color of butterfly pea tea, which can change to purple with the addition of acidic substances like lemon, makes it a popular choice for culinary applications and innovative beverages. This visual appeal has led to its increased use in specialty cafes, bars, and restaurants, where it is featured in cocktails, mocktails, and even desserts. The trend towards Instagram-worthy food and beverages has further propelled the popularity of blue tea, particularly among younger consumers.

Rising wellness trends and the growing consumer preference for natural and organic products are also contributing to the growth of the blue tea market. As more people become aware of the potential side effects of artificial ingredients and additives, there is a growing demand for natural alternatives. Butterfly pea tea, being a natural, caffeine-free, and low-calorie beverage, fits well within this trend. Its use in herbal blends and wellness products is expanding, appealing to a broad demographic of health-focused consumers.

Innovation in the food and beverage industry is another key factor driving the growth of the blue matcha market. Manufacturers are exploring new product formulations and applications for blue tea, such as ready-to-drink beverages, tea blends, and dietary supplements. The versatility of blue tea allows it to be incorporated into various products, from health drinks to beauty supplements, thereby expanding its market reach. The introduction of blue tea-infused products in mainstream retail channels has made it more accessible to consumers, further driving market growth.

The expansion of the market into global regions outside Southeast Asia, where it has been traditionally consumed, is also a notable driver. Markets in North America, Europe, and other parts of Asia are increasingly adopting blue tea, driven by the rising interest in exotic and healthful beverages. Enhanced distribution networks and e-commerce platforms have made it easier for consumers worldwide to access butterfly pea tea, contributing to its growing popularity.

Product Insights

The loose leaves segment captured a substantial share of 58% in 2023. This dominance can be attributed to several factors. Loose leaf blue tea offers consumers a purer and more authentic tea-drinking experience, allowing them to fully appreciate the unique flavor profile and vibrant color of butterfly pea tea. Additionally, loose leaves provide the flexibility to customize the strength and blend of the tea, catering to individual preferences.

Consumers are increasingly prioritizing quality and natural ingredients, which are perceived to be better preserved in loose leaf form. Furthermore, the traditional ritual of brewing loose leaf tea aligns with the growing trend towards mindfulness and wellness, making it a preferred choice among health-conscious individuals.

Powdered blue tea is expected to grow at a CAGR of 6.5% from 2024 to 2030. Powdered blue tea, commonly referred to as blue matcha, offers a quick and easy way to enjoy the health benefits and vibrant color of butterfly pea tea without the need for traditional brewing. This convenience makes it particularly appealing to busy consumers and those seeking quick wellness solutions.

Additionally, the fine powder form allows for diverse culinary applications, from smoothies and baked goods to lattes and cocktails, enhancing its appeal to creative home cooks and professional chefs alike. The rising popularity of powdered blue tea is also fueled by its integration into health and beauty products, as its antioxidant properties are leveraged in dietary supplements and skincare items. As consumers continue to embrace multifunctional and health-focused products, the powdered blue tea market is poised for robust growth.

Type Insights

The conventional segment accounted for a revenue share of 56.8% in 2023. Conventional blue tea products are often more readily available and competitively priced compared to their organic counterparts, making them accessible to a broader consumer base. Additionally, conventional farming methods typically yield larger quantities of butterfly pea tea, ensuring consistent supply and stable pricing. While organic blue tea appeals to consumers seeking products grown without synthetic pesticides or fertilizers, the conventional market maintains its stronghold due to established distribution networks and consumer familiarity.

The organic segment is expected to grow at a CAGR of 6.5% from 2024 to 2030. Organic blue tea, produced without synthetic pesticides or fertilizers, appeals to health-conscious consumers seeking products perceived to be healthier and environmentally friendly. The growing awareness of the potential health benefits associated with organic farming practices, such as higher antioxidant content and reduced chemical residue, further drives the demand for organic blue tea. Moreover, certifications like USDA Organic and EU Organic provide assurances of quality and authenticity, bolstering consumer trust and supporting market growth.

Distribution Channel Insights

Sales of blue tea through off-trade distribution accounted for a revenue share of 62.3% in 2023. Off-trade distribution channels include supermarkets, hypermarkets, convenience stores, and online platforms where consumers can purchase blue tea for home consumption. This dominance in off-trade sales can be attributed to several factors.

The convenience and accessibility offered by these channels cater to busy lifestyles, allowing consumers to easily incorporate blue tea into their shopping routines. In addition, the ability to compare products and prices across various brands and packaging sizes enhances consumer choice and decision-making.

In addition, the rise of e-commerce platforms has expanded the reach of blue tea to a broader audience, enabling consumers to explore and purchase a wide range of products conveniently from their homes. As consumer preferences continue to evolve towards convenience and online shopping, off-trade distribution is expected to remain a key driver of growth in the blue tea market, influencing product availability and consumer purchasing behaviors.

Sales of blue tea through on-trade distribution channels are expected to grow at a CAGR of 6.5% from 2024 to 2030. The on-trade sector offers consumers the opportunity to experience blue tea in various culinary and beverage creations, enhancing its appeal as a unique and visually striking option. This growth is driven by rising consumer interest in novel and Instagram-worthy beverages, as well as the expanding menu offerings of on-trade venues that cater to health-conscious trends.

Moreover, the on-trade sector provides opportunities for premiumization and product differentiation, as establishments often use blue tea as a key ingredient in specialty drinks and mixology. As the hospitality industry continues to innovate and adapt to changing consumer preferences, the on-trade distribution of blue tea is poised to play a pivotal role in expanding market reach and driving overall market growth.

Regional Insights

North America blue tea market captured a revenue share of over 26.5% in 2023, reflecting a growing interest and adoption of butterfly pea tea in the region. This significant market share can be attributed to several factors. The increasing consumer awareness of the health benefits associated with blue tea, such as its antioxidant properties and potential cognitive health benefits, has fueled demand among health-conscious individuals in North America.

The trend toward natural and functional beverages has led to the integration of blue tea into various products, including ready-to-drink beverages, health supplements, and culinary creations. In addition, the expansion of distribution channels and availability of blue tea products through both traditional retail outlets and online platforms have made it more accessible to consumers across the continent. As North American consumers continue to seek innovative and health-focused alternatives to traditional beverages, the blue tea market is expected to further grow and diversify in the coming years.

U.S. Blue Tea Market Trends

The blue tea market in the U.S. is experiencing notable trends driven by evolving consumer preferences and the expanding wellness beverage sector. With increasing awareness of health benefits associated with butterfly pea tea, such as antioxidant properties and potential cognitive benefits, there's a growing consumer interest in incorporating blue tea into daily routines. This trend is particularly evident among health-conscious demographics seeking natural and functional beverages.

Another significant trend in the U.S. blue tea market is the rise of innovative product formulations and applications. Blue tea is being integrated into various product categories, including ready-to-drink beverages, herbal blends, and dietary supplements. Its vibrant color and healthful properties make it appealing not only as a standalone beverage but also as an ingredient in culinary creations, cocktails, and beauty products.

Moreover, the influence of social media and digital platforms has amplified the visibility of blue tea, contributing to its popularity among younger consumers who value visually appealing and Instagram-worthy food and beverages. This trend has spurred collaborations between beverage companies and influencers, further driving awareness and adoption.

Europe Blue Tea Market Trends

The blue tea market in Europe is witnessing several notable trends that are shaping its growth and evolution. One prominent trend is the increasing consumer preference for natural and health-promoting beverages, which has driven the demand for butterfly pea tea across the continent. Blue tea's reputation for antioxidant properties and its vibrant color appeal to health-conscious consumers seeking alternatives to traditional caffeinated beverages.

Innovation in product formulations and applications is also a key trend in the European blue tea market. Manufacturers are introducing blue tea into a variety of products, including herbal blends, specialty teas, and functional beverages. This diversification caters to diverse consumer preferences and expands the market presence of blue tea beyond traditional tea drinkers.

Furthermore, the rise of specialty cafes, bars, and restaurants that offer blue tea-based beverages is contributing to its popularity in Europe. These establishments often feature blue tea in creative and visually appealing drinks, attracting consumers looking for unique culinary experiences and social media-worthy refreshments.

Asia Pacific Blue Tea Market Trends

The blue tea market in Asia Pacific is expected to witness a CAGR of 6.4% from 2024 to 2030. This region, historically familiar with butterfly pea tea as a traditional beverage, is experiencing renewed interest driven by several factors. Firstly, the increasing awareness of blue tea's health benefits, including its antioxidant properties and potential cognitive health benefits, is expanding its appeal among health-conscious consumers across Asia Pacific. Secondly, the trend towards natural and functional beverages aligns well with blue tea's positioning as a natural and visually striking alternative to conventional teas and beverages.

Moreover, the cultural significance and culinary versatility of blue tea in Asian cuisines are contributing to its popularity and integration into modern culinary and beverage trends. Additionally, the growing disposable incomes in emerging economies within Asia Pacific are fueling the demand for premium and specialty beverages like blue tea, often seen as a symbol of health and wellness. Lastly, advancements in distribution channels and digital platforms are enhancing accessibility to blue tea products, further driving market growth across diverse demographics in the region.

Key Blue Tea Company Insights

The competitive landscape of the blue tea market is characterized by a mix of established players and innovative newcomers, each striving to capitalize on the growing consumer interest in butterfly pea tea. Leading tea and beverage companies, such as traditional tea producers and multinational beverage corporations, have entered the blue tea market. These companies leverage their extensive distribution networks, brand recognition, and production capabilities to introduce blue tea products to a wider audience.

Leading tea and beverage companies, such as traditional tea producers and multinational beverage corporations, have entered the blue tea market. These companies leverage their extensive distribution networks, brand recognition, and production capabilities to introduce blue tea products to a wider audience. Small-scale producers and specialty tea brands focus on offering high-quality, artisanal blue tea products. These brands often emphasize organic and sustainably sourced ingredients, appealing to consumers seeking premium and eco-conscious options.

Entrepreneurial ventures and start-ups are driving innovation in the blue tea market. They introduce unique product formulations, such as blue tea blends with other herbs and botanicals and explore novel applications in culinary and wellness industries. The rise of e-commerce platforms has enabled direct-to-consumer sales of blue tea products, allowing niche brands and artisans to reach a global audience. These brands often emphasize storytelling, product transparency, and customer engagement to differentiate themselves in a competitive market.

Recent Developments

• In May 2024, Numi Organic Tea, an award-winning social enterprise and founding B Corporation member known for purchasing organic, Fair Trade Certified teas, introduced its new Relax and Regenerate Herbal Supplement Tea Line featuring butterfly pea flower in its Damiana Tea range. 

• In March 2023, Sparkling Botanicals by Rishi, ready-to-drink beverages, introduced their newest flavor, Blue Tea Jasmine, at Natural Products Expo West. Blue Tea Jasmine is crafted by blending rare ingredients sourced directly from artisan growers around the world, resulting in a sparkling violet-colored liquid with a flavor reminiscent of concord grapes.

Blue Tea Market Report Scope

Global Blue Tea Market Report Segmentation

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global blue tea market report based on product, type, distribution channel and region:

• Product Outlook (Revenue, USD Million, 2018 - 2030)

  • Loose Leaves

  • Powder

  • Others

• Type Outlook (Revenue, USD Million, 2018 - 2030)

  • Conventional

  • Organic

• Distribution Channel Outlook (Revenue, USD Million, 2018 - 2030)

  • Off-trade

  • On-trade

• Regional Outlook (Revenue, USD Million, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • UK

    • France

    • Germany

    • Spain

    • Italy

  • Asia Pacific

    • China

    • Japan

    • India

  • Central & South America

    • Brazil

  • Middle East & Africa

    • South Africa