Major Japanese Beverage Makers Renewing Green Tea Products

Tokyo, June 26 (Jiji Press)--Major beverage makers in Japan are racing to renew their green tea products, such as by changing the tastes and bottle designs.

The efforts over green tea, which has the largest share of the country's soft drink market, are being made as the major makers are working to counter low-priced house-brand products, developed by retailers and enjoying greater demand from people seeking to save money. Major changes are occurring in the market for green tea in plastic bottles, which an official at one manufacturer describes as "the foundation of our sales."

According to a survey by industry research firm Inryo Soken, sales of five major makers' mainstay green tea products in 2023 fell by about 1 pct to 7 pct by volume from the previous year, signaling that a market that had steadily expanded may have now peaked out.

"House brands, which have a price advantage are growing, squeezing (major) makers' brands," an analyst at research firm Intage Inc. said. The share of house brands in the green tea product market in terms of purchase value has grown from 8.5 pct to 12.4 pct in the last 10 years.

Many major makers have opted to renew their flagship brands, which make up the core of their sales, strongly alarmed that consumers will choose cheaper house brands if the tastes are the same.

[Copyright The Jiji Press, Ltd.]