Report Overview

Growing customers preference of adopting healthy drink alternatives and increasing demand for large variety of products are expected to propel the expansion of Brazil bubble food and beverages market at a significant growth rate during the forecast period between 2023 and 2029.

Brazil Bubble Food and Beverages Market - Industry Trends & Forecast Report, 2029

Brazil bubble food and beverages market size is expected to expand at a steady CAGR of 11.3% during the forecast period between 2023 and 2029. Major growth factors for Brazil bubble food and beverages market include the rising popularity of boba-based snacks and drinks and surging demand for bubble food and beverage among millennials and gen Z. Furthermore, the growing health awareness among consumers leading to changing preference for healthy beverages over carbonated beverages is expected to boost the market expansion. Bubble beverages, such as tea, are produced in a variety of combination with milk base and boba and fruit jelly resulting in increasing demand for bubble tea. Additionally, social media has played a significant part in the popularity of bubble tea across Latin America region, increasing R&D spending, combined with rising consumer awareness of the benefits of goods incorporating organic, vegan, and natural tapioca pearls, have pushed producers to offer new products. Therefore, all these factors have fueled the expansion of Brazil bubble food and beverages market during period in analysis.

Brazil Bubble Food and Beverages Market – Overview

Bubble tea is a Taiwanese tea-based beverage and referred as pearl milk tea or boba juice. Usually, the bubble tea recipes include a tea base mixed with organic product or milk, which is then topped with chewy custard balls (also commonly known as air pockets, pearls, or boba) and organic product jam. Ice-mixed forms are often blended with organic product or syrup to create a slushy texture. There are numerous varieties of the beverage with various ingredients. The two most popular combinations are bubble milk tea with custard and air pocket milk green tea with custard. The air pockets or pearls are tapioca balls derived from cassava root that contains vitamin C and calcium. Brazil bubble food and beverages market is expanding rapidly as the demand of bubble tea grows due to its plethora of health benefits and delectable taste. Along with antioxidants, bubble tea provides strength to the body due presence of milk, which is an excellent source of calcium and helps to strengthen bones. As it contains carbs, bubble tea is the principal source of energy for your brain and cardiovascular muscles. The beverage contains caffeine, which is an effective stress reliever since it relaxes the body's stiff muscles. Furthermore, bubble tea functions as an immune booster due to its high antioxidant content, which prevents the accumulation of oxidative stress.

Brazil Bubble Food and Beverages Market

Growth Drivers

Availability of Wide Variety of Products

Green jasmine, fruit-flavored, and black tea are among the varieties available at the market. Fruit-flavored tea comes in a variety of flavors, including sweetened fruit drinks and cream drinks with fruit taste. Lactose-intolerant people can drink black, green jasmine, and other tea kinds. Because different boba tea kinds are available, the consumer has more options. This marketing strategy helps to bring in more customers. Companies are also developing novel flavors and compositions to attract customers.

Restraints

Growing Preference toward Other Alternatives

The ubiquitous availability of other caffeinated beverages such as coffee, as well as trends in coffee consumption in Western countries, act as a deterrent to the developing demand for such tea as a novel beverage. Coffee consumption has increased because of rising demand as an energy booster and expanded availability as a ready-to-drink product to fit consumers' on-the-go lifestyles. In a variety of practical coffee categories, a plethora of innovative coffees, such as cold brew, snap chilled, nitro cold brew, and effervescent canned coffee, are available.

Impact of COVID–19 on Brazil Bubble Food and Beverages Market

COVID-19 pandemic had a detrimental impact on market growth. This is due to a shortage of boba, a key component of bubble tea. The COVID-19 pandemic had a huge impact on many aspects of society, including the bubble tea industry. For conditions to revert to normal, safety precautions, rapid diagnostic testing, and widespread immunization are required. COVID-19 caused supply chain and logistics disruptions, such as those in the bubble tea business, have been well-documented and worsened in the second half of 2021. However, increasing government focus to expand the bubble tea industry worldwide are assisting the market’s recovery. In addition, for the development of the products, market key players employed new safety precautions. The online distribution channel is changing people's purchase behavior providing benefits such as easy payment methods, a wide range of products, doorstep delivery, and heavy discounts, which aided in market growth during the pandemic and will further accelerate growth in the post-pandemic situation.

Brazil Bubble Food and Beverages Market

Segmental Coverage

Brazil Bubble Food and Beverages Market - By Product

Based on product, Brazil bubble food and beverages market is divided into Fruits Snacks, Desserts, Fruits Beverages, and Bubble Tea segments. The desserts segment held the highest share of the bubble food and beverage market. The presence of a variety of sweets made with boba pearls, including as boba waffles, shaved ice desserts, and boba wheel pie, is expected to boost category expansion. Chefs are using boba pearls to enhance the flavors of iced and heated sweets because customers want to try new pudding flavors at high-end restaurants and cafés.

Brazil Bubble Food and Beverages Market- By Source

Based on source, Brazil bubble food and beverages market is bifurcated into Tapioca-based and Bursting Bubble. The tapioca-based segment had the highest revenue share. Tapioca, produced from the cassava root, is a fundamental component in the production of tapioca boba pearls. The increased desire for vegan food and beverages is driving up demand for tapioca-based boba that has been blended with a variety of natural ingredients.

Brazil Bubble Food and Beverages Market – By Distribution Channel

Based on distribution channel, Brazil bubble food and beverages market is split into Off-trade and On-Trade. The off trade includes hypermarkets & supermarkets, online and offline. The off-trade segment includes online stores and hypermarkets. Consumers are increasingly accessing the internet, and firms are aiming their marketing to all consumer touchpoints, which is expected to boost market growth in this sector.

Competitive Landscape

Brazil bubble food and beverages market is fiercely competitive. Prominent players in the market include Bob's Red Mill, Dr. Schar, Frontier, General Mills Inc., H.J Heinz Company, Brazi Bites, and Raisio PLC. To further enhance their market share, these players are primarily focused on the development of innovative and efficient products, new product releases, mergers and acquisitions, collaborations, partnerships, and joint ventures.

Scope of the Report

By Product

• Fruits Snacks

• Desserts

• Fruits Beverages

• Bubble Tea

By Source

• Tapioca-based

• Bursting Bubble

By Distribution Channel

• Off-Trade

• On-Trade