Hot tea inflation in Canada stood at 13.610% in April 2023, according to GlobalData’s report on the prices of stock keeping units (SKUs) supplied through online retailers. In Q4 2023, GlobalData monitored the pricing of 323 hot tea SKUs from companies such as Tetley, Twinings and President’s Choice that were sold by e-retailers. Buy the report here.
Pricing is crucial, especially in a challenging economic climate, as competitive pricing and price leadership impact consumers’ choices. GlobalData’s pricing analysis reveals that Real Candian Superstore offered lowest prices of the total SKUs within the hot tea category from October through December 2023, followed by Voila and Atlantic SuperMarket. According to the analysis, the price range of $5 and below was the most competitive, with 168 SKUs.
The chart below illustrates price leadership among the covered retailers which offer the highest number of low-priced products in the category. Of all retailers, Real Candian Superstore had greatest share of lowest prices for individual SKUs in hot tea in Canada in Q4 2023.
Analysis of the quarterly price data showed that no discounts were offered for hot tea category by the retailers tracked by GlobalData. Among variants, the tracker revealed orange pekoe; bags and earl grey as the most popular (by number of SKUs) hot tea variants. These were priced 3.92% lower than the average price of a hot tea SKU.
Among the e-retailers tracked by GlobalData, the leading ones, based on the number of SKUs, were Real Candian Superstore, Voila, Atlantic SuperMarket, Valu Mart and Plantx Canada. According to the analysis, Real Candian Superstore had the lowest average unit price, while the retailer with the widest product assortment was Real Candian Superstore.
The report brings attention to the intricate pricing dynamics within the hot tea market, examining both the SKU and retailer levels, and offering invaluable insights for stakeholders. Notably, Real Candian Superstore, Voila and Atlantic SuperMarket stood out as prominent e-retailers, providing competitive pricing for a substantial number of hot tea SKUs. However, to comprehensively grasp hot tea market in Canada, continuous tracking of SKU pricing over time is necessary.
For a more detailed analysis of pricing trends in the Canada hot tea market, buy the report here.