RTD coffee consumption has increased 83% since 2023 and is now the third most popular way to drink coffee in the US. Cold brew makes up the largest portion of American RTD coffee sales, which are estimated to reach over $5.48bn by 2032.
Within the cold brew segment, RTD nitro cold brew has experienced notable growth thanks to younger consumer’s preference for its rich taste and creamy texture, unlike any other coffee drink on the market.
RTD nitro cold brew offers coffee brands a method of satisfying demands for healthier and more varied cold coffee options.
We spoke to Adam Holliefield, procurement manager at Merit Coffee, to learn more about the benefits of offering RTD nitro cold brew and some considerations for launching your own line.
Understanding RTD nitro cold brew
Nitrogen is the secret ingredient that gives nitro cans their unique taste and texture compared to traditional cold coffee drinks. A dose of liquid nitrogen is added to a can of cold brew prior to sealing the beverage.
When opened and poured, the added nitrogen creates a layered effect, a cascading flow of tiny bubbles that produces a foamy head.
Much of the recent growth in the popularity of cold brew coffee – nitro cold brew included – is due to its customisability and suitability for myriad consumer preferences across flavour, preparation, health, and functionality benefits.
Globally, the cold brew market is expected to exceed $16bn in value by 2032, and the global functional food and beverage market will be worth more than $500bn by 2028, positioning nitro cold brew to leverage success across two high-growth sectors.
“The RTD cold brew market has experienced significant growth in recent years, driven by consumer demand for convenient, high-quality coffee options,” says Adam.
“It has evolved into multiple formats such as cans, BIBs and PET bottles, with many more competitors entering the market, both locally and nationally. Nitro cold brew, while not that different from regular cold brew, offers an alternative texture and enjoyable experience to the consumer.”
More brands are investing in new RTD product lines that include both cold brew and nitro cans because they recognise this potential.
How does nitro coffee differ from regular cold brew?
While cold brew and nitro cold brew are closely related, the key difference is in texture, which results from the manufacturing process.
Nitro cold brew actually starts as a regular cold brew, sometimes prepared using the traditional (but slow) steeping method or through a much faster process enabled by a more sophisticated and modern cold brew system like those offered by Hardtank.
Following the brewing of cold brew, RTD nitro cold brew undergoes an extra step: the addition of a dose of liquid nitrogen prior to sealing.
Regular cold brew and nitro cold brew are smooth beverages with a more mellow drinking experience compared to espresso or other hot coffee types. Nitro coffee introduces a new mouthfeel, akin to a stout beer, which many consumers feel creates a more indulgent drinking experience.
“If your brand caters to a younger, more adventurous demographic, nitro cold brew could be a strong addition,” Adam believes.
Why you should offer RTD nitro cold brew to your customers
RTD nitro cold brew, from the coffee to the packaging, is versatile and highly customisable. These features resonate exceptionally well with younger Gen Z and Millennial consumers, who expect convenience, product variation and brand appeal.
“Younger consumers are a significant demographic for the RTD coffee industry, just as they are for the energy drink market as a whole,” says Adam.
“To appeal to them, cold brew brands should focus on innovation, improved quality, and their brand image on social media. They should continuously introduce new flavours, limited editions, and creative packaging to keep consumers engaged.”
At Hardtank, we offer multiple RTD nitro cold brew variations, including vegan flat whites, caramel lattes, and a single origin nitro cold brew Panama Geisha, to help our clients appeal to as broad a consumer base as possible.
Moreover, our RTD canning process in our BRC-certified facility involves pasteurisation and sterilisation to ensure every batch produced is safe and compliant with the most stringent health and safety regulations.
Beyond safety benefits, RTD nitro cold brew’s long shelf life – up to twelve months – opens up many retail expansion opportunities beyond the coffee industry. This means you can sell RTD nitro cold brew at a variety of retailers, like supermarkets, hotels, and vending machines.
Choosing a great private label nitro cold brew partner
At Hardtank, we create private label nitro cans for our clients and help minimise common third-party manufacturing challenges by offering faster lead times, lower minimum order quantities (MOQs) per SKU, highly customisable packaging options and competitive costing.
Brands looking to succeed in the RTD segment need innovative development and sustainable business practices and products, including ethical coffee sourcing and attractive, recyclable packaging.
We offer full customisation of your RTD nitro cold brew cans, with packaging options that ensure brand consistency. Our cans are also durable, sleek and slim, which keeps them safe in transit and appealing on the shelf.
Sustainability is a high priority for younger generations – the consumer group most likely to purchase RTD coffee beverages – so it will serve businesses well if they partner with a private label cold brew manufacturer with expertise and experience in coffee and manufacturing sustainability.
To bring your own line of RTD nitro cold brew to market, visit our website or contact us directly.
Make sure to catch up on our latest Cold Brew Masterclass.
RTD nitro cold brew