Industry

Iced tea popularity soaring in US fast food restaurants

Healthy beverage and a cash cow
Healthy beverage and a cash cow

Iced tea has been gaining ground in quick-service restaurants, with many big-name eateries expanding their offer of sweet tea. According to the US Tea Association, chains like McDonald's and Subway are embracing tea like never before. In fact, tea sales have grown by 3 to 5 percent in foodservice and tea accounted for 15% of restaurant beverage menu items during the fourth quarter of 2010, making it the third most-available type of nonalcoholic beverage. Market research firm Mintel estimates that 39 percent of restaurant-goers drink cold tea, about twice as many that have hot tea. Restaurants are increasingly using their tea offer to differentiate themselves and create a unique experience.

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