Global soft drinks outlook
The global soft drinks market is expected to grow 7% from 2015 to 2019, according to a study by Technavio.
Vijay Sarathi, lead analyst for food and beverages research at Technavio, says, “This research study estimates the global soft drinks market to be worth €786 billion in 2014 and is expected to register a high growth rate until 2019. High growth of the global market in terms of revenue is anticipated on account of the increase in sales of premium priced products like RTD tea and coffee, and functional drinks.
“Innovative marketing strategies, a growing demand for adult soft drinks, and introduction of natural sweeteners like stevia, are some key drivers expected to boost the consumption of soft drinks during the forecast period.”
In terms of volume, consumption in the global carbonated soft drinks market is estimated to reach over 218 billion litres by 2019. The demand for carbonated soft drinks flavoured with tropical flavours like passion fruit, pineapple and mango is on the rise. To cater to changing preferences, vendors are developing new products based on tropical flavours.
The bottled water segment is expected to register a steady year on year growth during the forecast period. The healthy image of bottled water as an alternative to other segments of soft drinks like carbonated soft drinks is increasing the demand for bottled water.
Demand for bottled water is on the rise in many markets, including the US, UK, and Germany. Consumers in these markets are taking keen interest in making their own drinks by mixing carbonated water with juices. The segment is also witnessing the launch of new products based on natural ingredients like Glacéau Vitaminwater Zero. The bottled water segment in most countries is, however, dominated by regional players.
Coconut water is a growing segment among the juice and concentrates market and has a high growth rate of 25%. Many companies are venturing into the coconut water segment globally, and it is estimated that there are close to 200 players in this category. Another new trend in the juices and concentrates segment is the launch of products based on stevia, like Hansen’s Low-Cal Juice and Old Orchard Cranberry Naturals. Thanks to such encouraging market conditions, consumption in the global juices and concentrates segment is likely to reach over 94.38 billion litres by 2019.