Hot Drinks in Georgia
Euromonitor International's Hot Drinks in Georgia market report offers a comprehensive guide to the size and shape of the market at a national level. It provides the latest retail sales data, allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market - be they new product developments, packaging innovations, economic/lifestyle influences, distribution or pricing issues. Forecasts illustrate how the market is set to change.
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Tables: 60 | Publication date: Mar 2009
Why buy this report
- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
Product coverage
Coffee; Other hot drinks; Tea
Executive summary
Coffee increases its share of hot drinks sales
In Georgia, there has traditionally been a culture of tea consumption. It was connected, first of all, to the considerable amounts of tea grown in the country in the first half of 20th century. However, since the early 1990s, consumer interest has switched towards coffee. In terms of value sales, despite the price differences, tea and coffee were approximately on a par in the early 1990s. Now, however, coffee accounts for a much higher percentage of hot drinks value sales.
Sales of instant coffee grow
The fast growth of instant coffee has played a significant role in the growth of coffee sales in the hot drinks market in Georgia. Previously, fresh coffee was very popular in Georgia and the most sold product. It was consumed in considerable quantities at home and in numerous on-trade outlets. However gradually, due to its growth penetration and simple preparation method, instant coffee began to surpass fresh coffee in popularity, which was especially evident in 2008. The number of consumers loyal to instant coffee is growing steadily and even those who previously only drank fresh coffee have switched to instant coffee. This switch has been aided by active promotional campaigns by instant coffee players.
Nestlé SA leads hot drinks value sales
Nestlé SA is the most active multinational company in the Georgian hot drinks market. The company has been present in the market for a long time, but in 2008 it grew its value sales and became the leading company in the market, overtaking its competitors Kraft Foods Inc and Unilever Group. Nestlé SA is present in coffee and other hot drinks in Georgia, and led both of these sectors in 2008. The company is also very active in marketing and advertising. Taking all of these factors into account, it is likely that Nestlé SA will retain its leading positions in the hot drinks market in Georgia in the forecast period.
Convenience stores grows its share of hot drinks
The main distribution channel for hot drinks in Georgia is independent small grocers, followed by supermarkets/hypermarkets. However, in 2008, convenience stores’ share of value sales grew significantly to the detriment of independent small grocers. This can be explained by, on the one hand, the growing number of convenience stores in the country and, on the other hand, the popularity of convenience stores among consumers. The growth of sales through convenience stores resulted in an almost equivalent decrease in independent small grocers’ share.
A turning-point in tea consumption
As a whole, hot drinks in Georgia will continue to grow in the forecast period, although the growth rates will continue to be relatively low as the market is saturated and mature. However, unlike in the review period when tea saw negative volume and constant value growth, tea growth will be positive and more stable, in both the on-trade and the off-trade. At present, the tea sector has reached the peak of its decline and loyal consumers will continue to purchase tea, which will provide the sector with potential areas for growth in the forecast period. It is not expected that the recession will be particularly harmful to the hot drinks market in Georgia (especially tea, which offers the cheapest hot drinks products). In light of the recession, it is expected that cheaper products will see higher sales (such as tea), as well as products which are associated with making consumers less stressed (such as coffee). Accordingly, rates of growth are expected to be positive in the forecast period.
Table of contents
HOT DRINKS IN GEORGIA : MARKET INSIGHT
EXECUTIVE SUMMARY
Coffee increases its share of hot drinks sales
Sales of instant coffee grow
Nestlé SA leads hot drinks value sales
Convenience stores grows its share of hot drinks
A turning-point in tea consumption
MARKET DATA
Table 1 Retail Vs Foodservice Sales of Hot Drinks: % Volume Breakdown 2003-2008
Table 2 Retail Vs Foodservice Sales of Hot Drinks: % Volume Growth 2003-2008
Table 3 Retail Sales of Hot Drinks by Sector: Volume 2003-2008
Table 4 Retail Sales of Hot Drinks by Sector: Value 2003-2008
Table 5 Retail Sales of Hot Drinks by Sector: % Volume Growth 2003-2008
Table 6 Retail Sales of Hot Drinks by Sector: % Value Growth 2003-2008
Table 7 Foodservice Sales of Hot Drinks by Sector: Volume 2003-2008
Table 8 Foodservice Sales of Hot Drinks by Sector: % Volume Growth 2003-2008
Table 9 Total Sales of Hot Drinks by Sector: Total Volume 2003-2008
Table 10 Total Sales of Hot Drinks by Sector: % Total Volume Growth 2003-2008
Table 11 Hot Drinks Company Shares by Value 2004-2008
Table 12 Hot Drinks Brand Shares by Value 2005-2008
Table 13 Sales of Hot Drinks by Distribution Format: % Analysis 2003-2008
Table 14 Sales of Hot Drinks by Sector and Distribution Format: % Analysis 2008
Table 15 Forecast Retail Vs Foodservice Sales of Hot Drinks: % Volume Breakdown 2008-2013
Table 16 Forecast Retail Vs Foodservice Sales of Hot Drinks: % Volume Growth 2008-2013
Table 17 Forecast Retail Sales of Hot Drinks by Sector: Volume 2008-2013
Table 18 Forecast Retail Sales of Hot Drinks by Sector: Value 2008-2013
Table 19 Forecast Retail Sales of Hot Drinks by Sector: % Volume Growth 2008-2013
Table 20 Forecast Retail Sales of Hot Drinks by Sector: % Value Growth 2008-2013
Table 21 Forecast Foodservice Sales of Hot Drinks by Sector: Volume 2008-2013
Table 22 Forecast Foodservice Sales of Hot Drinks by Sector: % Volume Growth 2008-2013
Table 23 Forecast Total Sales of Hot Drinks by Sector: Total Volume 2008-2013
Table 24 Forecast Total Sales of Hot Drinks by Sector: % Total Volume Growth 2008-2013
DEFINITIONS
Summary 1 Research Sources
COFFEE
Headlines
Trends
Competitive Landscape
Prospects
Sector Data
Table 25 Instant Coffee by Speciality Type 2004-2008
Table 26 Retail Sales of Coffee by Type: Volume 2003-2008
Table 27 Retail Sales of Coffee by Type: Value 2003-2008
Table 28 Retail Sales of Coffee by Type: % Volume Growth 2003-2008
Table 29 Retail Sales of Coffee by Type: % Value Growth 2003-2008
Table 30 Coffee Company Shares 2004-2008
Table 31 Coffee Brand Shares 2005-2008
Table 32 Forecast Retail Sales of Coffee by Type: Volume 2008-2013
Table 33 Forecast Retail Sales of Coffee by Type: Value 2008-2013
Table 34 Forecast Retail Sales of Coffee by Type: % Volume Growth 2008-2013
Table 35 Forecast Retail Sales of Coffee by Type: % Value Growth 2008-2013
TEA
Headlines
Trends
Competitive Landscape
Prospects
Sector Data
Table 36 Retail Sales of Tea by Subsector: Volume 2003-2008
Table 37 Retail Sales of Tea by Subsector: Value 2003-2008
Table 38 Retail Sales of Tea by Subsector: % Volume Growth 2003-2008
Table 39 Retail Sales of Tea by Subsector: % Value Growth 2003-2008
Table 40 Tea Company Shares 2004-2008
Table 41 Tea Brand Shares 2005-2008
Table 42 Forecast Retail Sales of Tea by Subsector: Volume 2008-2013
Table 43 Forecast Retail Sales of Tea by Subsector: Value 2008-2013
Table 44 Forecast Retail Sales of Tea by Subsector: % Volume Growth 2008-2013
Table 45 Forecast Retail Sales of Tea by Subsector: % Value Growth 2008-2013
OTHER HOT DRINKS
Headlines
Trends
Competitive Landscape
Prospects
Sector Data
Table 46 Retail Sales of Other Hot Drinks by Subsector: Volume 2003-2008
Table 47 Retail Sales of Other Hot Drinks by Subsector: Value 2003-2008
Table 48 Retail Sales of Other Hot Drinks by Subsector: % Volume Growth 2003-2008
Table 49 Retail Sales of Other Hot Drinks by Subsector: % Value Growth 2003-2008
Table 50 Other Hot Drinks Company Shares 2004-2008
Table 51 Other Hot Drinks Brand Shares 2005-2008
Table 52 Forecast Retail Sales of Other Hot Drinks by Subsector: Volume 2008-2013
Table 53 Forecast Retail Sales of Other Hot Drinks by Subsector: Value 2008-2013
Table 54 Forecast Retail Sales of Other Hot Drinks by Subsector: % Volume Growth 2008-2013
Table 55 Forecast Retail Sales of Other Hot Drinks by Subsector: % Value Growth 2008-2013
GEO FOODS DISTRIBUTION LTD
Strategic Direction
Key Facts
Summary 2 Geo Foods Distribution Ltd: Key Facts
Summary 3 Geo Foods Distribution Ltd: Operational Indicators 2006-2008
Company Background
Production
Competitive Positioning
TACHKA USA-GEORGIA LTD
Strategic Direction
Key Facts
Summary 4 Tachka USA-Georgia Ltd: Key Facts
Summary 5 Tachka USA-Georgia Ltd: Operational Indicators 2007-2008
Company Background
Production
Competitive Positioning