Hot Drinks in Ireland
Euromonitor International's Hot Drinks in Ireland 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: 69 | Publication date: Mar 2008
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
Declining sales of standard formats
Standard formats of tea and coffee products are both faltering in the face of growing consumer preferences for variety and innovation. Instant standard coffee registered the slowest value growth of any coffee category over the review period. Similarly, sales of green and fruit/herbal tea trounced black standard tea bags in terms of growth over the last five years. Despite this, standard formats continue to characterise the industry, with black standard tea accounting for the vast majority of total off-trade tea volumes in 2007. Instant coffee also continued to represent the bulk of total off-trade coffee volumes.
Consumers trade up for indulgent options
Rising disposable incomes gave many the means to afford higher-quality products during the review period. Sales of premium positioned ground coffee, specialty tea and hot chocolate continued to drive value growth in 2007. Meanwhile, extra spending on premium lines compensated for stagnant volume growth. Premium hot drinks are viewed as indulgent treats and affordable luxuries, which consumers are prepared to pay more for. Unit prices are rising in line with increasing consumer preference for premium blends. Within categories such as fresh coffee for example, premium blends have forced the average unit price up significantly, as consumers bid for quality and variety within the confines of the format.
Health and wellbeing drives otherwise stagnant tea
Hot drinks was as affected by health and wellness trends as other grocery products in Ireland in 2007. Decaffeinated hot drinks resonate with consumers seeking a healthy lifestyle. Decaffeinated tea and coffee performed well and sales of green tea and fruit/herbal tea grew strongly. Brands focussed on developing and marketing decaffeinated blends that compared in taste and quality to regular tea and coffee, and the strong growth rates experienced by these products is testament to their success. Young upmarket consumers bought into fruit/herbal tea and sought specific teas to meet their needs, whether they wished to detox, relax or energise. Green tea remained popular in both its regular and decaffeinated varieties, as the press promoted the health benefits of the drink.
Coffee industry becoming more specialised
The speciality coffee range is expected to increasingly expand beyond cappuccino; the leading product in the range in 2007. Producers are expected to shift focus further into other instant speciality varieties such as mocha and latte over the forecast period, as consumers become more accustomed to speciality coffee blends. Growth in coffee pod volumes appears limited at present, and availability through off-trade channels remains poor – the format will bear scrutiny over the forecast period as consumer tastes become more sophisticated, and ownership of single-serve machines gradually increases.
Continued progress of Irish brands
Irish brands continue to perform well, as consumers are keen to buy Irish and support their home-grown brands. Barry’s Tea continues to grow in the tea sector, creeping closer to sector leader Lyon’s Tea. Irish tea and coffee brand Bewley’s is strong in fresh coffee. 100% Irish-owned coffee shop chain, The Insomnia Coffee Company is expanding its network of cafés, as well as moving into retail sales. However, some multinationals are attempting to appeal to other nationalities in Ireland, as demonstrated by Unilever’s launch of Saga in Ireland, Poland’s favourite tea.
Table of contents
HOT DRINKS IN IRELAND : MARKET INSIGHT
EXECUTIVE SUMMARY
Declining sales of standard formats
Consumers trade up for indulgent options
Health and wellbeing drives otherwise stagnant tea
Coffee industry becoming more specialised
Continued progress of Irish brands
KEY TRENDS AND DEVELOPMENTS
Premiumisation in hot drinks
Traditional drinks rule supreme, but fresh coffee registers rising interest
Ethical shopping
Convenience at a premium
MARKET DATA
Table 1 Retail Vs Foodservice Sales of Hot Drinks: % Volume Breakdown 2002-2007
Table 2 Retail Vs Foodservice Sales of Hot Drinks: % Volume Growth 2002-2007
Table 3 Retail Sales of Hot Drinks by Sector: Volume 2002-2007
Table 4 Retail Sales of Hot Drinks by Sector: Value 2002-2007
Table 5 Retail Sales of Hot Drinks by Sector: % Volume Growth 2002-2007
Table 6 Retail Sales of Hot Drinks by Sector: % Value Growth 2002-2007
Table 7 Foodservice Sales of Hot Drinks by Sector: Volume 2002-2007
Table 8 Foodservice Sales of Hot Drinks by Sector: % Volume Growth 2002-2007
Table 9 Total Sales of Hot Drinks by Sector: Total Volume 2002-2007
Table 10 Total Sales of Hot Drinks by Sector: % Total Volume Growth 2002-2007
Table 11 Hot Drinks Company Shares by Value 2003-2007
Table 12 Hot Drinks Brand Shares by Value 2004-2007
Table 13 Penetration of Private Label by Sector 2003-2007
Table 14 Sales of Hot Drinks by Distribution Format: % Analysis 2002/2007
Table 15 Sales of Hot Drinks by Sector and Distribution Format: % Analysis 2007
Table 16 Forecast Retail Vs Foodservice Sales of Hot Drinks: % Volume Breakdown 2007-2012
Table 17 Forecast Retail Vs Foodservice Sales of Hot Drinks: % Volume Growth 2007-2012
Table 18 Forecast Retail Sales of Hot Drinks by Sector: Volume 2007-2012
Table 19 Forecast Retail Sales of Hot Drinks by Sector: Value 2007-2012
Table 20 Forecast Retail Sales of Hot Drinks by Sector: % Volume Growth 2007-2012
Table 21 Forecast Retail Sales of Hot Drinks by Sector: % Value Growth 2007-2012
Table 22 Forecast Foodservice Sales of Hot Drinks by Sector: Volume 2007-2012
Table 23 Forecast Foodservice Sales of Hot Drinks by Sector: % Volume Growth 2007-2012
Table 24 Forecast Total Sales of Hot Drinks by Sector: Total Volume 2007-2012
Table 25 Forecast Total Sales of Hot Drinks by Sector: % Total Volume Growth 2007-2012
DEFINITIONS
Sources
Summary 1 Research Sources
LOCAL COMPANY PROFILES - IRELAND
BARRY'S TEA LTD - HOT DRINKS - IRELAND
STRATEGIC DIRECTION
KEY FACTS
Summary 2 Barry’s Tea Ltd: Key Facts
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 3 Barry’s Tea Ltd: Competitive Position 2007
CAFéDIRECT LTD - HOT DRINKS - IRELAND
STRATEGIC DIRECTION
KEY FACTS
Summary 4 Cafédirect Ltd: Key Facts
Summary 5 Cafédirect Ltd: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
CAMPBELL BEWLEY GROUP LTD - HOT DRINKS - IRELAND
STRATEGIC DIRECTION
KEY FACTS
Summary 6 Campbell Bewley Group Ltd: Key Facts
Summary 7 Campbell Bewley Group Ltd: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 8 Campbell Bewley Group Ltd: Competitive Position 2007
INSOMNIA COFFEE CO - HOT DRINKS - IRELAND
STRATEGIC DIRECTION
KEY FACTS
Summary 9 Insomnia Coffee Company: Key Facts
COMPANY BACKGROUND
COMPETITIVE POSITIONING
ROBERT ROBERTS LTD - HOT DRINKS - IRELAND
STRATEGIC DIRECTION
KEY FACTS
Summary 10 Robert Roberts Ltd: Key Facts
Summary 11 Robert Roberts Ltd: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 12 Robert Roberts Ltd: Competitive Position 2007
COFFEE IN IRELAND
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 26 Sales of Coffee by Type: Volume 2002-2007
Table 27 Sales of Coffee by Type: Value 2002-2007
Table 28 Sales of Coffee by Type: % Volume Growth 2002-2007
Table 29 Sales of Coffee by Type: % Value Growth 2002-2007
Table 30 Standard Vs Coffee Pods 2004-2007
Table 31 Coffee Company Shares 2003-2007
Table 32 Coffee Brand Shares 2004-2007
Table 33 Foodservice Sales of Coffee by Distribution Format 2002/2007
Table 34 Forecast Sales of Coffee by Type: Volume 2007-2012
Table 35 Forecast Sales of Coffee by Type: Value 2007-2012
Table 36 Forecast Sales of Coffee by Type: % Volume Growth 2007-2012
Table 37 Forecast Sales of Coffee by Type: % Value Growth 2007-2012
TEA IN IRELAND
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 38 Sales of Tea by Subsector: Volume 2002-2007
Table 39 Sales of Tea by Subsector: Value 2002-2007
Table 40 Sales of Tea by Subsector: % Volume Growth 2002-2007
Table 41 Sales of Tea by Subsector: % Value Growth 2002-2007
Table 42 Tea Company Shares 2003-2007
Table 43 Tea Brand Shares 2004-2007
Table 44 Forecast Sales of Tea by Subsector: Volume 2007-2012
Table 45 Forecast Sales of Tea by Subsector: Value 2007-2012
Table 46 Forecast Sales of Tea by Subsector: % Volume Growth 2007-2012
Table 47 Forecast Sales of Tea by Subsector: % Value Growth 2007-2012
OTHER HOT DRINKS IN IRELAND
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 48 Sales of Other Hot Drinks by Subsector: Volume 2002-2007
Table 49 Sales of Other Hot Drinks by Subsector: Value 2002-2007
Table 50 Sales of Other Hot Drinks by Subsector: % Volume Growth 2002-2007
Table 51 Sales of Other Hot Drinks by Subsector: % Value Growth 2002-2007
Table 52 Other Hot Drinks Company Shares 2003-2007
Table 53 Other Hot Drinks Brand Shares 2004-2007
Table 54 Forecast Sales of Other Hot Drinks by Subsector: Volume 2007-2012
Table 55 Forecast Sales of Other Hot Drinks by Subsector: Value 2007-2012
Table 56 Forecast Sales of Other Hot Drinks by Subsector: % Volume Growth 2007-2012
Table 57 Forecast Sales of Other Hot Drinks by Subsector: % Value Growth 2007-2012