Hot Drinks in Norway
Euromonitor International's Hot Drinks in Norway 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: 76 | Publication date: Mar 2010
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
Dynamic sales, driven by coffee
Hot drinks in Norway recorded dynamic growth during 2009. Coffee was the main driver of value and volume sales in hot drinks due to the fact that coffee consumption has a long and deep tradition in Norway. In particular, black coffee is consumed throughout the day, typically in a manner similar to that in which the Italians enjoy espresso. Tea continued to show strong growth, with green tea and other tea performing particularly well due to public awareness of the health benefits of these types of products. Products in other hot drinks which feature reduced sugar content also continued to enjoy strong demand and growth. The growing trend among the younger generation for espresso, cappuccino and latte also led to strong growth in coffee. Coffee machines continued to be popular and espresso is now more frequently enjoyed at home. Coffee pods also increased in popularity as these are now distributed through the largest grocery stores in major cities in Norway.
Coffee sales pass NOK2.3 billion in 2009
Coffee value sales passed NOK2 billion in 2007 and the category has enjoyed consistent growth since then due to the popularity of black coffee among all age groups in Norway. Instant coffee performed well in 2009 due to the increasing popularity of espresso and cappuccino. Norwegians are becoming more knowledgeable when it comes to coffee products, which has led to more specialist coffee being consumed. Several players in hot drinks have instigated such trends and 2009 saw more niche and specialist coffee products being purchased. Trends such as this led to value growth being stronger than volume growth as specialist products have a higher unit price than standard coffee. Coffee was also more frequently advertised on television during 2009 and smaller players such as Kjeldsberg and Coop Norge invested more in promoting their coffee products.
Norwegian players control the market
Domestic players Kaffehuset Friele AS and Joh Johannson Kaffe AS led hot drinks in 2009, accounting for just less than half the total value sales combined. The multinational Nestlé Norge AS was in third place, followed by the leading tea player, Haugen-Gruppen A/S. In fifth place was Coop Norge, particularly strong in coffee and the strongest private label player. Coffee machine concepts continued to grow in popularity during 2009 and these machines, which tend to be located in convenience stores and petrol stations, are supplied and stocked by domestic players. Obtaining a contract to supply coffee to a vending machine company is seen as vital among Norwegian coffee companies. At the beginning of 2009, Kaffehuset Friele lost a contract to supply 411 Statoil petrol stations with coffee to the Swedish coffee maker Löfbergs Lila. It is estimated that this deal was worth NOK90 million.
Supermarkets/hypermarkets and discounters account for the majority of sales
Supermarkets/hypermarkets and discounters held strong shares of hot drinks distribution, together dominating sales. Discounters have benefited from increased opening hours, with the majority of outlets remaining open until 22.00hrs or 23.00hrs, not only on weekdays but also during weekends. This flexibility and their ability to keep prices at a minimum saw discounters surpass supermarkets/hypermarkets in volume share during 2009. The four major retail chains in Norway have invested more in their private label hot drink products. Coop Norge is already a well-established coffee player and other chains have invested across their coffee, tea and other hot drinks products. Although private label has not reached a level where quality is equal to branded equivalents, private label maintains an advantage in terms of lower pricing.
Dynamic hot drinks trends to continue
Hot drinks in Norway is expected to post particularly strong value growth over the forecast period, with volume sales also set to grow dynamically. The continuing tradition for consuming black coffee in Norway will ensure that the market continues to grow. The continued introduction of innovative coffee brands will satisfy a more demanding and knowledgeable coffee-drinking nation. Sales of tea will be driven by consumer awareness of the health benefits of drinking tea, particularly products within green tea and other tea. The many reduced sugar alternatives in other hot drinks will meet demand from health-conscious consumers. Coffee machines and coffee pods will continue to be popular with sales of instant coffee products such as espresso and cappuccino expected to grow in a continuation of the strong trends for consuming these products which has developed among Norway’s younger generation of consumers.
Table of contents
HOT DRINKS IN NORWAY : MARKET INSIGHT
EXECUTIVE SUMMARY
Dynamic sales, driven by coffee
Coffee sales pass NOK2.3 billion in 2009
Norwegian players control the market
Supermarkets/hypermarkets and discounters account for the majority of sales
Dynamic hot drinks trends to continue
KEY TRENDS AND DEVELOPMENTS
Coffee pods increase in popularity
Hot drinks sees a bright future
Coffee sales reach over NOK2 billion in 2009
Coffee machines popular in grocery outlets
Health-conscious consumers impact trends in hot drinks
MARKET DATA
Table 1 Retail Vs Foodservice Sales of Hot Drinks: % Volume Breakdown 2004-2009
Table 2 Retail Vs Foodservice Sales of Hot Drinks: % Volume Growth 2004-2009
Table 3 Retail Sales of Hot Drinks by Sector: Volume 2004-2009
Table 4 Retail Sales of Hot Drinks by Sector: Value 2004-2009
Table 5 Retail Sales of Hot Drinks by Sector: % Volume Growth 2004-2009
Table 6 Retail Sales of Hot Drinks by Sector: % Value Growth 2004-2009
Table 7 Foodservice Sales of Hot Drinks by Sector: Volume 2004-2009
Table 8 Foodservice Sales of Hot Drinks by Sector: % Volume Growth 2004-2009
Table 9 Total Sales of Hot Drinks by Sector: Total Volume 2004-2009
Table 10 Total Sales of Hot Drinks by Sector: % Total Volume Growth 2004-2009
Table 11 Hot Drinks Company Shares by Value 2005-2009
Table 12 Hot Drinks Brand Shares by Value 2006-2009
Table 13 Penetration of Private Label by Sector 2005-2009
Table 14 Sales of Hot Drinks by Distribution Format: % Analysis 2004-2009
Table 15 Sales of Hot Drinks by Sector and Distribution Format: % Analysis 2009
Table 16 Forecast Retail Vs Foodservice Sales of Hot Drinks: % Volume Breakdown 2009-2014
Table 17 Forecast Retail Vs Foodservice Sales of Hot Drinks: % Volume Growth 2009-2014
Table 18 Forecast Retail Sales of Hot Drinks by Sector: Volume 2009-2014
Table 19 Forecast Retail Sales of Hot Drinks by Sector: Value 2009-2014
Table 20 Forecast Retail Sales of Hot Drinks by Sector: % Volume Growth 2009-2014
Table 21 Forecast Retail Sales of Hot Drinks by Sector: % Value Growth 2009-2014
Table 22 Forecast Foodservice Sales of Hot Drinks by Sector: Volume 2009-2014
Table 23 Forecast Foodservice Sales of Hot Drinks by Sector: % Volume Growth 2009-2014
Table 24 Forecast Total Sales of Hot Drinks by Sector: Total Volume 2009-2014
Table 25 Forecast Total Sales of Hot Drinks by Sector: % Total Volume Growth 2009-2014
APPENDIX
Production/Import/Export Data
Table 26 Imports/Exports/Apparent Consumption of Coffee 2003-2008
DEFINITIONS
Summary 1 Research Sources
LOCAL COMPANY PROFILES - NORWAY
COOP NORGE AS - HOT DRINKS - NORWAY
STRATEGIC DIRECTION
KEY FACTS
Summary 2 Coop Norge AS: Key Facts
Summary 3 Coop Kaffe AS: Operational Indicators
COMPANY BACKGROUND
COMPETITIVE POSITIONING
Summary 4 Coop Norge AS: Competitive Position 2009
HAUGEN-GRUPPEN A/S - HOT DRINKS - NORWAY
STRATEGIC DIRECTION
KEY FACTS
Summary 5 Haugen-Gruppen A/S: Key Facts
Summary 6 Haugen-Gruppen A/S: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 7 Haugen-Gruppen A/S: Competitive Position 2009
JOH JOHANNSON KAFFE AS - HOT DRINKS - NORWAY
STRATEGIC DIRECTION
KEY FACTS
Summary 8 Joh Johannson Kaffe AS: Key Facts
Summary 9 Joh Johannson Kaffe AS: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 10 Joh Johannson Kaffe AS: Production Statistics 2008
COMPETITIVE POSITIONING
Summary 11 Joh Johannson Kaffe AS: Competitive Position 2009
KAFFEHUSET FRIELE AS - HOT DRINKS - NORWAY
STRATEGIC DIRECTION
KEY FACTS
Summary 12 Kaffehuset Friele AS: Key Facts
Summary 13 Kaffehuset Friele AS: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 14 Kaffehuset Friele AS: Production Statistics 2008
COMPETITIVE POSITIONING
Summary 15 Kaffehuset Friele AS: Competitive Position 2009
COFFEE IN NORWAY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
CATEGORY DATA
Table 27 Coffee Machine Sales: 2003-2008
Table 28 Retail Sales of Coffee by Type: Volume 2004-2009
Table 29 Retail Sales of Coffee by Type: Value 2004-2009
Table 30 Retail Sales of Coffee by Type: % Volume Growth 2004-2009
Table 31 Retail Sales of Coffee by Type: % Value Growth 2004-2009
Table 32 Standard Vs Coffee Pods 2004-2009
Table 33 Coffee Company Shares 2005-2009
Table 34 Coffee Brand Shares 2006-2009
Table 35 Forecast Retail Sales of Coffee by Type: Volume 2009-2014
Table 36 Forecast Retail Sales of Coffee by Type: Value 2009-2014
Table 37 Forecast Retail Sales of Coffee by Type: % Volume Growth 2009-2014
Table 38 Forecast Retail Sales of Coffee by Type: % Value Growth 2009-2014
Table 39 Forecast Standard Vs Coffee Pods 2009-2014
TEA IN NORWAY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
CATEGORY DATA
Table 40 Fruit/Herbal Tea by Type: % Off-trade Volume 2005-2009
Table 41 Other Tea by Type: % Off-trade Volume 2005-2009
Table 42 Retail Sales of Tea by Subsector: Volume 2004-2009
Table 43 Retail Sales of Tea by Subsector: Value 2004-2009
Table 44 Retail Sales of Tea by Subsector: % Volume Growth 2004-2009
Table 45 Retail Sales of Tea by Subsector: % Value Growth 2004-2009
Table 46 Tea Company Shares 2005-2009
Table 47 Tea Brand Shares 2006-2009
Table 48 Forecast Retail Sales of Tea by Subsector: Volume 2009-2014
Table 49 Forecast Retail Sales of Tea by Subsector: Value 2009-2014
Table 50 Forecast Retail Sales of Tea by Subsector: % Volume Growth 2009-2014
Table 51 Forecast Retail Sales of Tea by Subsector: % Value Growth 2009-2014
OTHER HOT DRINKS IN NORWAY
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
CATEGORY DATA
Table 52 Retail Sales of Other Hot Drinks by Subsector: Volume 2004-2009
Table 53 Retail Sales of Other Hot Drinks by Subsector: Value 2004-2009
Table 54 Retail Sales of Other Hot Drinks by Subsector: % Volume Growth 2004-2009
Table 55 Retail Sales of Other Hot Drinks by Subsector: % Value Growth 2004-2009
Table 56 Other Hot Drinks Company Shares 2005-2009
Table 57 Other Hot Drinks Brand Shares 2006-2009
Table 58 Forecast Retail Sales of Other Hot Drinks by Subsector: Volume 2009-2014
Table 59 Forecast Retail Sales of Other Hot Drinks by Subsector: Value 2009-2014
Table 60 Forecast Retail Sales of Other Hot Drinks by Subsector: % Volume Growth 2009-2014
Table 61 Forecast Retail Sales of Other Hot Drinks by Subsector: % Value Growth 2009-2014