Hot Drinks in South Africa

Euromonitor International's Hot Drinks in South Africa 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.

Buy online to access strategic market analysis and an interactive statistical database of duty paid retail volume and value sales, illicit trade volume, company and brand shares, pricing, distribution and production data


Tables: 63  |  Publication date: Jun 2009
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GBP800.00

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  • 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

South African hot drinks experienced healthy growth in 2008

Rising prices, as a result of increasing production costs, fuelled hot drinks value growth during 2008. However, product innovation and new launches have also contributed to growth and stimulated consumer interest in mature categories such as other hot drinks and tea.

Rising food and petrol prices drive up unit prices in 2008

South Africa experienced dramatic increases in the price of food, fuel, and electricity in 2008. Inflation has reached an all time high and many lower income consumers have been forced to shift towards cheaper brands. However, higher income consumers continue to spend on indulgent occasional hot drink “treats” such as speciality coffee and other hot drinks products.

Domestic player National Brands continues to dominate hot drinks

National Brands continues to dominate South African hot drinks sales and is followed by Nestlé South Africa and Unilever South Africa Foods. Nestlé’s Ricoffy is the leading hot drinks brand and is followed by Unilever’s Joko and National Brand’s Five Roses. Ricoffy is a plant-based drink with a chicory base whilst Joko and Five Roses are leading tea brands.

Increased distribution contributes to growth in 2008

The availability of packaged food products continues to grow in-line with the increasing penetration of supermarkets/hypermarkets in rural and township areas. The increasingly hectic pace of modern life in South Africa is resulting in the growing popularity of convenience stores and forecourt retailers which are easily accessible and have long opening hours.

Projected decline in value growth

Whilst value growth was boosted by increased unit prices in 2008, it is thought that trend will change over the forecast period due to the fact that declining consumer disposable incomes will result in an increasing number of consumers curbing their spending and switching to cheaper brands.

Table of contents

HOT DRINKS IN SOUTH AFRICA : MARKET INSIGHT

EXECUTIVE SUMMARY

South African hot drinks experienced healthy growth in 2008

Rising food and petrol prices drive up unit prices in 2008

Domestic player National Brands continues to dominate hot drinks

Increased distribution contributes to growth in 2008

Projected decline in value growth

KEY TRENDS AND DEVELOPMENTS

Rising costs dampen consumer spending in South Africa in 2008

Health and wellness trend boosts demand for healthier products

Increasing demand for convenience fuels packaging innovation

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 Penetration of Private Label by Sector 2004-2008

Table 14 Sales of Hot Drinks by Distribution Format: % Analysis 2003-2008

Table 15 Sales of Hot Drinks by Sector and Distribution Format: % Analysis 2008

Table 16 Forecast Retail Vs Foodservice Sales of Hot Drinks: % Volume Breakdown 2008-2013

Table 17 Forecast Retail Vs Foodservice Sales of Hot Drinks: % Volume Growth 2008-2013

Table 18 Forecast Retail Sales of Hot Drinks by Sector: Volume 2008-2013

Table 19 Forecast Retail Sales of Hot Drinks by Sector: Value 2008-2013

Table 20 Forecast Retail Sales of Hot Drinks by Sector: % Volume Growth 2008-2013

Table 21 Forecast Retail Sales of Hot Drinks by Sector: % Value Growth 2008-2013

Table 22 Forecast Foodservice Sales of Hot Drinks by Sector: Volume 2008-2013

Table 23 Forecast Foodservice Sales of Hot Drinks by Sector: % Volume Growth 2008-2013

Table 24 Forecast Total Sales of Hot Drinks by Sector: Total Volume 2008-2013

Table 25 Forecast Total Sales of Hot Drinks by Sector: % Total Volume Growth 2008-2013

APPENDIX

Published Data Comparisons

Production/Import/Export Data

DEFINITIONS

Summary 1 Research Sources

LOCAL COMPANY PROFILES - SOUTH AFRICA

CHICORY SA LTD - HOT DRINKS - SOUTH AFRICA

STRATEGIC DIRECTION

KEY FACTS

Summary 2 Chicory SA Ltd: Key Facts

COMPANY BACKGROUND

PRODUCTION

COMPETITIVE POSITIONING

NATIONAL BRANDS LTD - HOT DRINKS - SOUTH AFRICA

STRATEGIC DIRECTION

KEY FACTS

Summary 3 National Brands Ltd: Key Facts

Summary 4 National Brands Ltd: Operational Indicators

COMPANY BACKGROUND

PRODUCTION

COMPETITIVE POSITIONING

Summary 5 National Brands Ltd: Competitive Position 2008

VITAL HEALTH FOODS (PTY) LTD - HOT DRINKS - SOUTH AFRICA

STRATEGIC DIRECTION

KEY FACTS

Summary 6 Vital Health Foods (Pty) Ltd: Key Facts

COMPANY BACKGROUND

PRODUCTION

COMPETITIVE POSITIONING

Summary 7 Vital Health Foods (Pty) Ltd: Competitive Position 2008

COFFEE IN SOUTH AFRICA

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

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 Standard Vs Coffee Pods 2004-2008

Table 31 Coffee Company Shares 2004-2008

Table 32 Coffee Brand Shares 2005-2008

Table 33 Forecast Retail Sales of Coffee by Type: Volume 2008-2013

Table 34 Forecast Retail Sales of Coffee by Type: Value 2008-2013

Table 35 Forecast Retail Sales of Coffee by Type: % Volume Growth 2008-2013

Table 36 Forecast Retail Sales of Coffee by Type: % Value Growth 2008-2013

TEA IN SOUTH AFRICA

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 37 Retail Sales of Tea by Subsector: Volume 2003-2008

Table 38 Retail Sales of Tea by Subsector: Value 2003-2008

Table 39 Retail Sales of Tea by Subsector: % Volume Growth 2003-2008

Table 40 Retail Sales of Tea by Subsector: % Value Growth 2003-2008

Table 41 Tea Company Shares 2004-2008

Table 42 Tea Brand Shares 2005-2008

Table 43 Forecast Retail Sales of Tea by Subsector: Volume 2008-2013

Table 44 Forecast Retail Sales of Tea by Subsector: Value 2008-2013

Table 45 Forecast Retail Sales of Tea by Subsector: % Volume Growth 2008-2013

Table 46 Forecast Retail Sales of Tea by Subsector: % Value Growth 2008-2013

OTHER HOT DRINKS IN SOUTH AFRICA

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 47 Retail Sales of Other Hot Drinks by Subsector: Volume 2003-2008

Table 48 Retail Sales of Other Hot Drinks by Subsector: Value 2003-2008

Table 49 Retail Sales of Other Hot Drinks by Subsector: % Volume Growth 2003-2008

Table 50 Retail Sales of Other Hot Drinks by Subsector: % Value Growth 2003-2008

Table 51 Other Hot Drinks Company Shares 2004-2008

Table 52 Other Hot Drinks Brand Shares 2005-2008

Table 53 Forecast Retail Sales of Other Hot Drinks by Subsector: Volume 2008-2013

Table 54 Forecast Retail Sales of Other Hot Drinks by Subsector: Value 2008-2013

Table 55 Forecast Retail Sales of Other Hot Drinks by Subsector: % Volume Growth 2008-2013

Table 56 Forecast Retail Sales of Other Hot Drinks by Subsector: % Value Growth 2008-2013