Hot Drinks in Switzerland
Euromonitor International's Hot Drinks in Switzerland 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: 70 | 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
Further Growth Despite Looming Recession
Although slower than in the previous year, hot drinks experienced further growth in 2008, despite the looming recession. The global financial crisis hit Switzerland relatively late and the Swiss economy still grew by 2% in 2008. Retailers showed more signs of the economic slowdown. After two years of extending their premium segments, particularly in coffee and tea, major retailers such as Migros Genossenschaftsbund eG and Coop Schweiz are increasing the focus on their budget product lines and private label range in order to the compete with the continued expansion of discounters in Switzerland.
Swiss Consumers Demand Exotic and Ethnic Flavours
In hot drinks as well as foods, ethnic and exotic flavours that draw inspiration from distant cuisines are increasing in popularity in Switzerland and across Europe. Besides, there is infinite scope for and real interest in new hot drinks and flavours sourced from 'new' places. The increasing number of foreigners in Switzerland is making new product launches with exotic flavours easier, as they foster the culinary exchange between cultures. The diversification in flavours is particularly visible in tea and coffee, thanks to a higher degree of product innovation. New products sourced from different parts of the world are constantly entering the market.
Nestlé Remains the Clear Leader in Hot Drinks
Nestlé Suisse SA remains the clear leader in hot drinks in terms of value. The Swiss company is present mainly in instant coffee and fresh ground coffee, where revenues have skyrocketed over the past few years thanks to its Nespresso capsules. The number of households using a capsule coffee machine is still increasing and new innovations, both from Nestlé and its competitors continue characterising the scene. However, Nestlé's competition is increasing. Both Migros and Coop have been successful with their private label capsule ranges, which sell at cheaper prices and have similar tastes and quality.
Migros and Coop Dominate the Distribution in Swiss Hot Drinks
In distribution, the two top retailers Migros und Coop dominate hot drinks. Migros and Coop control about 80% of domestic packaged food sales. For commodities such as coffee and tea, this share may be even higher. Compared to other European retailers, both Migros and Coop rely heavily on private label products. The majority of Migros' value sales are generated by its private label range. In the case of Coop, it is approximately half of sales. Both retailers are increasingly feeling the competition of German discounters Aldi and Lidl. The latter is currently in the process of opening its first outlets in Switzerland. As a result, Swiss hot drinks prices are expected to get under even more pressure.
Continued Moderate Growth Forecast
Hot drinks are expected to continue growing moderately, in line with inflation. Performance in terms of value will depend on the development of commodity prices. This is particularly important in coffee, where prices, both for manufacturers and retailers, have gone up significantly over the last years. In addition, the coffee category is relatively saturated. The total number of coffee machines used in Switzerland stagnated in 2008. More importantly are the changes happening regarding the consumption pattern. For example, more and more people drink capsule coffee, less and less drink instant coffee. Tea still shows potential thanks to its increasingly healthy image. The challenge will be to attract young consumers.
Table of contents
HOT DRINKS IN SWITZERLAND : MARKET INSIGHT
EXECUTIVE SUMMARY
Further Growth Despite Looming Recession
Swiss Consumers Demand Exotic and Ethnic Flavours
Nestlé Remains the Clear Leader in Hot Drinks
Migros and Coop Dominate the Distribution in Swiss Hot Drinks
Continued Moderate Growth Forecast
KEY TRENDS AND DEVELOPMENTS
Retailers and Consumers Prepare Themselves for a Looming Economic Slowdown
Manufacturers and Retailers Target the Conscious Consumer
Swiss Consumers Demand Authenticity and Exotic Flavours
Specialist Coffee Shops Boom Change Perception of Coffee
Foodservice Outlets Attracting Customers With "Afternoon Tea"
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
DEFINITIONS
Summary 1 Research Sources
LOCAL COMPANY PROFILES - SWITZERLAND
COOP SCHWEIZ - HOT DRINKS - SWITZERLAND
STRATEGIC DIRECTION
KEY FACTS
Summary 2 Coop Schweiz: Key Facts
Summary 3 Coop Schweiz: Operational Indicators 2006-2008
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 4 Coop Schweiz: Competitive Position 2008
MIGROS GENOSSENSCHAFTSBUND EG - HOT DRINKS - SWITZERLAND
STRATEGIC DIRECTION
KEY FACTS
Summary 5 Migros Genossenschaftsbund eG: Key Facts
Summary 6 Migros Genossenschaftsbund eG: Operational Indicators 2006-2008
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 7 Migros Genossenschaftsbund eG: Competitive Position 2008
NESTLé SUISSE SA - HOT DRINKS - SWITZERLAND
STRATEGIC DIRECTION
KEY FACTS
Summary 8 Nestlé Suisse SA: Key Facts
Summary 9 Nestlé Suisse SA: Operational Indicators 2006-2008
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 10 Nestlé Suisse SA: Competitive Position 2008
WANDER AG - HOT DRINKS - SWITZERLAND
STRATEGIC DIRECTION
KEY FACTS
Summary 11 Wander AG: Key Facts
Summary 12 Wander AG: Operational Indicators 2006-2008
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 13 Wander AG: Competitive Position 2008
COFFEE IN SWITZERLAND
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 26 Coffee Machine Sales: 2002-2007
Table 27 Retail Sales of Coffee by Type: Volume 2003-2008
Table 28 Retail Sales of Coffee by Type: Value 2003-2008
Table 29 Retail Sales of Coffee by Type: % Volume Growth 2003-2008
Table 30 Retail Sales of Coffee by Type: % Value Growth 2003-2008
Table 31 Standard Vs Coffee Pods 2004-2008
Table 32 Coffee Company Shares 2004-2008
Table 33 Coffee Brand Shares 2005-2008
Table 34 Forecast Retail Sales of Coffee by Type: Volume 2008-2013
Table 35 Forecast Retail Sales of Coffee by Type: Value 2008-2013
Table 36 Forecast Retail Sales of Coffee by Type: % Volume Growth 2008-2013
Table 37 Forecast Retail Sales of Coffee by Type: % Value Growth 2008-2013
TEA IN SWITZERLAND
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 38 Retail Sales of Tea by Subsector: Volume 2003-2008
Table 39 Retail Sales of Tea by Subsector: Value 2003-2008
Table 40 Retail Sales of Tea by Subsector: % Volume Growth 2003-2008
Table 41 Retail Sales of Tea by Subsector: % Value Growth 2003-2008
Table 42 Tea Company Shares 2004-2008
Table 43 Tea Brand Shares 2005-2008
Table 44 Forecast Retail Sales of Tea by Subsector: Volume 2008-2013
Table 45 Forecast Retail Sales of Tea by Subsector: Value 2008-2013
Table 46 Forecast Retail Sales of Tea by Subsector: % Volume Growth 2008-2013
Table 47 Forecast Retail Sales of Tea by Subsector: % Value Growth 2008-2013
OTHER HOT DRINKS IN SWITZERLAND
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 48 Retail Sales of Other Hot Drinks by Subsector: Volume 2003-2008
Table 49 Retail Sales of Other Hot Drinks by Subsector: Value 2003-2008
Table 50 Retail Sales of Other Hot Drinks by Subsector: % Volume Growth 2003-2008
Table 51 Retail Sales of Other Hot Drinks by Subsector: % Value Growth 2003-2008
Table 52 Other Hot Drinks Company Shares 2004-2008
Table 53 Other Hot Drinks Brand Shares 2005-2008
Table 54 Forecast Retail Sales of Other Hot Drinks by Subsector: Volume 2008-2013
Table 55 Forecast Retail Sales of Other Hot Drinks by Subsector: Value 2008-2013
Table 56 Forecast Retail Sales of Other Hot Drinks by Subsector: % Volume Growth 2008-2013
Table 57 Forecast Retail Sales of Other Hot Drinks by Subsector: % Value Growth 2008-2013