Hot Drinks in the United Arab Emirates
Euromonitor International's Hot Drinks in the United Arab Emirates 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: 61 | Publication date: Sep 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 culture and an influx of expatriates and tourists drive the market
Hot drinks posted double-digit total volume growth in 2008 to outperform the review period CAGR thanks to a buoyant coffee culture and influx of expatriates and tourists. Firstly, in addition to the established international specialist coffee houses in the United Arab Emirates, a wave of market entrants are exploring new opportunities. Secondly, the growing inflow of expatriates and tourists to the country contributed to the higher volume sales.
Tea stands strong in the presence of inflationary woes
In spite of record inflation in 2008, the tea sector registered record volume sales growth, the highest of the review period. This performance was partly down to a traditional tea culture in this part of the world, which houses expatriates from the Middle East and Asia, two regions where tea is hugely popular. In addition, other factors have fuelled growth, like standard brands Lipton and Alokozay embarking on a series of advertising campaigns during the course of the year, increasing fruit/herbal tea offerings from Lipton and Twinings and the launch of new product developments such as Lipton Chai Latté.
Hot weather remains an obstacle to growth
The United Arab Emirates’ sub-tropical climate – with extreme temperatures and humidity levels – hampers hot drinks consumption during the summer. With the wide availability of soft drinks in both the on-trade and off-trade channels, these products remain an attractive option during the summer.
Multinational manufacturers/brands extend their lead
With negligible domestic manufacturing, multinational manufacturers/brands continued to dominate the hot drinks market, with Unilever and Nestlé alone accounting for more than 25% of total off-trade value sales in 2008. The concentrated nature of the market, coupled with strong brand loyalty, limit both competition and the potential for domestic and regional companies to enter the market. There are currently only two regional producers competing within the market and the majority of players remain multinationals. As a result, there is a distinct lack of new product development within the market. The majority of consumers are used to buying their favourite brands and show little inclination to experiment with new products.
Supermarkets/hypermarkets clinch the leading position for the first time
Historically, small independent grocers dominated the off-trade distribution of hot drinks thanks to their presence in most neighbourhoods. In 2008 supermarkets/hypermarkets seized the leading position thanks to expanding coverage, regular promotions, competitive pricing and a growing trend for consumers to shop on a weekly basis.
Robust forecast growth
The hot drinks market is expected to post healthy growth rates over the forecast period, although slightly short of the historical growth levels as the hot weather will continue to take affect summer consumption. In value terms the market will perform well, largely due to premiumisation
Table of contents
HOT DRINKS IN THE UNITED ARAB EMIRATES : MARKET INSIGHT
EXECUTIVE SUMMARY
Coffee culture and an influx of expatriates and tourists drive the market
Tea stands strong in the presence of inflationary woes
Hot weather remains an obstacle to growth
Multinational manufacturers/brands extend their lead
Supermarkets/hypermarkets clinch the leading position for the first time
Robust forecast growth
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
DEFINITIONS
Summary 1 Research Sources
COFFEE
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 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 Fruit/Herbal Tea by Type: % Off-trade Volume 2007-2008
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
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
MAATOUK MAISON DU CAFÉ
Strategic Direction
Key Facts
Summary 2 Maatouk Maison du Café: Key Facts
Company Background
Production
Competitive Positioning
Summary 3 Maatouk Maison du Café: Competitive Position 2008
SOCIÉTÉ ETS MICHEL NAJJAR
Strategic Direction
Key Facts
Summary 4 Société Ets Michel Najjar: Key Facts
Company Background
Production
Competitive Positioning
Summary 5 Société Ets Michel Najjar: Competitive Position 2008