Soft Drinks in Chile

Euromonitor International's Soft Drinks in Chile 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 volume and value market sizes including on-trade and off-trade, company and brand shares, distribution and pricing data.

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

Asian speciality drinks; Bottled water; Carbonates; Concentrates; Fruit/vegetable juice; Functional drinks; RTD coffee; RTD tea

Executive summary

Growing target consumer group and new niches pushing up sales

Slowly the circumstances of Chileans have improved and over the review period the emerging lower middle income and low income groups were able to incorporate the demand for many products, including soft drinks. An ever greater number of customers are able to buy soft drinks products with greater frequency, and migrate from the cheapest to better-quality drinks as well as adopting healthy products. For example, Chileans started to consume bottled water instead of tap water. The greater sales potential is attracting new investments, thus resulting not only in a speeding up of product development but also creating some categories new to the Chilean market, such as RTD tea.

Inflation hike mitigates the positive effects of the health trend

By the end of the review period, sales were being driven by the health trend. An ever greater number of Chileans had shifted to products that are perceived as better for you, finding a more and more compelling offering to satisfy them. About 90% of product developments are orientated towards the health trend – and most of these products succeed. Low-calorie carbonates, bottled water and fruit juice recorded outstanding performances. Even powder concentrates, a pretty mature category, has flourished because of low-calorie product launches. By 2008, the effect of the health trend on sales was being mitigated by customers starting to be more cautious about their expenditure, reducing purchase frequency or buying less expensive brands.

Alliances reinforce leading players’ strategies

By the end of the review period alliances among leading players were capturing the news headlines. Domestic or global alliances have supported the introduction of new products or have improved the commercialisation capabilities of leading players, which is creating more problems for smaller players that want to increase their market share. RTD tea is the most notorious example that made feasible the development of the market, with Coca-Cola introducing Nestea (Coca-Cola – Nestlé global joint venture) and Embotelladoras Chilenas Unidas (ECCUSA) introducing Lipton (PepsiCo – Unilever alliance). ECCUSA, the major Chilean brewer, also intends to improve its competitiveness through the alliance with Watt’s (Promarca, equal share venture) to develop the fruit juice business in Chile and abroad, and with Nestlé to develop the purified bottled water niche.

Retailers’ expansion helps to meet the immediate consumption challenge

Chileans’ busier lifestyles have stimulated not only the demand for convenience but also the number of customers that demand products to eat/drink on the move. Therefore, immediate consumption has influenced the distribution strategies of soft drinks players. Leading retailers have expanded nationwide, arriving in smaller towns and second-tier cities, at the same time as increasing their extended coverage in the main cities through smaller formats such as convenience stores, discounters, and 1,000 sq m supermarkets. Coca-Cola and ECCUSA have heavily invested to improve their presence in these retailers, but also to support independent stores, which allows them to offset the power of the big retailers. As part of these actions, the firms have provided cooler machines and chilled cabinets that ensure the access to their products in optimum conditions for immediate consumption. Coca-Cola has been more active in improving its presence, also widening the coverage of its vending machines (through its firm Multivending).

Robust growth is expected despite economic slowdown

Soft drinks sales growth over the forecast period should outpace the performance observed between 2003 and 2008 in constant value terms. Although the performance to 2010 could be affected by the economic slowdown, healthy and fortified products should support sales growth, and smaller packages aimed at children and immediate consumption should fuel price rises. By the end of the forecast period, the emerging lower income consumer segments should be helping to push demand faster than ever.

Table of contents

SOFT DRINKS IN CHILE : MARKET INSIGHT

EXECUTIVE SUMMARY

Growing target consumer group and new niches pushing up sales

Inflation hike mitigates the positive effects of the health trend

Alliances reinforce leading players’ strategies

Retailers’ expansion helps to meet the immediate consumption challenge

Robust growth is expected despite economic slowdown

KEY TRENDS AND DEVELOPMENTS

Weakening economy slowing down soft drinks sales

Prices grew slower than inflation to help maintain sales

Consumption on the go gaining popularity

Health trend drives product development

Innovation speeding up to anticipate emerging trends

MARKET DATA

Table 1 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: Volume 2003-2008

Table 2 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: % Volume Growth 2003-2008

Table 3 Off-trade vs On-trade Sales of Soft Drinks by Channel: Value 2003-2008

Table 4 Off-trade vs On-trade Sales of Soft Drinks by Channel: % Value Growth 2003-2008

Table 5 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Sector: Volume 2008

Table 6 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Sector: % Volume 2008

Table 7 Off-trade vs On-trade Sales of Soft Drinks by Sector: Value 2008

Table 8 Off-trade vs On-trade Sales of Soft Drinks by Sector: % Value 2008

Table 9 Off-trade Sales of Soft Drinks (as sold) by Sector: Volume 2003-2008

Table 10 Off-trade Sales of Soft Drinks (as sold) by Sector: % Volume Growth 2003-2008

Table 11 Off-trade Sales of Soft Drinks by Sector: Value 2003-2008

Table 12 Off-trade Sales of Soft Drinks by Sector: % Value Growth 2003-2008

Table 13 Company Shares of Off-trade Soft Drinks (as sold) by Volume 2004-2008

Table 14 Brand Shares of Off-trade Soft Drinks (as sold) by Volume 2005-2008

Table 15 Company Shares of Off-trade Soft Drinks (RTD) by Volume 2004-2008

Table 16 Brand Shares of Off-trade Soft Drinks (RTD) by Volume 2005-2008

Table 17 Company Shares of Off-trade Soft Drinks by Value 2004-2008

Table 18 Brand Shares of Off-trade Soft Drinks by Value 2005-2008

Table 19 Penetration of Private Label (as sold) by Sector by Volume 2003-2008

Table 20 Penetration of Private Label by Sector by Value 2003-2008

Table 21 Off-trade Sales of Soft Drinks by Sector and Distribution Format: % Analysis 2008

Table 22 Forecast Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: Volume 2008-2013

Table 23 Forecast Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: % Volume Growth 2008-2013

Table 24 Forecast Off-trade vs On-trade Sales of Soft Drinks by Channel: Value 2008-2013

Table 25 Forecast Off-trade vs On-trade Sales of Soft Drinks by Channel: % Value Growth 2008-2013

Table 26 Forecast Off-trade Sales of Soft Drinks (as sold) by Sector: Volume 2008-2013

Table 27 Forecast Off-trade Sales of Soft Drinks (as sold) by Sector: % Volume Growth 2008-2013

Table 28 Forecast Off-trade Sales of Soft Drinks by Sector: Value 2008-2013

Table 29 Forecast Off-trade Sales of Soft Drinks by Sector: % Value Growth 2008-2013

APPENDIX

FOUNTAIN SALES in Chile

Table 30 Off-trade Sales of Concentrates (RTD) by Subsector: Volume 2003-2008

Table 31 Off-trade Sales of Concentrates (RTD) by Subsector: % Volume Growth 2003-2008

Table 32 Company Shares of Liquid Concentrates (as sold) by Off-trade Volume 2004-2008

Table 33 Brand Shares of Liquid Concentrates (as sold) by Off-trade Volume 2005-2008

Table 34 Company Shares of Powder Concentrates (as sold) by Off-trade Volume 2004-2008

Table 35 Brand Shares of Powder Concentrates (as sold) by Off-trade Volume 2005-2008

Table 36 Company Shares of Concentrates (RTD) by Off-trade Volume 2004-2008

Table 37 Brand Shares of Concentrates (RTD) by Off-trade Volume 2005-2008

Table 38 Forecast Off-trade Sales of Concentrates (RTD) by Subsector: Volume 2008-2013

Table 39 Forecast Off-trade Sales of Concentrates (RTD) by Subsector: % Volume Growth 2008-2013

DEFINITIONS

Summary 1 Research Sources

LOCAL COMPANY PROFILES - CHILE

CORPORA TRESMONTES SA - SOFT DRINKS - CHILE

STRATEGIC DIRECTION

KEY FACTS

Summary 2 Corpora TresMontes SA: Key Facts

Summary 3 Corpora TresMontes SA: Operational Indicators

COMPANY BACKGROUND

PRODUCTION

Summary 4 Corpora TresMontes SA: Production Statistics 2007

COMPETITIVE POSITIONING

Summary 5 Corpora TresMontes SA: Competitive Position 2008

EMBOTELLADORA LATINOAMéRICANA - SOFT DRINKS - CHILE

STRATEGIC DIRECTION

KEY FACTS

Summary 6 Embotelladora Latinoaméricana SA: Key Facts

Summary 7 Embotelladora Latinoaméricana SA: Operational Indicators

COMPANY BACKGROUND

PRODUCTION

Summary 8 Embotelladora Latinoaméricana SA: Production Statistics 2007

COMPETITIVE POSITIONING

Summary 9 Embotelladora Latinoaméricana SA: Competitive Position 2008

EMBOTELLADORAS CHILENAS UNIDAS SA - SOFT DRINKS - CHILE

STRATEGIC DIRECTION

KEY FACTS

Summary 10 Embotelladoras Chilenas Unidas SA: Key Facts

Summary 11 Embotelladoras Chilenas Unidas SA: Operational Indicators

COMPANY BACKGROUND

PRODUCTION

Summary 12 Embotelladoras Chilenas Unidas SA: Production Statistics 2007

COMPETITIVE POSITIONING

Summary 13 Embotelladoras Chilenas Unidas SA: Competitive Position 2008

EMPRESAS CAROZZI SA - SOFT DRINKS - CHILE

STRATEGIC DIRECTION

KEY FACTS

Summary 14 Empresas Carozzi SA: Key Facts

Summary 15 Empresas Carozzi SA: Operational Indicators

COMPANY BACKGROUND

PRODUCTION

Summary 16 Empresas Carozzi SA: Production Statistics 2007

COMPETITIVE POSITIONING

Summary 17 Empresas Carozzi SA: Competitive Position 2008

PROMARCA SA - SOFT DRINKS - CHILE

STRATEGIC DIRECTION

KEY FACTS

Summary 18 Promarca SA: Key Facts

Summary 19 Promarca SA: Operational Indicators

COMPANY BACKGROUND

PRODUCTION

Summary 20 Promarca SA: Production Statistics 2007

COMPETITIVE POSITIONING

Summary 21 Promarca SA: Competitive Position 2008

T-COMPANY SA, THE - SOFT DRINKS - CHILE

STRATEGIC DIRECTION

KEY FACTS

Summary 22 The T-Company SA: Key Facts

COMPANY BACKGROUND

PRODUCTION

Summary 23 The T-Company SA: Production Statistics 2007

COMPETITIVE POSITIONING

Summary 24 The T-Company SA: Competitive Position 2008

CARBONATES IN CHILE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 40 Low-calorie Carbonates by Subsector

Table 41 Off-trade Sales of Carbonates by Subsector: Volume 2003-2008

Table 42 Off-trade Sales of Carbonates by Subsector: Value 2003-2008

Table 43 Off-trade Sales of Carbonates by Subsector: % Volume Growth 2003-2008

Table 44 Off-trade Sales of Carbonates by Subsector: % Value Growth 2003-2008

Table 45 On-trade vs Off-trade Sales of Carbonates: Volume 2003-2008

Table 46 On-trade vs Off-trade Sales of Carbonates: Value 2003-2008

Table 47 On-trade vs Off-trade Sales of Carbonates: % Volume Growth 2003-2008

Table 48 On-trade vs Off-trade Sales of Carbonates: % Value Growth 2003-2008

Table 49 Company Shares of Carbonates by Off-trade Volume 2004-2008

Table 50 Brand Shares of Carbonates by Off-trade Volume 2005-2008

Table 51 Company Shares of Carbonates by Off-trade Value 2004-2008

Table 52 Brand Shares of Carbonates by Off-trade Value 2005-2008

Table 53 Forecast Off-trade Sales of Carbonates by Subsector: Volume 2008-2013

Table 54 Forecast Off-trade Sales of Carbonates by Subsector: Value 2008-2013

Table 55 Forecast Off-trade Sales of Carbonates by Subsector: % Volume Growth 2008-2013

Table 56 Forecast Off-trade Sales of Carbonates by Subsector: % Value Growth 2008-2013

FRUIT/VEGETABLE JUICE IN CHILE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 57 Off-trade Sales of Fruit/Vegetable Juice by Subsector: Volume 2003-2008

Table 58 Off-trade Sales of Fruit/Vegetable Juice by Subsector: Value 2003-2008

Table 59 Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Volume Growth 2003-2008

Table 60 Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Value Growth 2003-2008

Table 61 Leading Flavours for 100% Juice: % Volume Breakdown 2003-2008

Table 62 Leading Flavours for Nectars (25-99% Juice): % Volume Breakdown 2003-2008

Table 63 Leading Flavours for Juice Drinks (up to 24% Juice): % Volume Breakdown 2003-2008

Table 64 Leading Flavours for Fruit-flavoured Drinks (No Juice Content): % Volume Breakdown 2003-2008

Table 65 % Share of Smoothies in 100% Juice and Nectars (25-99% Juice): Off-trade Value 2008

Table 66 Chilled Vs Ambient Not From Concentrate 100% Juice: % Analysis 2003-2008

Table 67 Company Shares of Fruit/Vegetable Juice by Off-trade Volume 2004-2008

Table 68 Brand Shares of Fruit/Vegetable Juice by Off-trade Volume 2005-2008

Table 69 Company Shares of Fruit/Vegetable Juice by Off-trade Value 2004-2008

Table 70 Brand Shares of Fruit/Vegetable Juice by Off-trade Value 2005-2008

Table 71 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: Volume 2008-2013

Table 72 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: Value 2008-2013

Table 73 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Volume Growth 2008-2013

Table 74 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Value Growth 2008-2013

BOTTLED WATER IN CHILE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Institutional Bottled Water Sales

Table 75 Sales of Bottled Water to Institutional Channel 2004-2008

Table 76 Off-trade Sales of Bottled Water: Volume 2003-2008

Table 77 Off-trade Sales of Bottled Water: Value 2003-2008

Table 78 Off-trade Sales of Bottled Water: % Volume Growth 2003-2008

Table 79 Off-trade Sales of Bottled Water: % Value Growth 2003-2008

Table 80 Company Shares of Bottled Water by Off-trade Volume 2004-2008

Table 81 Brand Shares of Bottled Water by Off-trade Volume 2005-2008

Table 82 Company Shares of Bottled Water by Off-trade Value 2004-2008

Table 83 Brand Shares of Bottled Water by Off-trade Value 2005-2008

Table 84 Forecast Off-trade Sales of Bottled Water: Volume 2008-2013

Table 85 Forecast Off-trade Sales of Bottled Water: Value 2008-2013

Table 86 Forecast Off-trade Sales of Bottled Water: % Volume Growth 2008-2013

Table 87 Forecast Off-trade Sales of Bottled Water: % Value Growth 2008-2013

FUNCTIONAL DRINKS IN CHILE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 88 Still vs Carbonated Functional Drinks % Off-trade Volume 2005-2008

Table 89 Off-trade Sales of Functional Drinks by Subsector: Volume 2003-2008

Table 90 Off-trade Sales of Functional Drinks by Subsector: Value 2003-2008

Table 91 Off-trade Sales of Functional Drinks by Subsector: % Volume Growth 2003-2008

Table 92 Off-trade Sales of Functional Drinks by Subsector: % Value Growth 2003-2008

Table 93 Company Shares of Functional Drinks by Off-trade Volume 2004-2008

Table 94 Brand Shares of Functional Drinks by Off-trade Volume 2005-2008

Table 95 Company Shares of Functional Drinks by Off-trade Value 2004-2008

Table 96 Brand Shares of Functional Drinks by Off-trade Value 2005-2008

Table 97 Forecast Off-trade Sales of Functional Drinks by Subsector: Volume 2008-2013

Table 98 Forecast Off-trade Sales of Functional Drinks by Subsector: Value 2008-2013

Table 99 Forecast Off-trade Sales of Functional Drinks by Subsector: % Volume Growth 2008-2013

Table 100 Forecast Off-trade Sales of Functional Drinks by Subsector: % Value Growth 2008-2013

CONCENTRATES IN CHILE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Concentrates Conversions

Table 101 Concentrates Conversion Factors for Ready-to-Drink (RTD) Format

Table 102 Off-trade Sales of Concentrates (as sold) by Subsector: Volume 2003-2008

Table 103 Off-trade Sales of Concentrates (as sold) by Subsector: % Volume Growth 2003-2008

Table 104 Off-trade Sales of Concentrates by Subsector: Value 2003-2008

Table 105 Off-trade Sales of Concentrates by Subsector: % Value Growth 2003-2008

Table 106 Company Shares of Concentrates by Off-trade Value 2004-2008

Table 107 Brand Shares of Concentrates by Off-trade Value 2005-2008

Table 108 Forecast Off-trade Sales of Concentrates (as sold) by Subsector: Volume 2008-2013

Table 109 Forecast Off-trade Sales of Concentrates (as sold) by Subsector: % Volume Growth 2008-2013

Table 110 Forecast Off-trade Sales of Concentrates by Subsector: Value 2008-2013

Table 111 Forecast Off-trade Sales of Concentrates by Subsector: % Value Growth 2008-2013

RTD TEA IN CHILE

HEADLINES

TRENDS

COMPETITIVE LANDSCAPE

PROSPECTS

SECTOR DATA

Table 112 Off-trade Sales of RTD Tea by Subsector: Volume 2007-2008

Table 113 Off-trade Sales of RTD Tea by Subsector: Value 2007-2008

Table 114 Off-trade Sales of RTD Tea by Subsector: % Volume Growth 2007-2008

Table 115 Off-trade Sales of RTD Tea by Subsector: % Value Growth 2007-2008

Table 116 Leading Flavours for RTD Tea: % Volume Breakdown 2007-2008

Table 117 Company Shares of RTD Tea by Off-trade Volume 2004-2008

Table 118 Brand Shares of RTD Tea by Off-trade Volume 2005-2008

Table 119 Company Shares of RTD Tea by Off-trade Value 2004-2008

Table 120 Brand Shares of RTD Tea by Off-trade Value 2005-2008

Table 121 Forecast Off-trade Sales of RTD Tea by Subsector: Volume 2008-2013

Table 122 Forecast Off-trade Sales of RTD Tea by Subsector: Value 2008-2013

Table 123 Forecast Off-trade Sales of RTD Tea by Subsector: % Volume Growth 2008-2013

Table 124 Forecast Off-trade Sales of RTD Tea by Subsector: % Value Growth 2008-2013