Soft Drinks in Egypt
Euromonitor International's Soft Drinks in Egypt 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.
Get immediate access to strategic market analysis when you buy reports online
Tables: 120 | Publication date: Jun 2006
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
Executive summary
Improved macroeconomic indicators restore market confidence
Egypt experienced positive indicators in its overall economic performance during the review period: there was substantial surplus in the balance of payments, exports were up, tourism increased, the exchange rates and the financial sector stabilised. The overall situation is reflected in consumers' disposable income and their purchasing capacity. The Egyptian soft drinks market will continue to capitalise on these reforms and exploit new areas to maximise its potential within this huge market with a population of 72 million.
Carbonates continues to lead soft drinks in Egypt
Carbonates remains the most popular sector in Egyptian soft drinks due to its high penetration in street kiosks and mass merchandisers. The long hot summer season and the nature of Egyptian meals maintain carbonates' role as the best way of dealing with thirst, dryness and heavy digestion. Carbonates accounted for a 65% share of soft drinks total volume sales in 2005, seeing growth by 2% in volume terms and 6% in current value terms. During the review period, the sales tax on carbonates was reduced and this will allow manufacturers to invest more in promotion and to keep their prices low and affordable to the mass population.
Haykala purchases the Nile Co for Food Industries (Enjoy)
After months of speculations, Nile Co for Food Industries (Enjoy), the manufacturer of Enjoy dairy products and fruit/vegetable juice, was sold to a private equity firm Haykala for E£90 million. Haykala, whose major shareholder is the Commercial International Bank (CIB), outbid Americana, of the Americana Group, which was also interested in acquiring Enjoy. Haykala hopes to restructure the financially struggling company and capitalise on its strong brand name in the Egyptian market.
Beverage and yoghurt giant Juhayna Dairy Corp buys its rival Arabian Food Industry Co (Domty)
Juhayna Dairy Corp will increase its share following its purchase of Arabian Food Industry Co (Domty) – the dairy products and fruit/vegetable juice producer. Juhayna opted to buy Domty's factory located in the industrial zone of 6 of October City. Buying the factory gave Juhayna the chance to start production immediately. In 2005, the production line had increased the capacity by 10% and according to Juhayna, further improvements will boost its capacity by 30% over the first year of the forecast period. The increased capacity will not serve the demand locally but also the exports business which is contributing to about 35% of total production.
New tax law relieves the soft drink industry
Efforts initiated by the leading bottlers of soft drinks successfully persuaded the government to decrease the sales tax applied to this market. The percentage of sales tax was particularly high on carbonates reaching 35% that was considered a handicap to volume increase in the light of recession and economic slow down.
However, after several rounds of discussion sales tax on soft drinks was reduced to 18% which is considered a move to save the industry and further future investments.
Marketing activities drive sales of soft drinks
In 2005, PepsiCo Inc is running a consumer promotion jointly with Nile FM, whereby a mystery shopper looks for members of the public drinking its Mountain Dew brand on the street. Winners will be rewarded a monetary prize on the spot. The promotion is heavily advertised on Egypt's most popular radio station.
Pepsi-Cola Egypt / Alkan Bugshan, the NBO for 7-Up, is offering a 40-inch TV home theatre through a draw. Consumers are requested to send in seven labels from bottles of 7-Up or Mirinda for a chance to win the TV. At the end of the review period, 10 winners were announced in the press to ensure promotion credibility.
Juhayna Dairy Corp's Juhayna brand, in conjunction with PepsiCo, is co-sponsoring a Ricky Martin concert to be held at the end of May 2006.
Table of contents
SOFT DRINKS IN EGYPT : MARKET INSIGHT
EXECUTIVE SUMMARY
TOTAL SOFT DRINKS SALES
Market Performance
Table 1 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: Volume 2000-2005
Table 2 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: % Volume Growth 2000-2005
Table 3 Off-trade vs On-trade Sales of Soft Drinks by Channel: Value 2000-2005
Table 4 Off-trade vs On-trade Sales of Soft Drinks by Channel: % Value Growth 2000-2005
Table 5 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Sector: Volume 2005
Table 6 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Sector: % Volume 2005
Table 7 Off-trade vs On-trade Sales of Soft Drinks by Sector: Value 2005
Table 8 Off-trade vs On-trade Sales of Soft Drinks by Sector: % Value 2005
Table 9 Forecast Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: Volume 2005-2010
Table 10 Forecast Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: % Volume Growth 2005-2010
Table 11 Forecast Off-trade vs On-trade Sales of Soft Drinks by Channel: Value 2005-2010
Table 12 Forecast Off-trade vs On-trade Sales of Soft Drinks by Channel: % Value Growth 2005-2010
OFF-TRADE SOFT DRINKS SALES
Market Performance
Table 13 Off-trade Sales of Soft Drinks (as sold) by Sector: Volume 2000-2005
Table 14 Off-trade Sales of Soft Drinks (as sold) by Sector: % Volume Growth 2000-2005
Table 15 Off-trade Sales of Soft Drinks by Sector: Value 2000-2005
Table 16 Off-trade Sales of Soft Drinks by Sector: % Value Growth 2000-2005
Competitive Environment
Table 17 Company Shares of Off-trade Soft Drinks (as sold) by Volume 2001-2005
Table 18 Brand Shares of Off-trade Soft Drinks (as sold) by Volume 2002-2005
Table 19 Company Shares of Off-trade Soft Drinks (RTD) by Volume 2001-2005
Table 20 Brand Shares of Off-trade Soft Drinks (RTD) by Volume 2002-2005
Table 21 Company Shares of Off-trade Soft Drinks by Value 2001-2005
Table 22 Brand Shares of Off-trade Soft Drinks by Value 2002-2005
Off-trade Distribution
Table 23 Off-trade Sales of Soft Drinks by Sector and Distribution Format: % Analysis 2005
Retailer Activity and Private Label Trends
Forecast Market Performance
Table 24 Forecast Off-trade Sales of Soft Drinks (as sold) by Sector: Volume 2005-2010
Table 25 Forecast Off-trade Sales of Soft Drinks (as sold) by Sector: % Volume Growth 2005-2010
Table 26 Forecast Off-trade Sales of Soft Drinks by Sector: Value 2005-2010
Table 27 Forecast Off-trade Sales of Soft Drinks by Sector: % Value Growth 2005-2010
APPENDIX
Concentrates Conversions and Additional Data
Table 28 Concentrates Conversion Factors for Ready-to-Drink (RTD) Format
Table 29 Off-trade Sales of Concentrates (RTD) by Subsector: Volume 2000-2005
Table 30 Off-trade Sales of Concentrates (RTD) by Subsector: % Volume Growth 2000-2005
Table 31 Company Shares of Liquid Concentrates (as sold) by Off-trade Volume 2001-2005
Table 32 Brand Shares of Liquid Concentrates (as sold) by Off-trade Volume 2002-2005
Table 33 Company Shares of Powder Concentrates (as sold) by Off-trade Volume 2001-2005
Table 34 Brand Shares of Powder Concentrates (as sold) by Off-trade Volume 2002-2005
Table 35 Company Shares of Concentrates (RTD) by Off-trade Volume 2001-2005
Table 36 Brand Shares of Concentrates (RTD) by Off-trade Volume 2002-2005
Table 37 Forecast Off-trade Sales of Concentrates (RTD) by Subsector: Volume 2005-2010
Table 38 Forecast Off-trade Sales of Concentrates (RTD) by Subsector: % Volume Growth 2005-2010
Institutional Sales of Bottled Water
DEFINITIONS
LOCAL COMPANY PROFILES - EGYPT
JUHAYNA FOOD INDUSTRIES - SOFT DRINKS - EGYPT
COMPANY BACKGROUND
RECENT NEWS
PRODUCTION CAPACITY
NILE CO FOR FOOD INDUSTRIES (ENJOY) - SOFT DRINKS - EGYPT
COMPANY REVIEW
BRANDS
PEPSICO INC - SOFT DRINKS - EGYPT
COMPANY BACKGROUND
BRANDS
SIWA - SOFT DRINKS - EGYPT
COMPANY BACKGROUND
CARBONATES IN EGYPT
SECTOR PERFORMANCE
2005 headlines
Value growth increasing over volume
Mixers most dynamic sub-subsector
Non-cola carbonates gains popularity
Advertising is key to sales of carbonates
Hot weather is behind volume sales
Rexam acquires 100% of Ecanco
Cola carbonates remains big
Two multinationals continue to dominate carbonates
Forecast performance
Table 39 Off-trade Sales of Carbonates by Subsector: Volume 2000-2005
Table 40 Off-trade Sales of Carbonates by Subsector: Value 2000-2005
Table 41 Off-trade Sales of Carbonates by Subsector: % Volume Growth 2000-2005
Table 42 Off-trade Sales of Carbonates by Subsector: % Value Growth 2000-2005
Table 43 Company Shares of Carbonates by Off-trade Volume 2001-2005
Table 44 Brand Shares of Carbonates by Off-trade Volume 2002-2005
Table 45 Company Shares of Carbonates by Off-trade Value 2001-2005
Table 46 Brand Shares of Carbonates by Off-trade Value 2002-2005
Summary 1 Summary - Carbonates: New Product Launches 2004-2005
Table 47 Forecast Off-trade Sales of Carbonates by Subsector: Volume 2005-2010
Table 48 Forecast Off-trade Sales of Carbonates by Subsector: Value 2005-2010
Table 49 Forecast Off-trade Sales of Carbonates by Subsector: % Volume Growth 2005-2010
Table 50 Forecast Off-trade Sales of Carbonates by Subsector: % Value Growth 2005-2010
LOW-CALORIE CARBONATES
Pepsi promotes low calorie cola carbonates
Better performance is expected than previous years
CARBONATES DISTRIBUTION
Independent food stores dominates
Consumer food service outlets boost on-trade sales
Bird flu impacts on-trade sales of carbonates
Table 51 On-trade vs Off-trade Sales of Carbonates: Volume 2000-2005
Table 52 On-trade vs Off-trade Sales of Carbonates: Value 2000-2005
Table 53 On-trade vs Off-trade Sales of Carbonates: % Volume Growth 2000-2005
Table 54 On-trade vs Off-trade Sales of Carbonates: % Value Growth 2000-2005
FRUIT/VEGETABLE JUICE IN EGYPT
SECTOR PERFORMANCE
2005 headlines
Value sales exceed volume growth sales
New product development accelerates fruit/vegetable juice consumption
Shape replaces Enjoy brand in 2005
Imports from Saudi Arabia & Lebanon capture shelf space
Sekem launches Isis brand of natural organic juice
Local companies are the most popular
Forecast performance
Table 55 Off-trade Sales of Fruit/Vegetable Juice by Subsector: Volume 2000-2005
Table 56 Off-trade Sales of Fruit/Vegetable Juice by Subsector: Value 2000-2005
Table 57 Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Volume Growth 2000-2005
Table 58 Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Value Growth 2000-2005
Table 59 Company Shares of Fruit/Vegetable Juice by Off-trade Volume 2001-2005
Table 60 Brand Shares of Fruit/Vegetable Juice by Off-trade Volume 2002-2005
Table 61 Company Shares of Fruit/Vegetable Juice by Off-trade Value 2001-2005
Table 62 Brand Shares of Fruit/Vegetable Juice by Off-trade Value 2002-2005
Summary 2 Summary - Fruit/Vegetable Juice: New Product Launches 2004-2005
Table 63 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: Volume 2005-2010
Table 64 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: Value 2005-2010
Table 65 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Volume Growth 2005-2010
Table 66 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Value Growth 2005-2010
CHILLED VS NON-CHILLED FRUIT/VEGETABLE JUICE
Supermarket/hypermarket chains boost chilled fruit/vegetable juice sales
Table 67 Chilled vs Non-chilled Fruit/Vegetable Juice by Off-trade Volume 2002-2005
FLAVOURS
Mango remains the leading flavour
Orange leads in 100% juice
Table 68 Leading Flavours for 100% Juice: %Volume Breakdown 2003-2005
Table 69 Leading Flavours for Nectars (25-99% Juice): %Volume Breakdown 2003-2005
Table 70 Leading Flavours for Juice Drinks (up to 24% Juice): %Volume Breakdown 2003-2005
SMOOTHIES
Table 71 % Share of Smoothies in 100% Juice and Nectars (25-99% Juice): Off-trade Value 2005
BOTTLED WATER IN EGYPT
SECTOR PERFORMANCE
2005 headlines
Dynamic movement in both volume and value sales of bottled water
Still bottled water highest contributor and most popular
Water coolers replace cartons and plastic bottles
Pepsi-Cola successfully launches Aquafina
Société des Eaux Minérales Vittor SAE leads the sector
Forecast performance
Table 72 Off-trade Sales of Bottled Water: Volume 2000-2005
Table 73 Off-trade Sales of Bottled Water: Value 2000-2005
Table 74 Off-trade Sales of Bottled Water: % Volume Growth 2000-2005
Table 75 Off-trade Sales of Bottled Water: % Value Growth 2000-2005
Table 76 Company Shares of Bottled Water by Off-trade Volume 2001-2005
Table 77 Brand Shares of Bottled Water by Off-trade Volume 2002-2005
Table 78 Company Shares of Bottled Water by Off-trade Value 2001-2005
Table 79 Brand Shares of Bottled Water by Off-trade Value 2002-2005
Summary 3 Summary - Bottled Water: New Product Launches 2004-2005
Table 80 Forecast Off-trade Sales of Bottled Water: Volume 2005-2010
Table 81 Forecast Off-trade Sales of Bottled Water: Value 2005-2010
Table 82 Forecast Off-trade Sales of Bottled Water: % Volume Growth 2005-2010
Table 83 Forecast Off-trade Sales of Bottled Water: % Value Growth 2005-2010
FUNCTIONAL DRINKS IN EGYPT
SECTOR PERFORMANCE
2005 headlines
Market small for functional drinks
Value growth exceeds volume growth rates
SmithKline Beecham Egypt dominates the sector
Forecast performance
Table 84 Off-trade Sales of Functional Drinks by Subsector: Volume 2000-2005
Table 85 Off-trade Sales of Functional Drinks by Subsector: Value 2000-2005
Table 86 Off-trade Sales of Functional Drinks by Subsector: % Volume Growth 2000-2005
Table 87 Off-trade Sales of Functional Drinks by Subsector: % Value Growth 2000-2005
Table 88 Company Shares of Functional Drinks by Off-trade Volume 2001-2005
Table 89 Brand Shares of Functional Drinks by Off-trade Volume 2002-2005
Table 90 Company Shares of Functional Drinks by Off-trade Value 2001-2005
Table 91 Brand Shares of Functional Drinks by Off-trade Value 2002-2005
Table 92 Forecast Off-trade Sales of Functional Drinks by Subsector: Volume 2005-2010
Table 93 Forecast Off-trade Sales of Functional Drinks by Subsector: Value 2005-2010
Table 94 Forecast Off-trade Sales of Functional Drinks by Subsector: % Volume Growth 2005-2010
Table 95 Forecast Off-trade Sales of Functional Drinks by Subsector: % Value Growth 2005-2010
CONCENTRATES IN EGYPT
SECTOR PERFORMANCE
2005 headlines
Value sales drive growth of concentrates
Powder concentrates leads the sector with a 91% value share
Imported brands clutter the shelves yet locals dominate
Liquid concentrates leads at celebratory events
Local players dominate a fragmented sector
Forecast performance
Table 96 Off-trade Sales of Concentrates (as sold) by Subsector: Volume 2000-2005
Table 97 Off-trade Sales of Concentrates (as sold) by Subsector: % Volume Growth 2000-2005
Table 98 Off-trade Sales of Concentrates by Subsector: Value 2000-2005
Table 99 Off-trade Sales of Concentrates by Subsector: % Value Growth 2000-2005
Table 100 Company Shares of Concentrates by Off-trade Value 2001-2005
Table 101 Brand Shares of Concentrates by Off-trade Value 2002-2005
Table 102 Forecast Off-trade Sales of Concentrates (as sold) by Subsector: Volume 2005-2010
Table 103 Forecast Off-trade Sales of Concentrates (as sold) by Subsector: % Volume Growth 2005-2010
Table 104 Forecast Off-trade Sales of Concentrates by Subsector: Value 2005-2010
Table 105 Forecast Off-trade Sales of Concentrates by Subsector: % Value Growth 2005-2010
RTD TEA IN EGYPT
SECTOR PERFORMANCE
2005 headlines
One brand still dominates
Others are too expensive
Forecast performance
Table 106 Off-trade Sales of RTD Tea by Subsector: Volume 2000-2005
Table 107 Off-trade Sales of RTD Tea by Subsector: Value 2000-2005
Table 108 Off-trade Sales of RTD Tea by Subsector: % Volume Growth 2000-2005
Table 109 Off-trade Sales of RTD Tea by Subsector: % Value Growth 2000-2005
Table 110 Company Shares of RTD Tea by Off-trade Volume 2001-2005
Table 111 Brand Shares of RTD Tea by Off-trade Volume 2002-2005
Table 112 Company Shares of RTD Tea by Off-trade Value 2001-2005
Table 113 Brand Shares of RTD Tea by Off-trade Value 2002-2005
Table 114 Forecast Off-trade Sales of RTD Tea by Subsector: Volume 2005-2010
Table 115 Forecast Off-trade Sales of RTD Tea by Subsector: Value 2005-2010
Table 116 Forecast Off-trade Sales of RTD Tea by Subsector: % Volume Growth 2005-2010
Table 117 Forecast Off-trade Sales of RTD Tea by Subsector: % Value Growth 2005-2010
RTD COFFEE IN EGYPT
SECTOR PERFORMANCE