Soft Drinks in Mexico
Euromonitor International's Soft Drinks in Mexico 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: 180 | Publication date: Aug 2007
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
Scrapping of VAT on juices and bottled water stimulated sales
The reduction in the VAT levied on juices and bottled water in presentations smaller than 10 litres from 15% to 0% provided a competitive advantage for these drinks. The benefit of this tax reduction was passed on to the final consumer in the form of discounted drinks at 15% below their regular price. Retailers that did not pass on the reduction to the consumer obtained a larger margin on their sales. This change in tax legislation also affected the sales of carbonates, as they still carry the high rate of 15% and competition is very intense. There is therefore an increased interest among leading carbonates players like Coca-Cola Export, Pepsi-Cola Mexicana and Ajemex to invest financial resources into further entering and developing the juice and bottled water sectors.
Producers change product mix strategy to boost sales
Volume sales of carbonates continued to be affected by increasing sales of non-carbonates. Large participants also face a stronger position of smaller brands and a rise in low-price versions. They are therefore being forced to either enter or develop more products, primarily in the bottled water and fruit/vegetable juice sectors. Product innovation in single portions is stimulating the sales of large companies, thus signalling a small change in consumption patterns away from traditional family-size or large versions.
Strong competition encourages the development of new products
A high level of activity in the launch of new products, brand extensions, new flavours, and additional presentations for existing products was reported in most areas of soft drinks. These efforts translated into a further development of flavoured bottled water and RTD tea. Consumer segmentation expanded to best meet the different needs and desires of consumers. For example, some companies introduced soft drink versions directed at consumers who are price sensitive or have a limited budget. As a result, consumers are getting used to seeing and trying new products and are becoming more demanding of more frequent innovations.
Problem of obesity will likely cause changes in regulations in the short term
The problem of obesity among the population has reached alarming levels. The problem has been measured and has caused different reactions among different government and civil entities. Although at present there have not been any actions that would impact in a relevant manner the sales of drinks with a high sugar content, there have been several attempts and proposals to reduce the consumption of these beverages. However, these proposals could be approved and applied in the short term. Among the proposals is the intent to increase taxes on the sales of carbonates and to ban the selling of beverages with no nutritional value in schools. Another proposal is to add a warning on the label of some beverages alerting consumers that the product has no nutritional value or that the consumption of the product may contribute to the drinker becoming overweight.
Consolidation among major players is changing the landscape in soft drinks
A strategic alliance between Grupo Modelo and Nestlé México to distribute bottled water and the potential acquisition of Jugos del Valle by Coca-Cola Export and Coca-Cola FEMSA in late 2006 point to strong activities in the consolidation of operations and sales in the industry. The Pepsi Bottling Group Mexico acquired the bottler Bepusa in 2006. In addition, Pepsi-Cola Mexicana signed a distribution agreement to distribute Lipton, a RTD tea, for Unilever México.
Table of contents
SOFT DRINKS IN MEXICO : MARKET INSIGHT
EXECUTIVE SUMMARY
Scrapping of VAT on juices and bottled water stimulated sales
Producers change product mix strategy to boost sales
Strong competition encourages the development of new products
Problem of obesity will likely cause changes in regulations in the short term
Consolidation among major players is changing the landscape in soft drinks
KEY TRENDS AND DEVELOPMENTS
Juices and bottled water VAT reduced from 15% to 0%
Concentrates faces increasing competition from other soft drinks
Intense competition encouraged development of new products
The high rates of obesity and diabetes are reshaping the soft drinks industry
Merger and acquisition activity was evident in 2006
MARKET DATA
Table 1 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: Volume 2001-2006
Table 2 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: % Volume Growth 2001-2006
Table 3 Off-trade vs On-trade Sales of Soft Drinks by Channel: Value 2001-2006
Table 4 Off-trade vs On-trade Sales of Soft Drinks by Channel: % Value Growth 2001-2006
Table 5 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Sector: Volume 2006
Table 6 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Sector: % Volume 2006
Table 7 Off-trade vs On-trade Sales of Soft Drinks by Sector: Value 2006
Table 8 Off-trade vs On-trade Sales of Soft Drinks by Sector: % Value 2006
Table 9 Off-trade Sales of Soft Drinks (as sold) by Sector: Volume 2001-2006
Table 10 Off-trade Sales of Soft Drinks (as sold) by Sector: % Volume Growth 2001-2006
Table 11 Off-trade Sales of Soft Drinks by Sector: Value 2001-2006
Table 12 Off-trade Sales of Soft Drinks by Sector: % Value Growth 2001-2006
Table 13 Company Shares of Soft Drinks (RTD) by Total Volume 2002-2006
Table 14 Brand Shares of Soft Drinks (RTD) by Total Volume 2003-2006
Table 15 Company Shares of On-trade Soft Drinks (RTD) by Volume 2002-2006
Table 16 Brand Shares of On-trade Soft Drinks (RTD) by Volume 2003-2006
Table 17 Company Shares of Off-trade Soft Drinks (as sold) by Volume 2002-2006
Table 18 Brand Shares of Off-trade Soft Drinks (as sold) by Volume 2003-2006
Table 19 Company Shares of Off-trade Soft Drinks (RTD) by Volume 2002-2006
Table 20 Brand Shares of Off-trade Soft Drinks (RTD) by Volume 2003-2006
Table 21 Company Shares of Off-trade Soft Drinks by Value 2002-2006
Table 22 Brand Shares of Off-trade Soft Drinks by Value 2003-2006
Table 23 Penetration of Private Label (as sold) by Sector by Volume 2002-2006
Table 24 Penetration of Private Label by Sector by Value 2002-2006
Table 25 Off-trade Sales of Soft Drinks by Sector and Distribution Format: % Analysis 2006
Table 26 Forecast Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: Volume 2006-2011
Table 27 Forecast Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: % Volume Growth 2006-2011
Table 28 Forecast Off-trade vs On-trade Sales of Soft Drinks by Channel: Value 2006-2011
Table 29 Forecast Off-trade vs On-trade Sales of Soft Drinks by Channel: % Value Growth 2006-2011
Table 30 Forecast Off-trade Sales of Soft Drinks (as sold) by Sector: Volume 2006-2011
Table 31 Forecast Off-trade Sales of Soft Drinks (as sold) by Sector: % Volume Growth 2006-2011
Table 32 Forecast Off-trade Sales of Soft Drinks by Sector: Value 2006-2011
Table 33 Forecast Off-trade Sales of Soft Drinks by Sector: % Value Growth 2006-2011
APPENDIX
Table 34 Off-trade Sales of Concentrates (RTD) by Subsector: Volume 2001-2006
Table 35 Off-trade Sales of Concentrates (RTD) by Subsector: % Volume Growth 2001-2006
Table 36 Company Shares of Liquid Concentrates (as sold) by Off-trade Volume 2002-2006
Table 37 Brand Shares of Liquid Concentrates (as sold) by Off-trade Volume 2003-2006
Table 38 Company Shares of Powder Concentrates (as sold) by Off-trade Volume 2002-2006
Table 39 Brand Shares of Powder Concentrates (as sold) by Off-trade Volume 2003-2006
Table 40 Company Shares of Concentrates (RTD) by Off-trade Volume 2002-2006
Table 41 Brand Shares of Concentrates (RTD) by Off-trade Volume 2003-2006
Table 42 Forecast Off-trade Sales of Concentrates (RTD) by Subsector: Volume 2006-2011
Table 43 Forecast Off-trade Sales of Concentrates (RTD) by Subsector: % Volume Growth 2006-2011
Concentrates Conversions
Table 44 Concentrates Conversion Factors for the Ready-to-Drink (RTD) Format
Institutional Bottled Water Sales
Table 45 Sales of Bottled Water to Institutional Channel 2001-2006
Published Data Comparisons
DEFINITIONS
LOCAL COMPANY PROFILES - MEXICO
AJEMEX SA DE CV - SOFT DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 1 Ajemex SA de CV: Key Facts
Summary 2 Ajemex SA de CV: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 3 Ajemex SA de CV: Competitive Position 2006
CADBURY BEBIDAS SA DE CV - SOFT DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 4 Cadbury Bebidas SA de CV: Key Facts
COMPANY BACKGROUND
PRODUCTION
Summary 5 Cadbury Bebidas SA de CV: Production Statistics 2006
COMPETITIVE POSITIONING
Summary 6 Cadbury Bebidas SA de CV: Competitive Position 2006
COCA-COLA EXPORT CORP (COCA-COLA DE MEXICO) - SOFT DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 7 Coca-Cola Export Corp: Key Facts
Summary 8 Coca-Cola Export Corp: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 9 Coca-Cola Export Corp: Competitive Position 2006
DANONE DE MéXICO SA DE CV - SOFT DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 10 Danone de México SA de CV: Key Facts
Summary 11 Danone de México SA de CV: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 12 Danone de México SA de CV: Production Statistics 2006
COMPETITIVE POSITIONING
Summary 13 Danone de México SA de CV: Competitive Position 2006
FEMSA (FOMENTO ECONOMICO MEXICANO SA DE CV) - SOFT DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 14 FEMSA (Fomento Economico Mexicano SA de CV): Key Facts
Summary 15 FEMSA (Fomento Economico Mexicano SA de CV): Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 16 FEMSA (Fomento Economico Mexicano SA de CV): Production Statistics 2006
COMPETITIVE POSITIONING
Summary 17 FEMSA (Fomento Economico Mexicano SA de CV): Competitive Position 2006
JUGOS DEL VALLE SA DE CV - SOFT DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 18 Jugos del Valle SA de CV: Key Facts
Summary 19 Jugos del Valle SA de CV: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 20 Jugos del Valle SA de CV: Production Statistics 2006
COMPETITIVE POSITIONING
Summary 21 Jugos del Valle SA de CV: Competitive Position 2006
JUMEX SA DE CV, GRUPO - SOFT DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 22 Grupo Jumex SA de CV: Key Facts
COMPANY BACKGROUND
PRODUCTION
Summary 23 Grupo Jumex SA de CV: Production Statistics 2006
COMPETITIVE POSITIONING
Summary 24 Grupo Jumex SA de CV: Competitive Position 2006
KRAFT FOODS DE MéXICO SA DE CV - SOFT DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 25 Kraft Foods de México SA de CV: Key Facts
Summary 26 Kraft Foods de México SA de CV: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 27 Kraft Foods de México SA de CV: Production Statistics 2006
COMPETITIVE POSITIONING
Summary 28 Kraft Foods de México SA de CV: Competitive Position 2006
PEPSI BOTTLING GROUP INC, THE - SOFT DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 29 The Pepsi Bottling Group Mexico S de RL de CV: Key Facts
Summary 30 The Pepsi Bottling Group Mexico S de RL de CV: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
PEPSI-COLA MEXICANA SA DE CV - SOFT DRINKS - MEXICO
STRATEGIC DIRECTION
KEY FACTS
Summary 31 Pepsi-Cola Mexicana SA de CV: Key Facts
Summary 32 Pepsi-Cola Mexicana SA de CV: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 33 Pepsi-Cola Mexicana SA de CV: Competitive Position 2006
CARBONATES IN MEXICO
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 46 On-trade vs Off-trade Sales of Carbonates: Volume 2001-2006
Table 47 On-trade vs Off-trade Sales of Carbonates: Value 2001-2006
Table 48 On-trade vs Off-trade Sales of Carbonates: % Volume Growth 2001-2006
Table 49 On-trade vs Off-trade Sales of Carbonates: % Value Growth 2001-2006
Table 50 Off-trade Sales of Carbonates by Subsector: Volume 2001-2006
Table 51 Off-trade Sales of Carbonates by Subsector: Value 2001-2006
Table 52 Off-trade Sales of Carbonates by Subsector: % Volume Growth 2001-2006
Table 53 Off-trade Sales of Carbonates by Subsector: % Value Growth 2001-2006
Table 54 Leading Flavours for Cola Carbonates: %Volume Breakdown 2003-2006
Table 55 Leading Flavours for Non-cola Carbonates: %Volume Breakdown 2003-2006
Table 56 Low-calorie Carbonates by Subsector
Table 57 Company Shares of Carbonates by Off-trade Volume 2002-2006
Table 58 Brand Shares of Carbonates by Off-trade Volume 2003-2006
Table 59 Company Shares of Carbonates by Off-trade Value 2002-2006
Table 60 Brand Shares of Carbonates by Off-trade Value 2003-2006
Table 61 Forecast Off-trade Sales of Carbonates by Subsector: Volume 2006-2011
Table 62 Forecast Off-trade Sales of Carbonates by Subsector: Value 2006-2011
Table 63 Forecast Off-trade Sales of Carbonates by Subsector: % Volume Growth 2006-2011
Table 64 Forecast Off-trade Sales of Carbonates by Subsector: % Value Growth 2006-2011
FRUIT/VEGETABLE JUICE IN MEXICO
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 65 Off-trade Sales of Fruit/Vegetable Juice by Subsector: Volume 2001-2006
Table 66 Off-trade Sales of Fruit/Vegetable Juice by Subsector: Value 2001-2006
Table 67 Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Volume Growth 2001-2006
Table 68 Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Value Growth 2001-2006
Table 69 Leading Flavours for 100% Juice: %Volume Breakdown 2003-2006
Table 70 Leading Flavours for Nectars (25-99% Juice): %Volume Breakdown 2003-2006
Table 71 Leading Flavours for Juice Drinks (up to 24% Juice): %Volume Breakdown 2003-2006
Table 72 % Share of Smoothies in 100% Juice and Nectars (25-99% Juice): Off-trade Value 2006
Table 73 Company Shares of Fruit/Vegetable Juice by Off-trade Volume 2002-2006
Table 74 Brand Shares of Fruit/Vegetable Juice by Off-trade Volume 2003-2006
Table 75 Company Shares of Fruit/Vegetable Juice by Off-trade Value 2002-2006
Table 76 Brand Shares of Fruit/Vegetable Juice by Off-trade Value 2003-2006
Table 77 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: Volume 2006-2011
Table 78 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: Value 2006-2011
Table 79 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Volume Growth 2006-2011
Table 80 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Value Growth 2006-2011
BOTTLED WATER IN MEXICO
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 81 Off-trade Sales of Bottled Water: Volume 2001-2006
Table 82 Off-trade Sales of Bottled Water: Value 2001-2006
Table 83 Off-trade Sales of Bottled Water: % Volume Growth 2001-2006
Table 84 Off-trade Sales of Bottled Water: % Value Growth 2001-2006
Table 85 Leading Flavours for Flavoured Bottled Water: %Volume Breakdown 2003-2006
Table 86 Leading Flavours for Functional Bottled Water: %Volume Breakdown 2003-2006
Table 87 Company Shares of Bottled Water by Off-trade Volume 2002-2006
Table 88 Brand Shares of Bottled Water by Off-trade Volume 2003-2006
Table 89 Company Shares of Bottled Water by Off-trade Value 2002-2006
Table 90 Brand Shares of Bottled Water by Off-trade Value 2003-2006
Table 91 Forecast Off-trade Sales of Bottled Water: Volume 2006-2011
Table 92 Forecast Off-trade Sales of Bottled Water: Value 2006-2011
Table 93 Forecast Off-trade Sales of Bottled Water: % Volume Growth 2006-2011
Table 94 Forecast Off-trade Sales of Bottled Water: % Value Growth 2006-2011
FUNCTIONAL DRINKS IN MEXICO
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 95 Off-trade Sales of Functional Drinks by Subsector: Volume 2001-2006
Table 96 Off-trade Sales of Functional Drinks by Subsector: Value 2001-2006
Table 97 Off-trade Sales of Functional Drinks by Subsector: % Volume Growth 2001-2006
Table 98 Off-trade Sales of Functional Drinks by Subsector: % Value Growth 2001-2006
Table 99 Leading Flavours for Functional Drinks: %Volume Breakdown 2003-2006
Table 100 Still vs Carbonated Functional Drinks % Off-Trade Volume 2005-2006
Table 101 Company Shares of Functional Drinks by Off-trade Volume 2002-2006
Table 102 Brand Shares of Functional Drinks by Off-trade Volume 2003-2006
Table 103 Company Shares of Functional Drinks by Off-trade Value 2002-2006
Table 104 Brand Shares of Functional Drinks by Off-trade Value 2003-2006
Table 105 Forecast Off-trade Sales of Functional Drinks by Subsector: Volume 2006-2011
Table 106 Forecast Off-trade Sales of Functional Drinks by Subsector: Value 2006-2011
Table 107 Forecast Off-trade Sales of Functional Drinks by Subsector: % Volume Growth 2006-2011
Table 108 Forecast Off-trade Sales of Functional Drinks by Subsector: % Value Growth 2006-2011
CONCENTRATES IN MEXICO
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 109 Off-trade Sales of Concentrates (as sold) by Subsector: Volume 2001-2006
Table 110 Off-trade Sales of Concentrates (as sold) by Subsector: % Volume Growth 2001-2006
Table 111 Off-trade Sales of Concentrates by Subsector: Value 2001-2006
Table 112 Off-trade Sales of Concentrates by Subsector: % Value Growth 2001-2006
Table 113 Leading Flavours for Liquid Concentrates: %Volume Breakdown 2003-2006
Table 114 Leading Flavours for Powder Concentrates: %Volume Breakdown 2003-2006
Table 115 Company Shares of Concentrates by Off-trade Value 2002-2006
Table 116 Brand Shares of Concentrates by Off-trade Value 2003-2006
Table 117 Forecast Off-trade Sales of Concentrates (as sold) by Subsector: Volume 2006-2011
Table 118 Forecast Off-trade Sales of Concentrates (as sold) by Subsector: % Volume Growth 2006-2011
Table 119 Forecast Off-trade Sales of Concentrates by Subsector: Value 2006-2011
Table 120 Forecast Off-trade Sales of Concentrates by Subsector: % Value Growth 2006-2011
RTD TEA IN MEXICO
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 121 Off-trade Sales of RTD Tea by Subsector: Volume 2001-2006
Table 122 Off-trade Sales of RTD Tea by Subsector: Value 2001-2006
Table 123 Off-trade Sales of RTD Tea by Subsector: % Volume Growth 2001-2006
Table 124 Off-trade Sales of RTD Tea by Subsector: % Value Growth 2001-2006
Table 125 Leading Flavours for RTD Tea: %Volume Breakdown 2003-2006
Table 126 Flavours/types of RTD tea % off-trade volume 2005-2006
Table 127 Company Shares of RTD Tea by Off-trade Volume 2002-2006
Table 128 Brand Shares of RTD Tea by Off-trade Volume 2003-2006
Table 129 Company Shares of RTD Tea by Off-trade Value 2002-2006
Table 130 Brand Shares of RTD Tea by Off-trade Value 2003-2006
Table 131 Forecast Off-trade Sales of RTD Tea by Subsector: Volume 2006-2011
Table 132 Forecast Off-trade Sales of RTD Tea by Subsector: Value 2006-2011
Table 133 Forecast Off-trade Sales of RTD Tea by Subsector: % Volume Growth 2006-2011
Table 134 Forecast Off-trade Sales of RTD Tea by Subsector: % Value Growth 2006-2011
RTD COFFEE IN MEXICO
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 135 Off-trade Sales of RTD Coffee: Volume 2001-2006
Table 136 Off-trade Sales of RTD Coffee: Value 2001-2006
Table 137 Off-trade Sales of RTD Coffee: % Volume Growth 2001-2006
Table 138 Off-trade Sales of RTD Coffee: % Value Growth 2001-2006
Table 139 Company Shares of RTD Coffee by Off-trade Volume 2002-2006
Table 140 Brand Shares of RTD Coffee by Off-trade Volume 2003-2006
Table 141 Leading Flavours for RTD Coffee: %Volume Breakdown 2003-2006
Table 142 Company Shares of RTD Coffee by Off-trade Value 2002-2006
Table 143 Brand Shares of RTD Coffee by Off-trade Value 2003-2006
Table 144 Forecast Off-trade Sales of RTD Coffee: Volume 2006-2011
Table 145 Forecast Off-trade Sales of RTD Coffee: Value 2006-2011
Table 146 Forecast Off-trade Sales of RTD Coffee: % Volume Growth 2006-2011
Table 147 Forecast Off-trade Sales of RTD Coffee: % Value Growth 2006-2011