Soft Drinks in Nigeria
Euromonitor International's Soft Drinks in Nigeria 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: 25 | 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
Growth in soft drinks market is strong and steady
The soft drinks market in Nigeria experienced strong and steady retail volume growth and even stronger value sales increase during the review period. This growth was aided by factors including the increase in advertising activity, the introduction of new products and packaging and better economic conditions. The hot and humid weather experienced in Nigeria for most of 2005 also boosted soft drinks sales.
Carbonates is the largest sector in volume terms
In 2005, carbonates led the soft drinks market in volume terms, accounting for about 49% of soft drinks volume sales. Carbonates are popular amongst all Nigerians but especially the young. Many Nigerians consume between 2-8 bottles a day and remain unaware of the health implications of their actions.
Bottled water is the most dynamic sector in terms of total volume growth
During the review period, bottled water was the most dynamic sector in terms of total volume growth, at a rate of 46%. Bottled water benefited from the lack of running tap water in most cities and the fact that such water is not fit for drinking in areas where it is present. In 2005, bottled water was the second largest sector by volume after carbonates and the largest by value because it is more expensive than carbonates.
Competition becomes more intense
The level of competition among players in the Nigerian soft drinks market is increasing. New players such as Classic Beverages Nigeria Ltd and Cway Food & Beverages Co Nig Ltd were able to change market dynamics and secure market share with the successful introduction of their products. These manufacturers sold soft drinks in plastic PET bottles, which made it possible for their drinks to be sold in traffic jams and other 'on the go' market points. They capitalised on the traditional glass packaging format of Coca-Cola and 7-Up to shut them out of the large traffic market. Coca-Cola responded by confronting such brands headlong and introduced its own plastic PET bottles in 2004.
Positive outlook
The outlook of the soft drinks market in Nigeria looks very positive and there is big growth potential. Growth will be fuelled by an increase in disposable income, company advertising and heightened competition among key players. New products launches are expected to boost soft drink sales especially with the expected entry of Virgin soft drinks.
Table of contents
SOFT DRINKS IN NIGERIA : MARKET INSIGHT
1. EXECUTIVE SUMMARY
2. TOTAL SOFT DRINKS SALES
2.1 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
3. OFF-TRADE SOFT DRINKS SALES
3.1 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
3.2 Competitive Environment
Table 17 Company Shares of Off-trade Soft Drinks by Value 2001-2005
Table 18 Brand Shares of Off-trade Soft Drinks by Value 2002-2005
3.3 Leading Company Profile: Coca-Cola Nigeria Ltd
3.4 Leading Company Profile: 7-Up Bottling Co Nigeria
Summary 1 7-Up Bottling Company Operational Indicators
3.5 New Product Launches
Summary 2 Major New Product Launches 2004-2005
3.6 Off-Trade Distribution
Table 19 Off-trade Sales of Soft Drinks by Sector and Distribution Format: % Analysis 2005
3.7 Retailer Activity and Private Label Trends
3.8 Forecast Market Performance
Table 20 Forecast Off-trade Sales of Soft Drinks (as sold) by Sector: Volume 2005-2010
Table 21 Forecast Off-trade Sales of Soft Drinks (as sold) by Sector: % Volume Growth 2005-2010
Table 22 Forecast Off-trade Sales of Soft Drinks by Sector: Value 2005-2010
Table 23 Forecast Off-trade Sales of Soft Drinks by Sector: % Value Growth 2005-2010
4. DEFINITIONS