Soft Drinks in Vietnam
Euromonitor International's Soft Drinks in Vietnam 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: 159 | Publication date: May 2008
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
Soft drinks market sees stronger growth in 2007
In 2007, the soft drinks market continued to fare more strongly in Vietnam, with growth hitting 8% in both total volume and value terms. Products notably driving the stronger growth were fruit/vegetable juice, bottled water and RTD tea. Generally, the higher disposable incomes of the Vietnamese population over the review period helped boost the performance of soft drinks. More specifically, consumers are gravitating towards flavour, nutrition and convenience when they choose soft drinks. Increasingly towards 2007, Vietnamese consumers showed signs of paying more attention to health when choosing their soft drinks products, especially amidst more modern lifestyles and less healthy diets.
Bottled water demonstrates the biggest improvement
Whilst various soft drinks products showed very healthy growth in 2007, bottled water had the honour of seeing the fastest growth, with another year of double-digit volume growth. With the lack of potable tap water in Vietnam, the majority of the Vietnamese population has to rely on boiling tap water, with bottled water perceived as a more expensive product meant for middle and upper income consumers. Nonetheless, the potential for the acceptance of bottled water by the majority of the population is there, and with increasing standards of living, bottled water has enjoyed double-digit volume growth thanks to the expansion of the consumer base towards 2007. While the percentage growth rate has slowed down from its peak in the early review period, the actual increment in volume sales has continued to be highly encouraging, outpacing the growth of any other soft drinks products.
Carbonates giants maintain a battle for supremacy of overall soft drinks
In 2007, the fierce competition between PepsiCo Vietnam and Coca-Cola Beverages Vietnam Co Ltd was still the biggest theme of the competitive environment in soft drinks in Vietnam. PepsiCo Vietnam still held on to its overall lead, thanks to its powerful promotional campaigns for its brands in 2007. While both companies owed their top positions to carbonates being the most popular soft drinks product in Vietnam, they have seen their shares decrease on an overall market level due to the poorer performance of carbonates compared with other soft drinks products, which have a healthier, more favourable image. In comparison, bottled water companies, which trail the two big giants in carbonates, showed improved volume shares towards 2007, due to the strong showing of bottled water.
On-trade enjoys a better performance, with the flourishing of outlets
The on-trade channel experienced stronger volume growth compared with off-trade in 2007, continuing a trend that started in 2005. While the off-trade infrastructure for soft drinks in Vietnam was improved in 2007, which led to stronger growth, a more significant increase was seen in the on-trade channel. This situation is attributable to a more dynamic consumer foodservice industry, with not only new outlets being opened in more diverse locations, but also more chains entering the country, which helped to boost sales of soft drinks through on-trade outlets.
Very lucrative market for soft drinks expected in Vietnam
Further improvement to volume growth is still expected in the soft drinks market over the forecast period, with the total volume CAGR expected to reach 9%. This bright outlook will stem from various favourable factors, ranging from growing disposable incomes of Vietnamese consumers and more soft drinks brands to more companies in neighbouring countries entering Vietnam, as well as massive potential from the low 2007 per capita consumption itself. On that note, the soft drinks market in Vietnam is still very lucrative and promising for all players.
Table of contents
SOFT DRINKS IN VIETNAM : MARKET INSIGHT
EXECUTIVE SUMMARY
Soft drinks market sees stronger growth in 2007
Bottled water demonstrates the biggest improvement
Carbonates giants maintain a battle for supremacy of overall soft drinks
On-trade enjoys a better performance, with the flourishing of outlets
Very lucrative market for soft drinks expected in Vietnam
KEY TRENDS AND DEVELOPMENTS
Product positioning becomes more targeted at specific consumer groups
Fortification with vitamins and minerals becomes more common
Companies set sights on younger consumers
Soft drinks companies further diversify retail channel penetration
Foreign brands from neighbouring countries increase their presence
MARKET DATA
Table 1 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: Volume 2002-2007
Table 2 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: % Volume Growth 2002-2007
Table 3 Off-trade vs On-trade Sales of Soft Drinks by Channel: Value 2002-2007
Table 4 Off-trade vs On-trade Sales of Soft Drinks by Channel: % Value Growth 2002-2007
Table 5 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Sector: Volume 2007
Table 6 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Sector: % Volume 2007
Table 7 Off-trade vs On-trade Sales of Soft Drinks by Sector: Value 2007
Table 8 Off-trade vs On-trade Sales of Soft Drinks by Sector: % Value 2007
Table 9 Off-trade Sales of Soft Drinks (as sold) by Sector: Volume 2002-2007
Table 10 Off-trade Sales of Soft Drinks (as sold) by Sector: % Volume Growth 2002-2007
Table 11 Off-trade Sales of Soft Drinks by Sector: Value 2002-2007
Table 12 Off-trade Sales of Soft Drinks by Sector: % Value Growth 2002-2007
Table 13 Company Shares of Off-trade Soft Drinks (as sold) by Volume 2003-2007
Table 14 Brand Shares of Off-trade Soft Drinks (as sold) by Volume 2004-2007
Table 15 Company Shares of Off-trade Soft Drinks (RTD) by Volume 2003-2007
Table 16 Brand Shares of Off-trade Soft Drinks (RTD) by Volume 2004-2007
Table 17 Company Shares of Off-trade Soft Drinks by Value 2003-2007
Table 18 Brand Shares of Off-trade Soft Drinks by Value 2004-2007
Table 19 Off-trade Sales of Soft Drinks by Sector and Distribution Format: % Analysis 2007
Table 20 Forecast Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: Volume 2007-2012
Table 21 Forecast Off-trade vs On-trade Sales of Soft Drinks (as sold) by Channel: % Volume Growth 2007-2012
Table 22 Forecast Off-trade vs On-trade Sales of Soft Drinks by Channel: Value 2007-2012
Table 23 Forecast Off-trade vs On-trade Sales of Soft Drinks by Channel: % Value Growth 2007-2012
Table 24 Forecast Off-trade Sales of Soft Drinks (as sold) by Sector: Volume 2007-2012
Table 25 Forecast Off-trade Sales of Soft Drinks (as sold) by Sector: % Volume Growth 2007-2012
Table 26 Forecast Off-trade Sales of Soft Drinks by Sector: Value 2007-2012
Table 27 Forecast Off-trade Sales of Soft Drinks by Sector: % Value Growth 2007-2012
APPENDIX
Table 28 Off-trade Sales of Concentrates (RTD) by Subsector: Volume 2002-2007
Table 29 Off-trade Sales of Concentrates (RTD) by Subsector: % Volume Growth 2002-2007
Table 30 Company Shares of Liquid Concentrates (as sold) by Off-trade Volume 2003-2007
Table 31 Brand Shares of Liquid Concentrates (as sold) by Off-trade Volume 2004-2007
Table 32 Company Shares of Powder Concentrates (as sold) by Off-trade Volume 2003-2007
Table 33 Brand Shares of Powder Concentrates (as sold) by Off-trade Volume 2004-2007
Table 34 Company Shares of Concentrates (RTD) by Off-trade Volume 2003-2007
Table 35 Brand Shares of Concentrates (RTD) by Off-trade Volume 2004-2007
Table 36 Forecast Off-trade Sales of Concentrates (RTD) by Subsector: Volume 2007-2012
Table 37 Forecast Off-trade Sales of Concentrates (RTD) by Subsector: % Volume Growth 2007-2012
DEFINITIONS
Summary 1 Research Sources
LOCAL COMPANY PROFILES - VIETNAM
BEN THANH BEER & BEVERAGES CO LTD - SOFT DRINKS - VIETNAM
STRATEGIC DIRECTION
KEY FACTS
Summary 2 Ben Thanh Beer & Beverages Co Ltd: Key Facts
COMPANY BACKGROUND
PRODUCTION
Summary 3 Ben Thanh Beer & Beverages Co Ltd: Production Statistics 2006
COMPETITIVE POSITIONING
Summary 4 Ben Thanh Beer & Beverages Co Ltd: Competitive Position 2007
SAIGON PURIFIED WATER CO (SAPUWA) - SOFT DRINKS - VIETNAM
STRATEGIC DIRECTION
KEY FACTS
Summary 5 Saigon Purified Water Co (Sapuwa): Key Facts
Summary 6 Saigon Purified Water Co (Sapuwa): Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 7 Saigon Purified Water Co (Sapuwa): Production Statistics 2007
COMPETITIVE POSITIONING
Summary 8 Saigon Purified Water Co (Sapuwa): Competitive Position 2007
TRIBECO CO LTD - SOFT DRINKS - VIETNAM
STRATEGIC DIRECTION
KEY FACTS
Summary 9 Tribeco Co Ltd: Key Facts
Summary 10 Tribeco Co Ltd: Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 11 Tribeco Co Ltd: Production Statistics 2007
COMPETITIVE POSITIONING
Summary 12 Tribeco Co Ltd: Competitive Position 2007
VIETNAM DAIRY PRODUCTS JSC (VINAMILK) - SOFT DRINKS - VIETNAM
STRATEGIC DIRECTION
KEY FACTS
Summary 13 Vietnam Diary Products JSC (Vinamilk): Key Facts
Summary 14 Vietnam Diary Products JSC (Vinamilk): Operational Indicators
COMPANY BACKGROUND
PRODUCTION
Summary 15 Vietnam Diary Products JSC (Vinamilk): Production Statistics 2007
COMPETITIVE POSITIONING
Summary 16 Vietnam Diary Products JSC (Vinamilk): Competitive Position 2007
CARBONATES IN VIETNAM
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 38 Low Calorie Carbonates by Subsector
Table 39 Off-trade Sales of Carbonates by Subsector: Volume 2002-2007
Table 40 Off-trade Sales of Carbonates by Subsector: Value 2002-2007
Table 41 Off-trade Sales of Carbonates by Subsector: % Volume Growth 2002-2007
Table 42 Off-trade Sales of Carbonates by Subsector: % Value Growth 2002-2007
Table 43 On-trade vs Off-trade Sales of Carbonates: Volume 2002-2007
Table 44 On-trade vs Off-trade Sales of Carbonates: Value 2002-2007
Table 45 On-trade vs Off-trade Sales of Carbonates: % Volume Growth 2002-2007
Table 46 On-trade vs Off-trade Sales of Carbonates: % Value Growth 2002-2007
Table 47 Company Shares of Carbonates by Off-trade Volume 2003-2007
Table 48 Brand Shares of Carbonates by Off-trade Volume 2004-2007
Table 49 Company Shares of Carbonates by Off-trade Value 2003-2007
Table 50 Brand Shares of Carbonates by Off-trade Value 2004-2007
Table 51 Forecast Off-trade Sales of Carbonates by Subsector: Volume 2007-2012
Table 52 Forecast Off-trade Sales of Carbonates by Subsector: Value 2007-2012
Table 53 Forecast Off-trade Sales of Carbonates by Subsector: % Volume Growth 2007-2012
Table 54 Forecast Off-trade Sales of Carbonates by Subsector: % Value Growth 2007-2012
FRUIT/VEGETABLE JUICE IN VIETNAM
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 55 Off-trade Sales of Fruit/Vegetable Juice by Subsector: Volume 2002-2007
Table 56 Off-trade Sales of Fruit/Vegetable Juice by Subsector: Value 2002-2007
Table 57 Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Volume Growth 2002-2007
Table 58 Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Value Growth 2002-2007
Table 59 Leading Flavours for 100% Juice: % Volume Breakdown 2003-2007
Table 60 Leading Flavours for Nectars (25-99% Juice): % Volume Breakdown 2003-2007
Table 61 Leading Flavours for Juice Drinks (up to 24% Juice): % Volume Breakdown 2003-2007
Table 62 % Share of Smoothies in 100% Juice and Nectars (25-99% Juice): Off-trade Value 2006
Table 63 Company Shares of Fruit/Vegetable Juice by Off-trade Volume 2003-2007
Table 64 Brand Shares of Fruit/Vegetable Juice by Off-trade Volume 2004-2007
Table 65 Company Shares of Fruit/Vegetable Juice by Off-trade Value 2003-2007
Table 66 Brand Shares of Fruit/Vegetable Juice by Off-trade Value 2004-2007
Table 67 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: Volume 2007-2012
Table 68 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: Value 2007-2012
Table 69 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Volume Growth 2007-2012
Table 70 Forecast Off-trade Sales of Fruit/Vegetable Juice by Subsector: % Value Growth 2007-2012
BOTTLED WATER IN VIETNAM
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR APPENDIX
Institutional Bottled Water Sales
Table 71 Sales of Bottled Water to Institutional Channel 2003-2007
SECTOR DATA
Table 72 Off-trade Sales of Bottled Water: Volume 2002-2007
Table 73 Off-trade Sales of Bottled Water: Value 2002-2007
Table 74 Off-trade Sales of Bottled Water: % Volume Growth 2002-2007
Table 75 Off-trade Sales of Bottled Water: % Value Growth 2002-2007
Table 76 Company Shares of Bottled Water by Off-trade Volume 2003-2007
Table 77 Brand Shares of Bottled Water by Off-trade Volume 2004-2007
Table 78 Company Shares of Bottled Water by Off-trade Value 2003-2007
Table 79 Brand Shares of Bottled Water by Off-trade Value 2004-2007
Table 80 Forecast Off-trade Sales of Bottled Water: Volume 2007-2012
Table 81 Forecast Off-trade Sales of Bottled Water: Value 2007-2012
Table 82 Forecast Off-trade Sales of Bottled Water: % Volume Growth 2007-2012
Table 83 Forecast Off-trade Sales of Bottled Water: % Value Growth 2007-2012
FUNCTIONAL DRINKS IN VIETNAM
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 84 Off-trade Sales of Functional Drinks by Subsector: Volume 2002-2007
Table 85 Off-trade Sales of Functional Drinks by Subsector: Value 2002-2007
Table 86 Off-trade Sales of Functional Drinks by Subsector: % Volume Growth 2002-2007
Table 87 Off-trade Sales of Functional Drinks by Subsector: % Value Growth 2002-2007
Table 88 Company Shares of Functional Drinks by Off-trade Volume 2003-2007
Table 89 Brand Shares of Functional Drinks by Off-trade Volume 2004-2007
Table 90 Company Shares of Functional Drinks by Off-trade Value 2003-2007
Table 91 Brand Shares of Functional Drinks by Off-trade Value 2004-2007
Table 92 Forecast Off-trade Sales of Functional Drinks by Subsector: Volume 2007-2012
Table 93 Forecast Off-trade Sales of Functional Drinks by Subsector: Value 2007-2012
Table 94 Forecast Off-trade Sales of Functional Drinks by Subsector: % Volume Growth 2007-2012
Table 95 Forecast Off-trade Sales of Functional Drinks by Subsector: % Value Growth 2007-2012
CONCENTRATES IN VIETNAM
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR APPENDIX
Concentrates Conversions
Table 96 Concentrates Conversion Factors for Ready-to-Drink (RTD) Format
SECTOR DATA
Table 97 Off-trade Sales of Concentrates (as sold) by Subsector: Volume 2002-2007
Table 98 Off-trade Sales of Concentrates (as sold) by Subsector: % Volume Growth 2002-2007
Table 99 Off-trade Sales of Concentrates by Subsector: Value 2002-2007
Table 100 Off-trade Sales of Concentrates by Subsector: % Value Growth 2002-2007
Table 101 Company Shares of Concentrates by Off-trade Value 2003-2007
Table 102 Brand Shares of Concentrates by Off-trade Value 2004-2007
Table 103 Forecast Off-trade Sales of Concentrates (as sold) by Subsector: Volume 2007-2012
Table 104 Forecast Off-trade Sales of Concentrates (as sold) by Subsector: % Volume Growth 2007-2012
Table 105 Forecast Off-trade Sales of Concentrates by Subsector: Value 2007-2012
Table 106 Forecast Off-trade Sales of Concentrates by Subsector: % Value Growth 2007-2012
RTD TEA IN VIETNAM
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 107 Off-trade Sales of RTD Tea by Subsector: Volume 2002-2007
Table 108 Off-trade Sales of RTD Tea by Subsector: Value 2002-2007
Table 109 Off-trade Sales of RTD Tea by Subsector: % Volume Growth 2002-2007
Table 110 Off-trade Sales of RTD Tea by Subsector: % Value Growth 2002-2007
Table 111 Leading Flavours for RTD Tea: % Volume Breakdown 2005-2007
Table 112 Company Shares of RTD Tea by Off-trade Volume 2003-2007
Table 113 Brand Shares of RTD Tea by Off-trade Volume 2003-2007
Table 114 Company Shares of RTD Tea by Off-trade Value 2003-2007
Table 115 Brand Shares of RTD Tea by Off-trade Value 2004-2007
Table 116 Forecast Off-trade Sales of RTD Tea by Subsector: Volume 2007-2012
Table 117 Forecast Off-trade Sales of RTD Tea by Subsector: Value 2007-2012
Table 118 Forecast Off-trade Sales of RTD Tea by Subsector: % Volume Growth 2007-2012
Table 119 Forecast Off-trade Sales of RTD Tea by Subsector: % Value Growth 2007-2012
RTD COFFEE IN VIETNAM
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 120 Off-trade Sales of RTD Coffee: Volume 2002-2007
Table 121 Off-trade Sales of RTD Coffee: Value 2002-2007
Table 122 Off-trade Sales of RTD Coffee: % Volume Growth 2002-2007
Table 123 Off-trade Sales of RTD Coffee: % Value Growth 2002-2007
Table 124 Company Shares of RTD Coffee by Off-trade Volume 2003-2007
Table 125 Brand Shares of RTD Coffee by Off-trade Volume 2004-2007
Table 126 Company Shares of RTD Coffee by Off-trade Value 2003-2007
Table 127 Brand Shares of RTD Coffee by Off-trade Value 2004-2007
Table 128 Forecast Off-trade Sales of RTD Coffee: Volume 2007-2012
Table 129 Forecast Off-trade Sales of RTD Coffee: Value 2007-2012
Table 130 Forecast Off-trade Sales of RTD Coffee: % Volume Growth 2007-2012
Table 131 Forecast Off-trade Sales of RTD Coffee: % Value Growth 2007-2012
ASIAN SPECIALITY DRINKS IN VIETNAM
HEADLINES
TRENDS
COMPETITIVE LANDSCAPE
PROSPECTS
SECTOR DATA
Table 132 Off-trade Sales of Asian Speciality Drinks by Subsector: Volume 2002-2007
Table 133 Off-trade Sales of Asian Speciality Drinks by Subsector: Value 2002-2007
Table 134 Off-trade Sales of Asian Speciality Drinks by Subsector: % Volume Growth 2002-2007
Table 135 Off-trade Sales of Asian Speciality Drinks by Subsector: % Value Growth 2002-2007
Table 136 Company Shares of Asian Speciality Drinks by Off-trade Volume 2003-2007
Table 137 Brand Shares of Asian Speciality Drinks by Off-trade Volume 2004-2007
Table 138 Company Shares of Asian Speciality Drinks by Off-trade Value 2003-2007
Table 139 Brand Shares of Asian Speciality Drinks by Off-trade Value 2004-2007
Table 140 Forecast Off-trade Sales of Asian Speciality Drinks by Subsector: Volume 2007-2012
Table 141 Forecast Off-trade Sales of Asian Speciality Drinks by Subsector: Value 2007-2012
Table 142 Forecast Off-trade Sales of Asian Speciality Drinks by Subsector: % Volume Growth 2007-2012
Table 143 Forecast Off-trade Sales of Asian Speciality Drinks by Subsector: % Value Growth 2007-2012