Azerbaijan

Insight into income, wealth and expenditure of consumers and households is vital in helping businesses make strategic decisions with regards to which country (or even which region within a country) to enter, which consumer segment to target, which…

The number of households is set to increase moderately, while the average household size will shrink in Azerbaijan over 2023-2028. Couples with children will remain the dominant household type but the fastest household expenditure growth is forecast…

Overall, it was a positive picture for tobacco in Azerbaijan in 2023, with only marginal volume decline.

Overall, it was a positive picture for smokeless tobacco, e-vapour products and heated tobacco in Azerbaijan in 2023. In terms of e-vaping products, closed system single use registered significant value and volume growth, with Chinese brands…

Overall, cigars, cigarillos and smoking tobacco registered healthy volume growth in 2023 in Azerbaijan. That being said, in terms of cigars, value sales were still low, Cigars appeal to a niche consumer base and are considered expensive by the…

There was some volume growth of cigarettes in Azerbaijan in 2023. While the government has imposed policies to reduced prevalence, including increasing excise taxes, banning advertising and imposing restriction on smoking in public places, smoking…

The report examines the economic landscape of Azerbaijan and provides information on major monetary indicators, foreign trade and government finance. The economy expanded in real terms in 2023, driven by private consumption, investments. However…

Sun care in Azerbaijan registered both healthy constant value and volume growth in 2023. Inflation eased, especially at the end of the year, and this supported volume sales. In addition, supply issues arising from the war in Ukraine were resolved and…

Skin care in Azerbaijan registered moderate constant value and volume growth, as supply disruptions caused by the war in Ukraine were for the most part ironed out. Also, inflation eased, particularly later the year. That being said, consumers were…

With inflation easing in 2023, premium beauty and personal care in Azerbaijan performed well in 2023, registering higher value growth than mass. That being said, mass still accounted for significantly more value sales. Fragrances are the most popular…

Oral care was the strongest performer in terms of value and volume growth among beauty and personal care products in Azerbaijan in 2023. The essentialness of oral care supported growth, with toothpaste in particular performing strongly. Within…

Men’s grooming registered moderate constant value and volume growth in Azerbaijan in 2023. While inflation was still an issue, it eased somewhat, particularly later in the year. In addition, any supply disruptions caused by the war in Ukraine were…

Mass beauty and personal care still accounted for significantly more value sales than premium in Azerbaijan in 2023. However, its current value growth was lower. That being said, there was growth. Mass beauty and personal products are continually…

Hair care in Azerbaijan registered both healthy constant value and volume growth in 2023. Inflation eased, especially at the end of the year, and this supported volume sales. In addition, supply issues arising from the war in Ukraine were resolved…

Fragrances in Azerbaijan registered both healthy constant value and volume growth in 2023. Inflation eased, especially at the end of the year, and this supported volume sales. In addition, supply issues arising from the war in Ukraine were resolved…

Depilatories in Azerbaijan registered modest constant value and volume growth, partly supported by continuing population growth. Inflation eased, particularly at the end of 2023, and this also supported volume growth. Also, any supply problems as a…

Deodorants in Azerbaijan registered modest constant value and volume growth, partly supported by continuing population growth. Inflation eased, particularly at the end of 2023, and this also supported volume growth. In addition, a hot summer also…

Colour cosmetics in Azerbaijan registered healthy constant value and moderate volume growth, as supply disruption caused by the war in Ukraine were for the most part ironed out. Also, inflation eased, particularly later the year. That being said,…

Performance was positive for beauty and personal care in Azerbaijan in 2023. While inflation was still an issue, it eased somewhat, particularly later in the year. As such, beauty and personal care registered both moderate constant value and volume…

Bath and shower registered moderate constant value and volume growth in Azerbaijan in 2023. While inflation was still an issue, it eased somewhat, particularly later in the year. In addition, any supply disruptions caused by the war in Ukraine were…

Baby and child-specific products registered moderate constant value and volume growth in Azerbaijan in 2023. While inflation was still an issue, it eased somewhat, particularly later in the year. In addition, any supply disruptions caused by the war…

Azerbaijan’s population is set to expand between 2021 and 2040, driven by positive rates of natural change, while net migration remains flat. Ageing will continue as the 65+ population grows, impacting consumer trends and spending habits.…

Wipes in Azerbaijan was seeing moderate sales in 2023, with shrinkflation trends noted as players aim to protect their margins against cost hikes. In this way, players are able to avoid steep price increases and, instead, keep prices the same whilst…

Sales in tissue and hygiene in Azerbaijan continued to be influenced by inflationary pressures in 2023, although inflation levels have started to slow compared to the previous year. However, costs still remain high for manufacturers, and consumers…

In a cross-category trend, inflation was creating sales patterns in retail tissue in Azerbaijan in 2023. Despite the inflationary pressures starting to slow down in 2023, there has been a lot of disruption with supply chains (connected to the ongoing…

Retail adult incontinence showed robust value growth in Azerbaijan in 2023, with volume sales also being supported – albeit at slower growth rates. In a cross-category trend, value sales in adult incontinence continue to be supported by price hikes…

Nappies/diapers/pants in Azerbaijan continued to be somewhat affected by inflationary pressures in 2023, despite the growth rates of inflation slowing down. Notably, manufacturers of diapers have seen hikes in the costs of raw materials (Azerbaijan…

Menstrual care was seeing robust growth in 2023 in Azerbaijan, albeit at lower growth rates in value than witnessed in 2022, due to inflationary pressures starting to stabilise. Notably, with the stabilisation of inflation rates, this means unit…

Away-from-home tissue and hygiene in Azerbaijan saw positive indicators in both value and volume terms, with sales supported by consumers return to out-of-home lifestyles, including tourism and hospitality – being areas where away-from-home tissue is…

Toilet care registered both healthy constant value and volume growth in 2023. Toilet liquids/foam continued to account for most value sales and also registered the highest current value growth. Rim liquids also accounted for significant value sales,…

Surface care registered minimal volume growth in 2023. This was partly because with society fully opened up post pandemic and people out and about more, there was less cleaning. Bathroom cleaners registered the highest value growth. However,…

Polishes were the weakest performers in home care in 2023, registering a slight fall in constant value sales, and a large decline in volume sales. Increasingly, many types of polish are being replaced by multi-purpose cleaners, with consumers…

With inflation still being high, especially earlier in the year, laundry only registered muted constant value growth, with volume sales falling, as continuing rising prices led consumers to cut back. Consumers in particular cut back on the…

Home insecticides performed badly in 2023, with both value and volume sales falling. Home insecticides are very dependent on the weather conditions in the country, and is, therefore, very seasonal. With the summer of 2023 not being as hot as the…

While home care registered moderate current value growth in 2023, constant growth was much more moderate, with volume sales actually falling. Continuing economic uncertainty as a result of Russia’s invasion of Ukraine, continuing supply chain…

Dishwashing registered healthy volume growth in 2023, driven by healthy current value and volume growth for hand dishwashing, which continued to be more popular in Azerbaijan than automatic dishwashing. Also, in 2023, with inflation sill continuing…

While bleach registered double-digit current value growth, constant value growth was minimal, as was volume growth. The increasing array of other effective cleaning products dampened volume sales of bleach. In addition, consumers are increasingly…

Air care registered a marginal fall in constant value sales, as well as a fall in volume sales in 2023. With inflation still being high, especially earlier in the year, and continued economic uncertainty due to the war in nearby Ukraine, consumer…

Tea is an important part of daily life in Azerbaijan, where it is offered as a gesture of hospitality and forms a key part of its culture. Retail volume sales remain steady in 2023, despite the high levels of inflation still impacting the country,…

In 2023, soft drinks posted robust volume growth in both retail and the on-trade. Per capita consumption is rising due to population growth, the development of the modern trade and improvements in distribution. Carbonates continues to be the largest…

RTD tea in Azerbaijan posted another year of strong growth, both in retail volume and current value terms in 2023. As a beverage, tea enjoys widespread popularity in Azerbaijan, however per capita consumption of RTD Tea lags behind that of other…

RTD coffee is developing at a significant pace in Azerbaijan, but remains a very small category in 2023. Growth momentum can be attributed to the fast developing coffee-drinking culture in Azerbaijan and the relatively low per capita consumption of…

In 2023, other hot drinks is expected to post a flat performance in retail volume terms. With inflation falling, there has been a slight decrease in unit price growth compared to 2022. Overall, there were no other significant changes in the category…

In 2023, the juice category continues to witness very low growth in retail volume terms, although the slowdown in unit price growth has been a positive trend. By contrast, on-trade juice volume sales are enjoying double-digit growth as the channel…

Hot drinks sales in Azerbaijan are heavily influenced by the tea category, which is the most popular hot drink. Loose black tea is the primary choice of tea among locals and continues to show robust volume growth despite the maturity of this…

In 2023, the growth of energy drinks continues, albeit at a somewhat slower pace. The driving factor behind this steady performance is the growing interest from young consumers, who view these drinks as a vital part of their active lifestyles.…

In Azerbaijan, concentrates are not widely favoured and sales fell into decline in 2023. Elderly individuals are the primary consumers of powdered concentrates, which bring nostalgia as they take many back to earlier times, especially Kisel that is…

Coffee continued to witness positive development in 2023, both in volume and value total terms, with all subcategories showing positive dynamics in volume terms. In tandem with the rising coffee culture in Azerbaijan, consumption was boosted by a…

Carbonates is the most popular soft drink in Azerbaijan, with consumption rising in tandem with population growth and urbanization in the country. Cola carbonates comprises over 60% of retail volume sales and yet continues to enjoy strong growth in…

Bottled water witnessed robust retail volume growth in 2023, driven primarily by the health and wellness trend and the growing culture of water consumption in Azerbaijan. Brand and experiential marketing are used to build a positive image and engage…