Health and Wellness in Saudi Arabia

Health and Wellness in Saudi Arabia

EXECUTIVE SUMMARY

COVID-19 impact on health and wellness

COVID-19 country impact

Company response

Retailing shift

Foodservice vs retail split

What next for health and wellness?

MARKET DATA

Table 1 Sales of Health and Wellness by Type: Value 2015-2020
Table 2 Sales of Health and Wellness by Type: % Value Growth 2015-2020
Table 3 Sales of Health and Wellness by Category: Value 2015-2020
Table 4 Sales of Health and Wellness by Category: % Value Growth 2015-2020
Table 5 Sales of Health and Wellness by Prime Positioning: Value 2015-2020
Table 6 Sales of Health and Wellness by Prime Positioning: % Value Growth 2015-2020
Table 7 NBO Company Shares of Health and Wellness: % Value 2016-2020
Table 8 LBN Brand Shares of Health and Wellness: % Value 2017-2020
Table 9 Distribution of Health and Wellness by Format: % Value 2015-2020
Table 10 Distribution of Health and Wellness by Format and Category: % Value 2020
Table 11 Forecast Sales of Health and Wellness by Type: Value 2020-2025
Table 12 Forecast Sales of Health and Wellness by Type: % Value Growth 2020-2025
Table 13 Forecast Sales of Health and Wellness by Category: Value 2020-2025
Table 14 Forecast Sales of Health and Wellness by Category: % Value Growth 2020-2025
Table 15 Forecast Sales of Health and Wellness by Prime Positioning: Value 2020-2025
Table 16 Forecast Sales of Health and Wellness by Prime Positioning: % Value Growth 2020-2025

GLOBAL MACROECONOMIC ENVIRONMENT

GLOBAL INDUSTRY ENVIRONMENT

DISCLAIMER

SOURCES

Summary 1 Research Sources

Better For You Beverages in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Disruption to foodservice and nationwide lockdown drive retail demand for BFY beverages

Increasing health awareness benefits sales of BFY reduced caffeine beverages

New sugar tax pushes manufacturers to create reduced sugar alternatives

RECOVERY AND OPPORTUNITIES

New product development expected to ramp up as government goes on a health drive

Increased health awareness expected to guide consumer purchasing decisions

Image-conscious young consumers set to drive sales

CATEGORY DATA

Table 17 Sales of BFY Beverages by Category: Value 2015-2020
Table 18 Sales of BFY Beverages by Category: % Value Growth 2015-2020
Table 19 NBO Company Shares of BFY Beverages: % Value 2016-2020
Table 20 LBN Brand Shares of BFY Beverages: % Value 2017-2020
Table 21 Distribution of BFY Beverages by Format: % Value 2015-2020
Table 22 Forecast Sales of BFY Beverages by Category: Value 2020-2025
Table 23 Forecast Sales of BFY Beverages by Category: % Value Growth 2020-2025

Fortified/Functional Beverages in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Demand for immunity-boosting products drives spike in demand for FF fruit vegetable juice

Consumers favour refreshing FF soft drinks over FF hot drinks in 2020

Prices rise due to new taxes and increased operating costs

RECOVERY AND OPPORTUNITIES

Health and wellness trend expected to drive demand for FF fruit/vegetable juice even after COVID-19 is contained

Busy and active lifestyles should see a return to growth for FF sports drinks and FF energy drinks

Manufacturers expected to focus on healthier options

CATEGORY DATA

Table 24 Sales of Fortified/Functional Beverages by Category: Value 2015-2020
Table 25 Sales of Fortified/Functional Beverages by Category: % Value Growth 2015-2020
Table 26 Key Functional Ingredients in Fortified/Functional Juice Drinks (up to 24% juice): % Value 2015-2020
Table 27 Key Functional Ingredients in Fortified/Functional Nectars (25-99% juice): % Value 2015-2020
Table 28 NBO Company Shares of Fortified/Functional Beverages: % Value 2016-2020
Table 29 LBN Brand Shares of Fortified/Functional Beverages: % Value 2017-2020
Table 30 Distribution of Fortified/Functional Beverages by Format: % Value 2015-2020
Table 31 Forecast Sales of Fortified/Functional Beverages by Category: Value 2020-2025
Table 32 Forecast Sales of Fortified/Functional Beverages by Category: % Value Growth 2020-2025

Naturally Healthy Beverages in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Lockdown drives initial panic buying, while health concerns deliver sustained growth

NH hot drinks on the menu as a healthy option

New taxes put upward pressure on prices

RECOVERY AND OPPORTUNITIES

Health benefits of NH beverages set to support sustained growth

Niche categories looking to build on strong gains seen in 2020

COVID-19’s impact expected to last beyond 2020 with it influencing new product development and marketing

CATEGORY DATA

Table 33 Sales of NH Beverages by Category: Value 2015-2020
Table 34 Sales of NH Beverages by Category: % Value Growth 2015-2020
Table 35 NBO Company Shares of NH Beverages: % Value 2016-2020
Table 36 LBN Brand Shares of NH Beverages: % Value 2017-2020
Table 37 Distribution of NH Beverages by Format: % Value 2015-2020
Table 38 Forecast Sales of NH Beverages by Category: Value 2020-2025
Table 39 Forecast Sales of NH Beverages by Category: % Value Growth 2020-2025

Organic Beverages in Saudi Arabia

2020 IMPACT

Better For You Packaged Food in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Lockdown creates increased demand for packaged food

Obesity epidemic gains increased attention with these consumers more at risk from COVID-19

Reduced salt products continue to see little interest due to a lack of investment or awareness

RECOVERY AND OPPORTUNITIES

E-commerce has the potential to gain significance after strong growth in 2020

Resumption of foodservice activity expected to moderate retail growth

Almarai expected to retain its lead thanks to its affordably priced range of reduced fat dairy

CATEGORY DATA

Table 40 Sales of BFY Packaged Food by Category: Value 2015-2020
Table 41 Sales of BFY Packaged Food by Category: % Value Growth 2015-2020
Table 42 NBO Company Shares of BFY Packaged Food: % Value 2016-2020
Table 43 LBN Brand Shares of BFY Packaged Food: % Value 2017-2020
Table 44 Distribution of BFY Packaged Food by Format: % Value 2015-2020
Table 45 Forecast Sales of BFY Packaged Food by Category: Value 2020-2025
Table 46 Forecast Sales of BFY Packaged Food by Category: % Value Growth 2020-2025

Fortified/Functional Packaged Food in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Measures to control COVID-19 boost sales of FF packaged food

FF breakfast cereals performs well as consumers stockpile

FF benefits from healthy and affordable image

RECOVERY AND OPPORTUNITIES

FF packaged food set for bright future

Rising awareness of the importance of a nutritionally balanced diet set to drive growth

Distribution set to expand

CATEGORY DATA

Table 47 Sales of Fortified/Functional Packaged Food by Category: Value 2015-2020
Table 48 Sales of Fortified/Functional Packaged Food by Category: % Value Growth 2015-2020
Table 49 Key Functional Ingredients in Fortified/Functional Breakfast Cereals: % Value 2015-2020
Table 50 Key Functional Ingredients in Fortified/Functional Sugar Confectionery: % Value 2015-2020
Table 51 Key Functional Ingredients in Fortified/Functional Milk: % Value 2015-2020
Table 52 Sales of Fortified/Functional Yoghurt by Standard Fat vs Reduced Fat: % Value 2015-2020
Table 53 NBO Company Shares of Fortified/Functional Packaged Food: % Value 2016-2020
Table 54 LBN Brand Shares of Fortified/Functional Packaged Food: % Value 2017-2020
Table 55 Distribution of Fortified/Functional Packaged Food by Format: % Value 2015-2020
Table 56 Forecast Sales of Fortified/Functional Packaged Food by Category: Value 2020-2025
Table 57 Forecast Sales of Fortified/Functional Packaged Food by Category: % Value Growth 2020-2025

Naturally Healthy Packaged Food in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Lockdown helps drive sales

Healthy image supports sales of several staples of the Saudi diet

Gym closures places greater focus on healthy eating

RECOVERY AND OPPORTUNITIES

Healthy eating efforts should sustain demand for NH packaged food over the forecast period

Economic pressures could put a dampener on sales growth

Local players set to retain the lead over the forecast period

CATEGORY DATA

Table 58 Sales of NH Packaged Food by Category: Value 2015-2020
Table 59 Sales of NH Packaged Food by Category: % Value Growth 2015-2020
Table 60 NBO Company Shares of NH Packaged Food: % Value 2016-2020
Table 61 LBN Brand Shares of NH Packaged Food: % Value 2017-2020
Table 62 Distribution of NH Packaged Food by Format: % Value 2015-2020
Table 63 Forecast Sales of NH Packaged Food by Category: Value 2020-2025
Table 64 Forecast Sales of NH Packaged Food by Category: % Value Growth 2020-2025

Organic Packaged Food in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Healthy image and falling prices helps drive demand for organic packaged food

Signs of distribution reach expanding

International brands dominate

RECOVERY AND OPPORTUNITIES

New brands and products key to the expansion of organic packaged food

Private label well positioned to gain from weakened economy

A strong value positioning will likely be key to success

CATEGORY DATA

Table 65 Sales of Organic Packaged Food by Category: Value 2015-2020
Table 66 Sales of Organic Packaged Food by Category: % Value Growth 2016-2020
Table 67 NBO Company Shares of Organic Packaged Food: % Value 2016-2020
Table 68 LBN Brand Shares of Organic Packaged Food: % Value 2017-2020
Table 69 Distribution of Organic Packaged Food by Format: % Value 2015-2020
Table 70 Forecast Sales of Organic Packaged Food by Category: Value 2020-2025
Table 71 Forecast Sales of Organic Packaged Food by Category: % Value Growth 2020-2025

Free From in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Free from packaged food sees slight improvement due to the lockdown

Free from packaged food offers strong potential

Focus remains on HA powder milk formula

RECOVERY AND OPPORTUNITIES

Increased focus on healthy eating should drive interest in free from packaged food

Private label could benefit from economic pressures

Free from gluten offers potential but high prices an obstacle

CATEGORY DATA

Table 72 Sales of Free From by Category: Value 2015-2020
Table 73 Sales of Free From by Category: % Value Growth 2015-2020
Table 74 NBO Company Shares of Free From: % Value 2016-2020
Table 75 LBN Brand Shares of Free From: % Value 2017-2020
Table 76 Distribution of Free From by Format: % Value 2015-2020
Table 77 Forecast Sales of Free From by Category: Value 2020-2025
Table 78 Forecast Sales of Free From by Category: % Value Growth 2020-2025

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