Naturally Healthy Beverages in Malaysia

PROSPECTS

Government health initiatives support demand for NH beverages

In view of the high obesity rate and prevalence of diabetes in Malaysia, the Ministry of Health is investing in educational and marketing initiatives to encourage consumers to adopt healthier diets and lifestyles. In 2018, it organised various roadshows in schools and public places such as shopping malls or hypermarkets to highlight the importance of a healthy diet, while also promoting health awareness through television and radio programmes as well as social media platforms.

Manufacturers focus on flavour sophistication to entice consumers

Following a flat value performance in 2017, in 2018 NH beverage manufacturers launched new products with more sophisticated flavours, aiming to suit the particular tastes of local consumers. For instance, under its Heaven & Earth brand, Coca-Cola Bottlers launched a mandarin orange flavoured black tea for the Chinese New Year, seeking to capitalise on the Chinese custom for consuming mandarin oranges during this period.

COMPETITIVE LANDSCAPE

Spritzer maintains its leading position in NH beverages

Spritzer maintained its leading position in NH beverages in 2018. The company benefits from a wide offer in NH bottled water, which includes both carbonated and still and purified and natural mineral waters, and enjoys a good reputation.

NH hot drinks players record the strongest value growth

NH hot drinks players, including Boh Plantations and Herbalife Products, are benefiting from rising health awareness and improving consumer confidence, with these factors contributing to their strong value sales growth in 2018. Herbalife Products continued to grow its share in NH fruit/herbal tea thanks to its popular slimming teas, which appeal largely to urban women, but also strong marketing efforts to recruit new customers.

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