The popularity of organic hot drinks and soft drinks gathered momentum in Switzerland in 2020 as COVID-19 led a wider group of consumers to be more discerning over the products they were consuming. Pre-pandemic, Switzerland was already one of the leading countries for organic consumption in Western Europe and the country has one of the largest per capita spending rates on organic products in the world.
The organic label is becoming more significant within energy drinks, with the emergence of small brands, such as Daisho, highlighting a category shift in consumer preferences towards more natural ingredients. This shift allows energy drinks to compete more effectively against other types of soft drinks with energy boosting ingredients, such as functional bottled water and NH RTD tea, which are perceived as being healthy.
In 2020, the Swiss brand Biotta will continue to be the clear leader in organic fruit/vegetable juice, although it is gradually losing share to competing brands, including private label brands. The losses in share tend to be in organic 100% juice, rather than in organic nectars, in which it continues to increase its already dominant share.
Over the forecast period, a combination of factors, including the demand for sustainable, healthier, and natural drinks, are expected to continue driving growth in organic beverages. Demand for the category is set to rise across most socio-demographic groups and across all Swiss regions as the category is seen as no longer just for the affluent.
Organic fruit/vegetable juice sales are expected to remain driven by consumer demand for beverages with specific health and immunity boosting properties. This is will be particularly relevant in the aftermath of COVID-19 when consumers’ health consciousness will persist and lead them to continue their healthy eating and drinking habits.
Within RTD tea, the presence of organic variants is set to remain dominated by private label over the forecast period, with a particularly strong share from Coop Genossenschaft and Migros Genossenschaftsbund. The category will also continue being comprised by fewer branded products than tea (in hot drinks).
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This report originates from Passport, our Organic Beverages research and analysis database.
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