RTD coffee has successfully proven its viability in France, with the niche doubling its sales every two or three years. However, success was not always so certain.
Most players believe that there is still scope to increase penetration within RTD coffee. For instance, volume sales are more than three times higher in Switzerland than in France, despite the fact that the population of the latter is eight times higher.
The main challenge for RTD coffee players will be to become a genuine mainstream drink by gaining more shelf space and overcoming seasonal preferences. Firstly, distribution is still too centred in urban high-income areas, although there is still scope for further growth, especially among millennials.
Starbucks remains by far the leading player within RTD coffee. Although Frappuccino from Starbucks was only launched in 2012, it has already taken over long-term leader, Emmi.
Nestlé gained a foothold in the area with the launch of Nescafé Shakissimo in 2014. With a distribution rate of 67% in 2018, this brand is less available than Starbucks.
Only a few players offer RTD coffee in France. For a long time, Emmi’s products have been available on the snacking shelves of major grocery retailers and convenience stores.
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This industry report originates from Passport, our Soft Drinks market research database.