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Learn moreDec 2020
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Due to on-trade closures as part of lockdown measures and the trend towards healthier beverages, total volume sales of soft drinks have taken a moderate hit in 2020. Although most foodservice outlets have stayed open during the year, or only closed for a relatively short period of time (about a month), there have been restrictions that prevent dining in, and hence there has been a huge fall in on-trade soft drinks, especially since consumers have been less likely to buy soft drinks when purchasing takeaway or ordering home delivery.
Malaysian borders were closed to foreigners on 17 March. The Malaysia Movement Control Order (MCO) started on 18 March, and included measures such as limited operating hours for grocery retailers of 08.
Companies across the board in Malaysia, in terms of marketing, have been very supportive of the decision for quarantine in the country. Therefore, many have revised their advertisements to encourage at-home consumption.
While food and beverage is an essential industry and outlets providing such products have been allowed to keep operating through the pandemic, the issue for soft drinks has been the much reduced on-trade consumption in 2020. In terms of soft drinks, carbonates and bottled water are normally part of a fast food meal (eg a KFC Snack Plate).
While foodservice outlets were not closed for long as part of the Movement Control Order – most were shut for less than a month – as foodservice is considered an essential service, many businesses individually decided to remain closed for a longer time in certain locations, with some reopening after as many as three months.
The impact of COVID-19 on on-trade soft drinks in Malaysia is going to be felt until at least 2023 and possibly beyond due to the possibility of social distancing measures remaining in place long term. Foodservice and sports arenas are not able to operate at their maximum capacity at present, keeping sales of soft drinks down.
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Overview
Discover the latest market trends and uncover sources of future market growth for the Soft Drinks industry in Malaysia with research from Euromonitor's team of in-country analysts.
Find hidden opportunities in the most current research data available, understand competitive threats with our detailed market analysis, and plan your corporate strategy with our expert qualitative analysis and growth projections.
If you're in the Soft Drinks industry in Malaysia, our research will save you time and money while empowering you to make informed, profitable decisions.
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This industry report originates from Passport, our Soft Drinks market research database.
Gain competitive intelligence about market leaders. Track key industry trends, opportunities and threats. Inform your marketing, brand, strategy and market development, sales and supply functions.