Soft Drinks in Saudi Arabia

Soft Drinks in Saudi Arabia

EXECUTIVE SUMMARY

COVID-19 impact on soft drinks

COVID-19 country impact

Company response

Retailing shift

Foodservice vs retail split

What next for soft drinks?

Chart 1 Soft Drinks Off-Trade Volume Sales Growth Scenarios: 2018-2025
Chart 2 Soft Drinks On-Trade Volume Sales Growth Scenarios: 2018-2025
Chart 3 Soft Drinks Impact of Drivers on Off-Trade Volume Sales: 2017-2025
Chart 4 Soft Drinks Impact of Drivers on On-Trade Volume Sales: 2017-2025

MARKET DATA

Table 1 Off-trade vs On-trade Sales of Soft Drinks (RTD) by Channel: Volume 2015-2020
Table 2 Off-trade vs On-trade Sales of Soft Drinks (RTD) by Channel: % Volume Growth 2015-2020
Table 3 Off-trade vs On-trade Sales of Soft Drinks by Channel: Value 2015-2020
Table 4 Off-trade vs On-trade Sales of Soft Drinks by Channel: % Value Growth 2015-2020
Table 5 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Category: Volume 2019
Table 6 Off-trade vs On-trade Sales of Soft Drinks (as sold) by Category: % Volume 2019
Table 7 Off-trade vs On-trade Sales of Soft Drinks by Category: Value 2019
Table 8 Off-trade vs On-trade Sales of Soft Drinks by Category: % Value 2019
Table 9 Off-trade Sales of Soft Drinks (RTD) by Category: Volume 2015-2020
Table 10 Off-trade Sales of Soft Drinks (RTD) by Category: % Volume Growth 2015-2020
Table 11 Off-trade Sales of Soft Drinks by Category: Value 2015-2020
Table 12 Off-trade Sales of Soft Drinks by Category: % Value Growth 2015-2020
Table 13 Sales of Soft Drinks by Total Fountain On-trade: Volume 2015-2020
Table 14 Sales of Soft Drinks by Total Fountain On-trade: % Volume Growth 2015-2020
Table 15 NBO Company Shares of Off-trade Soft Drinks (RTD): % Volume 2016-2020
Table 16 LBN Brand Shares of Off-trade Soft Drinks (RTD): % Volume 2017-2020
Table 17 NBO Company Shares of Off-trade Soft Drinks: % Value 2016-2020
Table 18 LBN Brand Shares of Off-trade Soft Drinks: % Value 2017-2020
Table 19 Distribution of Off-trade Soft Drinks (as sold) by Format: % Volume 2015-2020
Table 20 Distribution of Off-trade Soft Drinks (as sold) by Format and Category: % Volume 2020
Table 21 Forecast Off-trade vs On-trade Sales of Soft Drinks (RTD) by Channel: Volume 2020-2025
Table 22 Forecast Off-trade vs On-trade Sales of Soft Drinks (RTD) by Channel: % Volume Growth 2020-2025
Table 23 Forecast Off-trade vs On-trade Sales of Soft Drinks by Channel: Value 2020-2025
Table 24 Forecast Off-trade vs On-trade Sales of Soft Drinks by Channel: % Value Growth 2020-2025
Table 25 Forecast Off-trade Sales of Soft Drinks (RTD) by Category: Volume 2020-2025
Table 26 Forecast Off-trade Sales of Soft Drinks (RTD) by Category: % Volume Growth 2020-2025
Table 27 Forecast Off-trade Sales of Soft Drinks by Category: Value 2020-2025
Table 28 Forecast Off-trade Sales of Soft Drinks by Category: % Value Growth 2020-2025
Table 29 Forecast Sales of Soft Drinks by Total Fountain On-trade: Volume 2020-2025
Table 30 Forecast Sales of Soft Drinks by Total Fountain On-trade: % Volume Growth 2020-2025

APPENDIX

Fountain sales in Saudi Arabia

Trends

GLOBAL MACROECONOMIC ENVIRONMENT

GLOBAL INDUSTRY ENVIRONMENT

DISCLAIMER

SOURCES

Summary 1 Research Sources

Carbonates in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Home consumption of carbonates and foodservice closures sees on-trade growth plummet in 2020

Stocks of carbonates remained healthy, despite stockpiling and bulk-buy trends during lockdown

Al Jomaih Bottling Plant keeps its fizz, thanks to domination in cola and low-calorie cola carbonates

RECOVERY AND OPPORTUNITIES

Carbonates look forward to a more sparkling future, as e-commerce develops and consumer trends shift

Austerity will lead to more bulk-buy purchases, but consumers will remain loyal to their favourite brands

Challenges loom for carbonates as the health and wellness trend develops and sugar taxes bite

CATEGORY DATA

Table 31 Off-trade vs On-trade Sales of Carbonates: Volume 2015-2020
Table 32 Off-trade vs On-trade Sales of Carbonates: Value 2015-2020
Table 33 Off-trade vs On-trade Sales of Carbonates: % Volume Growth 2015-2020
Table 34 Off-trade vs On-trade Sales of Carbonates: % Value Growth 2015-2020
Table 35 Off-trade Sales of Carbonates by Category: Volume 2015-2020
Table 36 Off-trade Sales of Carbonates by Category: Value 2015-2020
Table 37 Off-trade Sales of Carbonates by Category: % Volume Growth 2015-2020
Table 38 Off-trade Sales of Carbonates by Category: % Value Growth 2015-2020
Table 39 Total Sales of Carbonates by Fountain On-trade: Volume 2015-2020
Table 40 Total Sales of Carbonates by Fountain On-trade: % Volume Growth 2015-2020
Table 41 Leading Flavours for Non-cola Carbonates: % Volume 2015-2020
Table 42 NBO Company Shares of Off-trade Carbonates: % Volume 2016-2020
Table 43 LBN Brand Shares of Off-trade Carbonates: % Volume 2017-2020
Table 44 NBO Company Shares of Off-trade Carbonates: % Value 2016-2020
Table 45 LBN Brand Shares of Off-trade Carbonates: % Value 2017-2020
Table 46 Forecast Off-trade Sales of Carbonates by Category: Volume 2020-2025
Table 47 Forecast Off-trade Sales of Carbonates by Category: Value 2020-2025
Table 48 Forecast Off-trade Sales of Carbonates by Category: % Volume Growth 2020-2025
Table 49 Forecast Off-trade Sales of Carbonates by Category: % Value Growth 2020-2025
Table 50 Forecast Total Sales of Carbonates by Fountain On-trade: Volume 2020-2025
Table 51 Forecast Total Sales of Carbonates by Fountain On-trade: % Volume Growth 2020-2025

Juice in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Players reduce sugar content in 2020 in response to consumer concerns about immunity and wellbeing

Although on-trade growth sees a steep decline in 2020, not from concentrate 100% juice performs well in off-trade terms thanks to its healthy profile

Combined impact of restrictions and disruptions to supply chains forces players to adopt new approaches

RECOVERY AND OPPORTUNITIES

In the future, juice will be bolstered by healthier options as consumer concerns about immunity remain

Challenges lie ahead as both the national and global outlook changes

Players will vie for share by reducing sugar content and offering price discounts and promotions

CATEGORY DATA

Table 52 Off-trade Sales of Juice by Category: Volume 2015-2020
Table 53 Off-trade Sales of Juice by Category: Value 2015-2020
Table 54 Off-trade Sales of Juice by Category: % Volume Growth 2015-2020
Table 55 Off-trade Sales of Juice by Category: % Value Growth 2015-2020
Table 56 Leading Flavours for Off-trade 100% Juice: % Volume 2015-2020
Table 57 Leading Flavours for Off-trade Juice Drinks (up to 24% Juice): % Volume 2015-2020
Table 58 Leading Flavours for Off-trade Nectars (25-99% Juice): % Volume 2015-2020
Table 59 NBO Company Shares of Off-trade Juice: % Volume 2016-2020
Table 60 LBN Brand Shares of Off-trade Juice: % Volume 2017-2020
Table 61 NBO Company Shares of Off-trade Juice: % Value 2016-2020
Table 62 LBN Brand Shares of Off-trade Juice: % Value 2017-2020
Table 63 Forecast Off-trade Sales of Juice by Category: Volume 2020-2025
Table 64 Forecast Off-trade Sales of Juice by Category: Value 2020-2025
Table 65 Forecast Off-trade Sales of Juice by Category: % Volume Growth 2020-2025
Table 66 Forecast Off-trade Sales of Juice by Category: % Value Growth 2020-2025

Bottled Water in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Stockpiling and bulk-buy consumer trends during lockdown give bottled water a boost in 2020

Changes in government regulations help increase total volume shares in bottled water in 2020

Leading players in bottled water maintain rankings but face multiple challenges in 2020

RECOVERY AND OPPORTUNITIES

Health awareness, climate change and tourist economy to drive growth in bottled water

Outlook for bottled water is bright as consumers see it as a staple and continue to buy in bulk

National Plant For Healthy Water shows the way forward in terms of business investment

CATEGORY DATA

Table 67 Off-trade Sales of Bottled Water by Category: Volume 2015-2020
Table 68 Off-trade Sales of Bottled Water by Category: Value 2015-2020
Table 69 Off-trade Sales of Bottled Water by Category: % Volume Growth 2015-2020
Table 70 Off-trade Sales of Bottled Water by Category: % Value Growth 2015-2020
Table 71 NBO Company Shares of Off-trade Bottled Water: % Volume 2016-2020
Table 72 LBN Brand Shares of Off-trade Bottled Water: % Volume 2017-2020
Table 73 NBO Company Shares of Off-trade Bottled Water: % Value 2016-2020
Table 74 LBN Brand Shares of Off-trade Bottled Water: % Value 2017-2020
Table 75 Forecast Off-trade Sales of Bottled Water by Category: Volume 2020-2025
Table 76 Forecast Off-trade Sales of Bottled Water by Category: Value 2020-2025
Table 77 Forecast Off-trade Sales of Bottled Water by Category: % Volume Growth 2020-2025
Table 78 Forecast Off-trade Sales of Bottled Water by Category: % Value Growth 2020-2025

Sports Drinks in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Sports drinks takes a hit in 2020, as consumers choose more affordable options with healthier profiles

On-trade sales see steep decline as foodservice and sporting venues close during the COVID-19 pandemic

Al Jomaih Bottling Plant continues to dominate sports drinks in 2020, thanks to the ubiquity of its Gatorade brand

RECOVERY AND OPPORTUNITIES

Sports drinks set to power down over the forecast period, as consumers pivot towards healthier, more affordable soft drinks

On-trade sales will continue to decline unless players can convince consumers of the health benefits of sports drinks

Al Jomaih will continue to lead the field, thanks to its strong presence and affordability

CATEGORY DATA

Table 79 Off-trade Sales of Sports Drinks: Volume 2015-2020
Table 80 Off-trade Sales of Sports Drinks: Value 2015-2020
Table 81 Off-trade Sales of Sports Drinks: % Volume Growth 2015-2020
Table 82 Off-trade Sales of Sports Drinks: % Value Growth 2015-2020
Table 83 NBO Company Shares of Off-trade Sports Drinks: % Volume 2016-2020
Table 84 LBN Brand Shares of Off-trade Sports Drinks: % Volume 2017-2020
Table 85 NBO Company Shares of Off-trade Sports Drinks: % Value 2016-2020
Table 86 LBN Brand Shares of Off-trade Sports Drinks: % Value 2017-2020
Table 87 Forecast Off-trade Sales of Sports Drinks: Volume 2020-2025
Table 88 Forecast Off-trade Sales of Sports Drinks: Value 2020-2025
Table 89 Forecast Off-trade Sales of Sports Drinks: % Volume Growth 2020-2025
Table 90 Forecast Off-trade Sales of Sports Drinks: % Value Growth 2020-2025

Energy Drinks in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

High unit prices and unnatural profile turn consumers away in 2020, compounded by government disincentives

Players seek to attract health-conscious consumers with new product development and natural recipes

Code Red continues to power ahead thanks to its strong online presence targeting key consumers

RECOVERY AND OPPORTUNITIES

Players will seek to attract consumers with healthier options, but face an uphill battle against government disincentives

Rising production costs, import fees and taxes will lead to a hike in unit prices over the forecast period

Energy drinks will be impacted by ongoing limits on sporting activities and economic decline

CATEGORY DATA

Table 91 Off-trade Sales of Energy Drinks: Volume 2015-2020
Table 92 Off-trade Sales of Energy Drinks: Value 2015-2020
Table 93 Off-trade Sales of Energy Drinks: % Volume Growth 2015-2020
Table 94 Off-trade Sales of Energy Drinks: % Value Growth 2015-2020
Table 95 NBO Company Shares of Off-trade Energy Drinks: % Volume 2016-2020
Table 96 LBN Brand Shares of Off-trade Energy Drinks: % Volume 2017-2020
Table 97 NBO Company Shares of Off-trade Energy Drinks: % Value 2016-2020
Table 98 LBN Brand Shares of Off-trade Energy Drinks: % Value 2017-2020
Table 99 Forecast Off-trade Sales of Energy Drinks: Volume 2020-2025
Table 100 Forecast Off-trade Sales of Energy Drinks: Value 2020-2025
Table 101 Forecast Off-trade Sales of Energy Drinks: % Volume Growth 2020-2025
Table 102 Forecast Off-trade Sales of Energy Drinks: % Value Growth 2020-2025

Concentrates in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Seasonality and consumer shifts lead to steep decline in concentrates in 2020

Health and wellness trend sees shift towards other juice types with healthier profiles

Aujan Industries Co Ltd continues to maintain strong lead in a static field

RECOVERY AND OPPORTUNITIES

Sales in concentrates will continue to decline as consumer spending falters

Health and wellness trends will develop, leading players to focus on fortified and functional recipes

Shifts in consumer behaviour will lead to larger retail outlets taking share from smaller channels

CATEGORY DATA

Concentrates Conversions

Summary 2 Concentrates Conversion Factors for Ready-to-Drink (RTD) Format
Table 103 Off-trade Sales of Concentrates (RTD) by Category: Volume 2015-2020
Table 104 Off-trade Sales of Concentrates (RTD) by Category: % Volume Growth 2015-2020
Table 105 Off-trade Sales of Concentrates by Category: Value 2015-2020
Table 106 Off-trade Sales of Concentrates by Category: % Value Growth 2015-2020
Table 107 Leading Flavours for Off-trade Liquid Concentrates: % Volume 2015-2020
Table 108 Leading Flavours for Off-trade Powder Concentrates: % Volume 2015-2020
Table 109 NBO Company Shares of Off-trade Concentrates (RTD): % Volume 2016-2020
Table 110 LBN Brand Shares of Off-trade Concentrates (RTD): % Volume 2017-2020
Table 111 NBO Company Shares of Off-trade Concentrates: % Value 2016-2020
Table 112 LBN Brand Shares of Off-trade Concentrates: % Value 2017-2020
Table 113 NBO Company Shares of Off-trade Liquid Concentrates (RTD): % Volume 2016-2020
Table 114 LBN Brand Shares of Off-trade Liquid Concentrates (RTD): % Volume 2017-2020
Table 115 NBO Company Shares of Off-trade Powder Concentrates (RTD): % Volume 2016-2020
Table 116 LBN Brand Shares of Off-trade Powder Concentrates (RTD): % Volume 2017-2020
Table 117 Forecast Off-trade Sales of Concentrates (RTD) by Category: Volume 2020-2025
Table 118 Forecast Off-trade Sales of Concentrates (RTD) by Category: % Volume Growth 2020-2025
Table 119 Forecast Off-trade Sales of Concentrates by Category: Value 2020-2025
Table 120 Forecast Off-trade Sales of Concentrates by Category: % Value Growth 2020-2025

RTD Tea in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Off-trade sales of RTD tea remain buoyant in 2020, but overall sales are hampered by lockdown and foodservice closures

RTD tea remains limited to still options in 2020 and is led by Lipton

Traditional grocery retailers gain share as wary consumers shop locally

RECOVERY AND OPPORTUNITIES

New product development will target younger demographics and online audiences

The future is bright for RTD, with plenty of opportunities for growth

On-trade sales are likely to continue to falter, but off-trade can benefit from increasing online brand promotion

CATEGORY DATA

Table 121 Off-trade Sales of RTD Tea by Category: Volume 2015-2020
Table 122 Off-trade Sales of RTD Tea by Category: Value 2015-2020
Table 123 Off-trade Sales of RTD Tea by Category: % Volume Growth 2015-2020
Table 124 Off-trade Sales of RTD Tea by Category: % Value Growth 2015-2020
Table 125 Leading Flavours for Off-trade RTD Tea: % Volume 2015-2020
Table 126 NBO Company Shares of Off-trade RTD Tea: % Volume 2016-2020
Table 127 LBN Brand Shares of Off-trade RTD Tea: % Volume 2017-2020
Table 128 NBO Company Shares of Off-trade RTD Tea: % Value 2016-2020
Table 129 LBN Brand Shares of Off-trade RTD Tea: % Value 2017-2020
Table 130 Forecast Off-trade Sales of RTD Tea by Category: Volume 2020-2025
Table 131 Forecast Off-trade Sales of RTD Tea by Category: Value 2020-2025
Table 132 Forecast Off-trade Sales of RTD Tea by Category: % Volume Growth 2020-2025
Table 133 Forecast Off-trade Sales of RTD Tea by Category: % Value Growth 2020-2025

RTD Coffee in Saudi Arabia

KEY DATA FINDINGS

2020 IMPACT

Arla’s Starbucks brand strengthens its lead in 2020, thanks to strong online marketing and new product development

RTD coffee is increasingly popular among younger consumers, and new varieties are generating interest

Unit prices of RTD coffee increase, but off-trade growth continues

RECOVERY AND OPPORTUNITIES

Growth will slow in current value terms as players are forced to meet rising production costs and taxes

A gloomy economic outlook poses significant challenges for RTD coffee in the future

New entrants in RTD coffee will generate fierce competition in the coming years

CATEGORY DATA

Table 134 Off-trade Sales of RTD Coffee: Volume 2015-2020
Table 135 Off-trade Sales of RTD Coffee: Value 2015-2020
Table 136 Off-trade Sales of RTD Coffee: % Volume Growth 2015-2020
Table 137 Off-trade Sales of RTD Coffee: % Value Growth 2015-2020
Table 138 NBO Company Shares of Off-trade RTD Coffee: % Volume 2016-2020
Table 139 LBN Brand Shares of Off-trade RTD Coffee: % Volume 2017-2020
Table 140 NBO Company Shares of Off-trade RTD Coffee: % Value 2016-2020
Table 141 LBN Brand Shares of Off-trade RTD Coffee: % Value 2017-2020
Table 142 Forecast Off-trade Sales of RTD Coffee: Volume 2020-2025
Table 143 Forecast Off-trade Sales of RTD Coffee: Value 2020-2025
Table 144 Forecast Off-trade Sales of RTD Coffee: % Volume Growth 2020-2025
Table 145 Forecast Off-trade Sales of RTD Coffee: % Value Growth 2020-2025

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