Soft Drinks in the Czech Republic

Soft Drinks in the Czech Republic

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 the Czech Republic

Trends

GLOBAL MACROECONOMIC ENVIRONMENT

GLOBAL INDUSTRY ENVIRONMENT

DISCLAIMER

SOURCES

Summary 1 Research Sources

Carbonates in the Czech Republic

KEY DATA FINDINGS

2020 IMPACT

COVID-19 lowers demand for most carbonates as consumers become cautious in their spending on non-essential products in 2020

Popularity of cola carbonates among teenagers prevents a sharper decline in sales in 2020

Certain non-cola carbonates are set to post positive growth in 2020 due to favourable positioning for at-home consumption

RECOVERY AND OPPORTUNITIES

Carbonates players will have to innovate in line with the rising health and wellness trend in the forecast period to remain competitive

Private label set to strengthen its presence as consumers’ willingness to trade down is expected to increase in the short-term at least

Novel flavours and sugar-free ranges are set to inject dynamism in the forecast period

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 the Czech Republic

KEY DATA FINDINGS

2020 IMPACT

Despite benefiting from a healthier perception, juice is set to post slower growth rates in 2020 than were seen in 2019

Despite increasing innovation and consumer willingness to experiment, traditional flavours continue to dominate in 2020

Maspex Czech retains its lead of juice in 2020, although Coca-Cola HBC Cesko a Slovensko gains significant value share

RECOVERY AND OPPORTUNITIES

Dwindling purchasing power will have a negative effect on sales of juice in 2021

Manufacturers likely to focus on fortified or functional juice as consumer demand for these types of products rises

Private label will have a strong opportunity for growth in the forecast period, a reversal from trends seen in the review period

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 the Czech Republic

KEY DATA FINDINGS

2020 IMPACT

Consumption of bottled water slightly drops in 2020, as consumers economise their purchases and opt for drinking the country’s high-quality tap water

Demand for functional bottled water on the rise in 2020

Local brands continue to dominate bottled water in 2020

RECOVERY AND OPPORTUNITIES

Functional offerings fortified with minerals set to increasingly attract consumers in the forecast period

Concentration of private label offerings within purified bottled water poses a hurdle to growth, as this category is set to post a lacklustre performance in the forecast period

Improvements in purchasing power will revive sales of flavoured and spring bottled water

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 the Czech Republic

KEY DATA FINDINGS

2020 IMPACT

Sports drinks experiences a slow start in the first half of 2020 as lockdown limits consumption opportunities, but recovery is already underway in the second half of the year

Sports drinks is threatened by natural mineral and functional bottled water in 2020

Lack of advertising and availability in modern grocery retailers poses challenge for sports drinks

RECOVERY AND OPPORTUNITIES

Czechs’ increasing interest in sports is set to support moderate growth throughout the forecast period

In the forecast period, more advertising and innovation is necessary to attract a wider consumer base

Major players likely to introduce healthier offerings with more natural variants in the forecast period

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 the Czech Republic

KEY DATA FINDINGS

2020 IMPACT

COVID-19 halts the previously dynamic growth of energy drinks in 2020 as consumption occasions are limited due to nationally imposed safety regulations

Reduced-sugar energy drink lines sustain some consumer demand in 2020 due to its alignment with the growing health and wellness trend

Red Bull Ceska Republika maintains its lead in 2020, although more cost-effective offerings gain attention in 2020

RECOVERY AND OPPORTUNITIES

Much slower growth rates anticipated for energy drinks in the forecast period as consumers reach their consumption limits

Flavour innovations, and particularly limited edition offerings, will benefit the value sales of energy drinks in the forecast period

Performance of reduced-sugar energy drinks dependent on players’ investment in promotional activities

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 the Czech Republic

KEY DATA FINDINGS

2020 IMPACT

Liquid concentrates emerge as an economical option to Czech consumers who are struggling with lowered disposable incomes in 2020

Liquid concentrates perform better while powder concentrates continue to decline in 2020

Domestic players continue to lead in 2020 with their high quality and healthy concentrates offerings

RECOVERY AND OPPORTUNITIES

The unstable economic situation will support growth of concentrates for the first couple years of the forecast period

Premiumisation trend will continue to thrive in concentrates

Powder concentrates set to lose popularity over the forecast period

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 the Czech Republic

KEY DATA FINDINGS

2020 IMPACT

Restrictions related to COVID-19 dampen consumption opportunities for RTD tea in 2020

Offerings in line with the health and wellness trend fare better in 2020

RTD tea remains competitive, as multinationals and domestic players compete for value share

RECOVERY AND OPPORTUNITIES

Recovery of on-trade sales will be supported by the return of inbound tourism along with improving purchasing power

In the forecast period, alignment with healthier living will become increasingly crucial in RTD tea

Competition is likely to increase in RTD in the forecast period as private label players widen their consumer base

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 the Czech Republic

KEY DATA FINDINGS

2020 IMPACT

Consumer demand for RTD coffee dropped heavily during the initial lockdown period in 2020, but the hot summer months provided an opportunity for recovery

On-trade sales sharply decline in 2020 due to mandated outlet closures, but the impact will be minimal

Al-Namura retains its leading position with strong advertising and promotional efforts, but competitive pressure mounts in 2020

RECOVERY AND OPPORTUNITIES

Innovation will be necessary to boost the recovery of RTD coffee in the forecast period, mainly in terms of healthier new product developments but also packaging

In the forecast period, private label is set to strengthen its presence and increase competitiveness in RTD coffee

On-site outlets that prepare cold coffee will continue to pose a threat to the sales of packaged RTD coffee

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

---