just-drinks.com Research update
March 2009

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just-drinks.com research update 159

Featured research: Functional soft drinks

This month, just-drinks reviews the global market for functional soft drinks. As consumers seek to achieve optimum performance in their daily life, at work, and while playing sport for pleasure or professionally, drinks manufacturers are in a position to meet consumer demands through innovative new product launches and line extensions.

The next stage for functional soft drink (FSD) brands is more specific targeting by occasion and health concern, opening up opportunities in ever-increasing circles to target new consumers and usages (such as post-exercise, flying, playing golf, improving mental performance for meetings, improving concentration and increasing short-term memory).

This brand-new report provides a review of the current issues, trends and challenges in the FSDs market, considering energy and sports drinks as separate categories in the first part of the report and moving on to analyse opportunities in more specific sub-categories such as child- and senior-specific FSDs.

Analysis of market value and volume sales, with forecasts to 2014, plus consumer and industry trends and developments are provided to identify and quantify future profit opportunities in the market.

So what will be the most influential factors expected to shape the FSDs market to 2014?

  • cannibalisation within the FSD market
  • global economic recession
  • health claims regulations
  • maintaining nutritional value throughout the product's shelf-life
  • rising raw material prices and fuel costs

Here’s a snapshot of data taken from the report:

Extract from table: Sports and energy drinks forecast market value, selected countries in Europe and the US, 2009-2014 (US$m and %)

Country

2009

2010

2011

2012

2013

2014

Growth 2009-2014

CAGR 2009-2014

UK

2,740

2,853

2,967

3,047

3,126

3,205

16.97%

2.83%

Source: just-drinks

Other points of interest:

Market forecasts
Between 2009 and 2014, the compound annual growth rate (CAGR) of global FSD value sales will increase from 5.07% (2001-2008) to 5.84% (2009-2014). By 2014, just-drinks estimates that the global value of FSDs will be US$49.9bn.

Sports drinks’ repositioning
Sports and energy drinks are shrugging off their specialist image and are being increasingly positioned as suitable for everyday use, i.e. for hydration, snack replacement and/or boosting general health. This shift in positioning has been a deliberate move by brand owners to gain wider acceptance in strong markets such as Europe to mirror the success witnessed in the US over recent years.

Focus on digestive and immune health
Products that promote digestive health and augment the strength of the immune system are identified by just-drinks as offering strong value and volume growth potential in the FSDs sector.

Alan Jelly, Yakult’s UK marketing director, told just-drinks: “The arrival of products such as Yakult to the marketplace brought a different health proposition to consumers. Probiotics allowed consumers to take simple, positive steps each day to improving their overall health, and specifically their digestive health.”

Rob Sutton, marketing director at Pomegreat, told just-drinks: “When it comes to an adult market, taste is of absolute importance.”

This report is now available from the research store.
Click here for more information, to download a sample, and to order online

Coming soon: just-drinks' latest report on the premium beer sector

just-drinks' next publication will be our fresh study of the global premium beer market. This report is set to include:

  • Definition of the premium beer category
  • Identification and analysis of the key markets and producers
  • Global volume and value estimates by region
  • Current trends and issues affecting the market
  • Coverage of the on- and off-trade sectors
  • Market forecasts to 2014
  • Comment from leading brewers

If you would like to be contacted with further information as soon as this report is available, please register your interest via email

More research from just-drinks

just-drinks' end of fiscal year offer

We’re now offering substantial discounts on report packages - providing you with a complete archive and long-term supply of market research at an extremely low rate. Given fiscal year end/beginning is upon many of us, we’re offering you the chance to place a single discounted order for two or more reports from our current titles lists.

Simply email me to request a catalogue of our existing titles, select the titles you require and we will come back to you with an extremely attractive quote for you to submit to your purchasing team. Once we’ve taken your order, leave the rest to us, and we will ensure that all of the reports in your order are dispatched to you asap.

Business Insights: Save 15% on market slowdown study

Order the report below before the end of March and receive a 15% discount:

Fighting the Market Slowdown in Alcoholic Drinks: Growth hotspots, innovation and changing consumer preferences

The global market for alcoholic drinks was worth US$979bn in 2007, equivalent to 1,460bn servings. Although sales of alcoholic drinks are typically relatively immune from recessions, although the current economic downturn has coincided with a period of higher inflation and rising prices which have dampened demand for alcoholic drinks.

This new study evaluates which regions, countries and products are expected to grow over the next five years. This report provides an understanding of underlying consumer purchasing triggers in alcoholic drinks as well as an in-depth analysis of regulatory developments and product innovations on a domestic and global scale.

More info | Order now

Datamonitor: 10% off hot drinks report

You can save 10% on the following title at just-drinks until the end of March:

Hot Drinks: Global Industry Guide

This is an essential resource for top-level data and analysis covering the Hot Drinks industry. It includes detailed data on market size and segmentation, textual analysis of the key trends and competitive landscape, and profiles of the leading companies. This incisive report provides expert analysis on a global, regional and country basis.

More info | Order now

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Kathryn Wedgbury

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