just On Call - Coca-Cola Icecek sparkles in H1 as CSDs drive volumes

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Coca-Cola Icecek has “re-energised” its sparkling category with strong growth for Coca-Cola brands, the company's CEO has said.


In an analysts' conference call yesterday (22 August), Damian Gammell revealed that CCI's sparkling beverages grew by 18% on the back of brand Coca-Cola. The growth for the bottler, the Coca-Cola Co's sixth largest, comes as CSD volumes slump in other bottler markets.

“We’ve re-energised the sparkling portfolio and the overall sparkling category in Turkey posted a healthy growth close to mid-single digits in the first half of 2013,” Gammell said. "This was driven very much by brand Coca-Cola and the re-launch of Coca-Cola Zero in the first quarter this year.”

Coca-Cola Zero, which CCI first launched in February 2008, grew H1 volumes in Turkey by 25% this year, Gammell said.

CCI's international markets also showed high demand for sparkling beverages, with sales volumes for brand Coca-Cola in Pakistan up by 25%. In Azerbaijan, CCI's second-largest market after Turkey, brand Coca-Cola and Fanta drove an 11% volumes increase, Gammell said.

In contrast, CSD volumes in developed markets have been on the slide for the past few years. In May, PepsiCo CEO, Indra Nooyi, warned that the industry only has three years left to rescue the CSD category in the US before consumers turn their backs on it. In Coca-Cola Enterprises' full year results, released in February, sparkling beverages posted a 3.5% volumes drop.

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