Published by Canadean, this Africa Beverage Forecast provides consumption trends 1999 to 2013 provisional and 2014 to 2019 forecasts for key beverage categories.
Introduction and Landscape
Why was the report written?
This bi-annual report from Canadean is designed to show past consumption trends for all commercial beverage categories and forecast trends five years into the future. Product analysis is broken down into 30 categories: packaged water, bulk/HOD water, carbonates, juice, nectars, still drinks, squash/syrups, fruit powders, iced/rtd tea drinks, iced/rtd coffee drinks, sports drink, energy drinks, hot tea, hot coffee, beer, sorghum beer, cider, spirits, wine, fortified wine, sake, rice wine, FABs, dairy drinks (white milk, fermented milk, drinking yogurt, flavoured milk, soymilk, evaporated and condensed milk).
What is the current market landscape and what is changing?
This vast continent contains numerous countries with the majority of the population living in rural, subsistence economy settlements. As living standards rise, consumer palettes widen and so does product choice. The rapidly expanding population base provides huge potential for the development of commercial beverages.
What are the key drivers behind recent market changes?
Product pricing remains a key driving force behind consumer demand as disposable income remains low, although growing, across the region. This can be illustrated in the increased investment in advertising by major brands throughout the region. Also illustrated by growing consumer demand for 'safe' drinking water.
What makes this report unique and essential to read?
The report facilitates valuable data comparisons, enabling the user to monitor the development of commercial beverages over time by category and determine share of throat. It is an essential aid for anyone interested in the beverage industry.
Key Features and Benefits
Data for 25 individual beverage categories, covering historical trends (1999-2013 provisional and 2014-2019 forecast provided in excel).
Data measures in million litres and litres per capita
Supporting analysis for the individual beverage categories
Canadean's Africa Beverage Forecasts includes data tables for Nigeria and South Africa plus a regional balancer
Supporting text for Nigeria
Key Market Issues
The 2002 ban on imported finished juice products in Nigeria still means juice remains a highly niche product. However, as a result, there has been increased inward investment, with local and international suppliers backing domestic juice producers.
Restricted or absent power supplies are affecting the beverage world especially. With the seasonal climate in Nigeria causing an increase in the demand for chilled and cold drinks, a consistent source of power will increase consumption.
With only a very small minority of Nigerian's classed as affluent, value for money is one of the primary drivers in the market with consumers choosing affordability over convenience and a mindfulness of waste.
With the political situation remaining volatile, consumers are moving away from outdoor markets due to an increased risk of violence, preferring malls instead. The beverage which will be mostly affected by this is fermented milk.
All main beverage categories enjoyed positive performances in 2013, with the exception of dairy which has seen growth decline to less than 3%. Condensed milk is a factor in this change, with consumers favoring the carton over tin.
Multinational companies' investments in capacity have failed to keep pace with demand, resulting in volumes declining. Instead, domestic companies are delivering exceptional sales growth.
A marketing campaign promoting beer as one of life's affordable pleasures, coupled with an increase in competition and introduction of new product lines has seen beer fuel the growth increase of nearly 1%.
not been possible to generate total market volumes by profiling each
individual country, we have taken a value judgement to arrive at a balancing Others figure.
This is recorded as a separate entity, specific to the Region to which it belongs
Main beverage category groups: Soft (standard), Soft (extended), Beer, Spirits (standard),
Spirits (extended) and Wines.
Individual beverage categories within each main group are as follows:
Soft (standard): Packaged Water, Carbonates, Juice (100% pure juice), Nectars (products
with a 25-99% juice content), Still Drinks (<25% juice content), Squash/Syrups, Fruit Powders,
Iced/Ready To Drink (RTD) Tea, Iced/Ready To Drink (RTD) Coffee, Sports Drinks,
Energy Drinks. Packaged Water excludes all water sold in large containers of >10 litres
Soft (extended): Bulk/HOD Water, White Milk, Flavoured Milk, Soymilk, Drinking Yogurt,
Fermented Milk, Evaporated Milk and Condensed Milk, Hot Coffee, Hot Tea
Beer: Beer, Sorghum Beer and Cider
Spirits (standard): Spirits (excludes Fortified Wine and Flavoured Alcoholic Beverages (FABs))
Spirits (extended): Flavoured Alcoholic Beverages (FABs), Fortified Wine, Rice Wine and Sake
Wines: Wine (Still and Sparkling combined)
Categories covered where applicable:
Iced/Rtd Tea Drinks
Iced/Rtd Coffee Drinks
Africa Beverage Forecasts - Methodology