| Monday, April 28, 2008 | 11:08 |
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(Drinks Media Wire). Launched today, the British Soft Drinks Association’s 2008 UK Soft Drinks Report highlights the challenges faced by the soft drinks industry in 2007 and its ability to adapt and innovate in an ever changing climate.
Total soft drinks consumption stayed firm in 2007, despite it being the wettest summer on record. Across all sectors, the market fell back slightly by 0.8% to 14215 million litres (234 litres per person). Retail sales value rose to £12925 million, up 0.7% on 2006, reflecting an increase in raw material prices.
Category trends shifted significantly in 2007. Still and juice drinks and 100% fruit juice were the categories that added zest in growth terms yet orange juice, historically the UK’s core flavour, saw its share decrease to 54% with consumers eager to explore new flavour blends alongside their traditional favourites.
The smoothies sector grew by a massive 44% locking into the growing desire for naturalness and the increasing popularity of drinks with functional benefits. Innovation in the carbonates sector also focused significantly on providing products with added benefits such as energy and vitamin boosts.
Sports drinks providing hydration and replenishment for active lifestyles and energy drinks delivering a caffeine or natural energy boost, hit the mark in 2007. The combined sector bounded ahead with 12% growth to reach 455 million litres.
The bad weather meant bottled water saw a slight decline in sales (down 4% to 2185 million litres). However, sales of bottled water were still higher in 2007 than they were in 2005 and under the health and wellbeing umbrella the market looks set to return to more buoyant times.
Jill Ardagh, Director General of the British Soft Drinks Association said: “While 2007 was undoubtedly a challenging year for the industry, the growing focus on health and wellbeing presented new opportunities. Drinks providing natural refreshment alongside those offering functional benefits hit the mark. Health and wellbeing should continue to be key drivers of growth in the UK soft drinks industry. 61% of soft drinks are now low calorie or no added sugar and this trend is set to continue.”
An upturn in fortunes is forecast in 2008. With average growth of 2% per year in the next five years the market could reach 15480 million litres and 250 litres per person by 2012.
| E-mail: |
| Web: http://www.britishsoftdrinks.com |
| Company: British Soft Drinks Association |
| Address: 20-22 Stukeley Street - WC2B 5LR London |
| Country: UNITED KINGDOM |
| Phone: 44 020 7430 0356 |
| Fax: 44 020 7831 6014 |
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