On a market estimated by Ziarul Financiar at EUR1.8-EUR2.3 billion, the major segments are carbonated drinks and mineral water, while natural juices, energy drinks and iced tea account for only 10% of the market.
“Packaged water is increasingly being perceived by consumers as a healthier alternative to mainstream soft drinks,” reads a report of Canadean.
The JNSD segment (juices, nectars, still drinks) was the category that continued to decline in the past year, although the decline was lower than in the years before. Romanians consume around 170 million liters of non-carbonated drinks per year, almost six times less than “carbonated drinks.” On the segment of still drinks leader Tymbark had a different evolution than the market, seeing its turnover rise 6% to EUR65 million. In fact this is the only segment that saw a decline.
The impact of private labels
Syrups on the other hand recorded volume rises during this period thanks largely to the low prices per liter. Private labels, which are also gaining ground on the market of non-alcoholic drinks, have also helped the iced tea segment return to growth. Iced tea has in the last few years become the front line in the battle of giants Coca-Cola and PepsiCo.
The two major companies, which have in their portfolio Nestea (Coca-Cola) and Lipton Ice Tea (PepsiCo) fight over a market that last year reached around 87 million liters, including iced coffee, according to ZF estimates based on data provided by Canadean.
The iced coffee category rebounded significantly in 2012, helped by the development of private labels, according to the same source.
Although this is still a little visible category on the Romanian market, in 2012 this segment recorded a double-digit growth, with the main growth driver being imported brands and the private labels of the major store networks.
On the other hand, the market of energy drinks and of sports drinks last year reached around 18 million liters, slightly up from 2011, despite not getting the marketing support that other market segments got. The rise recorded by energy drinks last year was largely due to the rise of the “value” segment, i.e. the low-priced segment.
On the whole the soft drinks market recorded a rise in 2012, despite the difficult economic environment. Bottled mineral water and carbonated drinks were the main growth drivers, according to market research company Canadean.
(English version by Daniela Stoican)