The energy drinks market in Europe : a market for the future ?

Résumé du document

The on-the-go market has witnessed continued, robust growth over the past five years and this shows no signs of abating in the next five years. The demand for on-the-go products has been set in motion by significant shifts in the underlying structure of socio-cultural and economic patterns. These range from a progressively faster pace of life driven by technological advances to changing employment and household structures. The result is an ever more pervasive just-in-time culture and an increased need for mealtime flexibility. Consequently, this has attracted manufacturers and retailers to the potentially lucrative business of meeting consumers' convenience consumption needs on-the-go.

New innovations continue to hit the market, using more imaginative and sophisticated solutions for convenient out-of-home consumption. Consumers' breadth of choice on-the-go is constantly being expanded as manufacturers continue to specifically target these occasions. At the same time, on-the-go products are becoming available in more diverse locations as convenience channels expand their networks. In the wake of this activity, as manufacturers target underdeveloped occasions to a greater extent, it will become increasingly difficult to compete for share of on-the-go expenditure. These developments now prompt a reassessment of the on-the-go opportunity.

In this study, we will analyze the origin of the energy drinks market (I), in order to give an overview of this market, especially in Europe (II). Finally, we will try to define the future of the energy drinks market (III).

Extraits

[...] OVERVIEW OF THE ENERGY DRINKS MARKET . p The first markets in Asia . p The energy drinks take off in the US and in Asia . p 14 PART III. THE FUTURE OF THE ENERGY DRINKS MARKET . p The keys of the market for the industry . p Focus on the french market . p Focus on the UK market . p Risks of the market . [...]

[...] The fact that energy drinks are substantially more expensive than other types of soft drink produced dramatic value growth in many markets. This was particularly the case in certain countries, such as the UK, where energy drinks are popular in horeca outlets, where they were sold for inflated prices as a mixer. Energy drinks are mainly targeted at, and appeal to, younger people, especially those with hectic lifestyles. In some cases, energy drinks are consumed as a substitute for coffee, as a quick pick-me- up. [...]

[...] In the soft drinks categories, bars, nightclubs and restaurants are important locations for sales through the leisure occasion. For energy drinks such as Red Bull, up to 60% of category volume can be accounted for by the on-trade where these drinks can be enjoyed either plain or as mixers. The use of soft drinks as mixers applies to other categories such as juices and carbonates. In the UK, one reason for the increase in leisure consumption of juices, carbonates and energy drinks is the increase in mixed and premixed alcoholic drinks which have grown since 1997. [...]

[...] Some people consume energy drinks, in order to gain time on their nights. The performance culture and the just-in-time culture are one of the reasons of the energy drinks development. On-the-go drivers and dynamics THE DEVELOPMENT OF THE SECTOR: The demand for coffee, juice and tea bars is being driven by the following key cultural factors: Quality breakfast occasions - Perhaps as a reaction to increasing time pressure during the traditional breakfast occasion, demand for quality, out-of-home breakfast solutions is growing, particularly at weekends. [...]

[...] As a relatively new category, strong growth is visible in all countries, especially in those growing from a small base. Although Italy and Spain have shown particularly strong growth and have a high proportion of sales OTG, this growth is not forecast to continue in the coming years as a result of a limited number of brands in these markets. In other countries, on-the-go sales of sports and energy drinks are expected to increase as manufacturers increasingly target drivers, sports persons, and workplace opportunities. [...]