Companiesandmarkets.com

UK concentrates market led by Britvic Soft Drinks Ltd

Press Release   •   Jun 28, 2013 13:48 BST

In 2012, the UK concentrates market registered an off-trade value rise of 1%, taking sales to £662 million. This rise was largely due to consumers' growing interest in lower-cost soft drinks alternatives for home consumption.

With increasing pressures on personal finances, UK consumers continued to look for new ways in which to save money. One aspect of this is the increased trend of cooking and socialising at home. Products in the concentrates category have benefited from consumers' efforts to lower their expenditure; they have grown in popularity, especially among larger families with children.

The product is most often consumed by children, with consumption at breakfast time rising due to the growing health positioning of such products in terms of added vitamins, for example.

Britvic Soft Drinks Ltd remained the leading concentrates manufacturer in the UK, holding a 38% off-trade value share in 2012. The company benefits from long-standing brand loyalty towards its established Robinsons concentrates brand. The company's share saw a boost in 2012 largely due to the success of its Robinsons Apple & Blackcurrant double concentrate, which, according to trade sources contributed to £11 million to overall sales.

GlaxoSmithKline Plc remained ranked in second place in 2012, when it registered a 14% off-trade value share. With its strong health proposition, the Ribena concentrates range continued to attract health-conscious consumers.

The challenge for operators within concentrates will be to compete on price and innovation through to 2017. The price of fresh fruit/vegetable juice is expected to decline in the long term, leading to consumers choosing such products over concentrates due to their stronger health positioning. In addition, the increased purchase of functional bottled water for its perceived health benefits will also play a role in challenging the demand for concentrates.

To maintain growth, brand operators will need to increase their promotional activity and innovations. The number of promotions run for mainstream concentrates brands in 2012 was less than the cola carbonates and fruit/vegetable juice categories. Stronger competition is likely to be seen in the form of price discounts and the sampling of new products/ranges as operators seek to increase consumer awareness.

For more information on the UK concentrates market, see the latest research: UK Concentrates Market

Follow us on Twitter @CandMResearch


Companiesandmarkets.com issues news updates and report summaries covering all major industries and sectors. The service provides additional client monitoring and timely alerts to breaking industry and sector news leading the day's business headlines. News articles, written by our staff, contain additional analyst insight, providing value added insight for our readers. News updates and real-time alerts on newly-released market reports are also available from our Facebook page, Twitter feed @CandMResearch and RSS links. We also welcome inquiries from business journalists and the news media.