Hot Drinks Sector accounted for a volume share of 13% of the global market and 36.2% of the regional (Asia-Pacific) market in 2016. The sector was valued at C¥150,707.6 million (US$22,889.0 million) in 2016 and is forecast to grow at a CAGR of 11.9% during 2016-2021.Growth in the sector is driven by a growing coffee culture in the country, introduction of new flavors and blends in the sector, and an improving Chinese economy. Per capita consumption of Hot Drinks products in China stood at 1.06kg, which is lower when compared to the global and Asia-Pacific levels of 2.17kg and 1.21kg, respectively, in 2016.
Hot Tea was the largest with value sales of C¥125,793.1million (US$19,105 million) in 2016. The market is expected to grow at a CAGR of 11.2% during the forecast period (2016-2021), while Hot Coffee is expected to record the fastest growth at a CAGR of 17.2% during the same periods.
Convenience Stores accounts for the leading share in the distribution of Hot Drinks in China. It accounted for a value share of 43.4% share in 2016, followed by Hypermarkets & Supermarkets with a 24.8% share. On-trade transactions held a 24.2% value share in the same year.
Paper & Board is the most commonly used package material in the Chinese Hot Drinks Sector. In 2016, it accounted for a share of 74.8%, followed by Flexible Packaging with a share of 15.1%. The consumption of Hot Drinks is high among the male population in China. Moreover, consumption is particularly high among those consumers who received Teritiary education. In terms of consumption by age group, Older Consumers accounted for a leading share of 26.5% in 2016.
Nescafé is the leading brand in the Chinese Hot Drinks Sector in value terms. It held a value share of 8.3% in 2016, while the top five brands in the sector accounted for a combined share of30%in the same year.
The report Country Profile:
Hot Drinks Sector in China provides insights on high growth markets to target, trends in the usage of packaging materials, category level distribution channel data and market share of brands.
In particular, this report provides the following analysis -
Market data: Overall market value and volume data with growth analysis for 2011-2021. The overall market value and volume included in the report is split on the basis of On-trade and Off-trade
Category coverage: Value and growth analysis for Hot Coffee, Hot Tea and Other Hot drinks with inputs on individual category share within each market and the change in their market share forecast for 2016-2021
Leading players: Market share of brands and private labels, including private label growth analysis from 2011-2016
Distribution data: Percentage of sales within each market through distribution channels such as On-trade, Hypermarkets & Supermarkets, Convenience Stores, Food & Drinks Specialists, eRetailers and others
Packaging data: consumption breakdown for package materials and pack types in each market, in terms of percentage share of number of units sold. Package material data for Glass, Flexible Packaging, Paper & Board, Rigid Plastics, Rigid Metal and others; pack type data for: Carton, Bag/Sachet, Tub, Bottle, Jar and Stand Up Pouch
Companies mentioned in this report:
Drago Mocambo Caffè, Luigi Lavazza, Melitta Group, Milan Gold Coffee Co., Ltd, illycaffè spa, Ajinomoto Group, DE MASTER BLENDERS 1753 NV, Hainan LISUN Investment Co Ltd., Hors Group, Jacobs Douwe Egberts, Kraft Foods, Mondelez International, Inc, Nestle, Sara Lee Corporation, Shantou Gold Roast FoodInternationalCo.,Ltd., Super Group Ltd, UCC Ueshima Coffee Co Ltd, Tsit Wing International, Akbar Brothers (Pvt) Ltd, Anxi Tea Co Ltd , Associated British Foods Plc, Besunyen Holdings Company Limited, Da Yi Tea Group, Eight Horse Tea Co Ltd , Guangdong Guangji Lang Group Co., Ltd. , Hunan Monkey King Tea Industrial Co., Ltd, Teekanne, Unilever, XIANGPIAOPIAO Food Co.,Ltd, Xiamen Huaxiangyuan Co Ltd , Zhangzhou Tianfu Tea Industry Co.;Ltd, Zhejiang Tea Group Co., Ltd., Black Cattle Food Co., Ltd., ConAgra Foods, Inc., Grupo Nutrexpa, Guilin Sea Mild Biology Technology Development Ltd, Jiangsu Linzhi Shanyang Group Co., Ltd, VV Group.
Of the eight markets analyzed, Hot Tea is the leading, registering a CAGR of 11.1% during 2011-2016
The per capita consumption of Hot Tea is higher in China compared to other markets
Convenience Stores is the leading channel in the distribution of Hot Drinks in China, accounting for nearly half of the overall sales in 2016
Paper & Board is the most commonly used package material in the Chinese Hot Drinks sector
Pre-Mid-Lifers and Mid-Lifers together accounted for more than one-third share of consumption
Reasons to buy
Identify high potential categories and explore further market opportunities based on detailed value and volume analysis
Existing and new players can analyze key distribution channels to identify and evaluate trends and opportunities
Gain an understanding of the total competitive landscape based on detailed brand share analysis to plan effective market positioning
Access the key and most influential consumer trends driving Hot Drinks products consumption, and how they influence consumer behavior in the market which will help determine the best audiences to target
Our team of analysts have placed a significant emphasis on changes expected in the sector that will provide a clear picture of the opportunities that can be tapped over the next five years, resulting in revenue expansion
The packaging analysis report helps manufacturers, in identifying the most commonly used packaging materials in the sector
Analysis on key macro-economic indicators such as GDP per capita, population (overall and breakdown by age), and consumer price index. It also covers a comparative analysis of political, economic, socio-demographic, and technological indicators (PEST) across 50 countries.