Zenith Global UK Water Drinks Report 2019

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Zenith Global Report

UK Water Drinks Report A comprehensive overview of the UK plain, flavoured, functional and juicy waters market

Zenith report on March / August 2018 27th edition

2019


Zenith report on UK water drinks March 2019 28th edition

Copyright All copyright in this document is reserved. Liability This document contains information and may contain conclusions and recommendations. Every effort has been made to ensure that the information is accurate and that the opinions expressed are sound. However, Zenith Global Ltd cannot be made liable for any errors or omissions or for any losses or consequential losses resulting from decisions based on the information. Important notice on distribution This report should not be quoted, referred to or transmitted to another party, in whole or in part, with out the prior written consent of Zenith Global Ltd. Should you desire to release a copy of this report to another party for information purposes, we request you and the requesting party to indemnify Zenith Global Ltd from any liability related to the report distribution. Such readers however will not be considered “usersâ€? of this report. Š Zenith Global Ltd 2019


Zenith UK water drinks report 2019

Introduction This is the twenty-eighth Zenith Report on the UK Bottled Water Market. As the UK bottled water market continues to grow and evolve so does our report. This year, we have produced three reports on the sector in order to provide a complete review of this dynamic market.   

The UK Plain Bottled Water Market Report The UK Water Plus Market Report The UK Bottled Water Drinks Market Report

As always, our aim is to make contact with every significant company active in the relevant sector and to produce as complete a picture as possible at a price accessible to any business with a serious commercial interest. We are particularly grateful for the help we receive from the bottled water companies we profile. The 2019 report contains up to date profiles of the industry’s leading bottled water companies, while text, charts and tables analyse recent developments in the UK market. The report represents exceptional coverage of the UK bottled water drinks market and we hope that you find it useful in your business planning. As our research is updated on a regular basis, we always welcome any comments or suggestions about possible improvements.

Robin Bell Senior Consultant Zenith Global

© Zenith Global Ltd 2019


Zenith UK water drinks report 2019

Contents Brief summary ------------------------------------------------------------------------------------------ 7 Research overview ------------------------------------------------------------------------------------ 8 Macro overview ---------------------------------------------------------------------------------------- 9 1.1 Economy ------------------------------------------------------------------------------------------ 9 1.2 Weather ------------------------------------------------------------------------------------------ 10 1.3 Media --------------------------------------------------------------------------------------------- 11

UK water drinks market --------------------------------------------------------------------------- 12 UK plain water - market overview ------------------------------------------------------------- 17 UK plain water - sector performance -------------------------------------------------------- 18 UK plain water - plain packaged water ------------------------------------------------------ 21 UK plain water - companies and brands ----------------------------------------------------- 22 UK plain water - consumer ----------------------------------------------------------------------- 29 UK plain water - value ------------------------------------------------------------------------------ 33 UK plain water vs water plus -------------------------------------------------------------------- 36 UK plain water - forecast to 2023 ------------------------------------------------------------- 38 UK water plus - market overview -------------------------------------------------------------- 40 UK water plus - sector performance --------------------------------------------------------- 40 UK water plus - companies and brands ------------------------------------------------------ 43 UK water plus - consumer ------------------------------------------------------------------------ 48 UK water plus – value ------------------------------------------------------------------------------ 51 UK water plus - forecast to 2022 -------------------------------------------------------------- 54 Appendix 1- Legislation --------------------------------------------------------------------------- 57 Appendix 2 – Definitions and Symbols ------------------------------------------------------ 58

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Zenith UK water drinks report 2019

Definitions ---------------------------------------------------------------------------------------------- 58 Natural Mineral Water ----------------------------------------------------------------------------- 58 Spring Water ------------------------------------------------------------------------------------------- 58 Bottled Drinking Water ---------------------------------------------------------------------------- 58 Flavoured Water -------------------------------------------------------------------------------------- 59 Functional Water ------------------------------------------------------------------------------------- 59 Juicy Water --------------------------------------------------------------------------------------------- 59 Water Plus ---------------------------------------------------------------------------------------------- 59 Distribution channels ------------------------------------------------------------------------------- 59 Retail------------------------------------------------------------------------------------------------------ 59 Supermarkets ------------------------------------------------------------------------------------------------- 59 Independent, others --------------------------------------------------------------------------------------- 60 Door-to-door -------------------------------------------------------------------------------------------------- 60

Away From Home ------------------------------------------------------------------------------------ 60 Offices ----------------------------------------------------------------------------------------------------------- 60 Horeca, pubs and clubs ----------------------------------------------------------------------------------- 60 Others ----------------------------------------------------------------------------------------------------------- 60

Symbols -------------------------------------------------------------------------------------------------- 67

Appendix 3- Target Group Index (TGI) ------------------------------------------------------- 68 Appendix 4- Leading company profiles ----------------------------------------------------- 69 AG Barr Plc ---------------------------------------------------------------------------------------------- 69 Berrington Pure Spring Water Company ---------------------------------------------------- 69 Black Mountain Mineral Water Company --------------------------------------------------- 69 Brecon Mineral Water ------------------------------------------------------------------------------ 69 Britvic Plc------------------------------------------------------------------------------------------------ 69 Clearly Drinks Ltd ------------------------------------------------------------------------------------ 69 Coca-Cola European Partners ------------------------------------------------------------------- 69 Coca-Cola HBC Northern Ireland --------------------------------------------------------------- 69 Cooleraid ------------------------------------------------------------------------------------------------ 69 Cott Beverages Ltd ---------------------------------------------------------------------------------- 69 Danone Waters (UK & Ireland) ------------------------------------------------------------------ 69 Decantae Natural Mineral Water --------------------------------------------------------------- 69 Eden Springs UK Ltd -------------------------------------------------------------------------------- 69 Edgar’s Water------------------------------------------------------------------------------------------ 69 Fonthill Pure English Spring Water ------------------------------------------------------------ 69 Get More Vitamin Drinks -------------------------------------------------------------------------- 69 Harrogate Water Brands Ltd --------------------------------------------------------------------- 69 Highland Spring Group ----------------------------------------------------------------------------- 69 Hildon Ltd ----------------------------------------------------------------------------------------------- 69 Innocent ------------------------------------------------------------------------------------------------- 69 Kingshill Mineral Water Ltd ---------------------------------------------------------------------- 69 Montgomery Natural Spring Water Company --------------------------------------------- 69 Nestlé Waters UK Ltd ------------------------------------------------------------------------------- 69 Nichols Plc ---------------------------------------------------------------------------------------------- 69

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Zenith UK water drinks report 2019

One Water ---------------------------------------------------------------------------------------------- 69 Princes Gate Spring Water ------------------------------------------------------------------------ 69 Princes Soft Drinks ---------------------------------------------------------------------------------- 69 Radnor Hills Mineral Water Company Ltd --------------------------------------------------- 69 Roxane UK Ltd----------------------------------------------------------------------------------------- 69 Shepley Spring Ltd ----------------------------------------------------------------------------------- 69 Swithland Spring Water ---------------------------------------------------------------------------- 69 Talking Rain Beverage Company --------------------------------------------------------------- 69 Trederwen Springs----------------------------------------------------------------------------------- 69 Waterlogic ---------------------------------------------------------------------------------------------- 69 A company PLC ----------------------------------------------------------------------------------------------- 70

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Zenith UK water drinks report 2019

Tables Table 2.1 Table 2.2 Table 2.3 Table 4.1 Table 4.2 Table 6.1 Table 6.2 Table 6.3 Table 6.4 Table 7.1 Table 7.2 Table 7.3 Table 8.1 Table 8.2 Table 26.1 Table 12.1 Table 12.2 Table 13.1 Table 13.2 Table 13.3 Table 14.1 Table Table Table Table

14.2 14.3 15.1 16.1

Š Zenith Global Ltd 2019

UK water drinks market, 2013-2018 ------------------------------------------- 15 Top 25 companies in UK bottled water drinks market, 2017-2018 - 16 Top 25 brands in UK bottled water drinks market, 2017-2018 ------- 17 UK plain bottled water market, 2013-18 ------------------------------------- 22 UK plain bottled water types, 2013-18 --------------------------------------- 22 Top 25 companies in UK bottled water market, 2017-2018 ----------- 27 Next 25 companies in UK bottled water market, 2017-2018 --------- 28 Top 25 brands in UK bottled water market, 2017-2018 ---------------- 31 Next 25 brands in UK bottled water market, 2017-2018 --------------- 32 GB plain bottled water consumer, 2013-2018------------------------------ 34 UK plain bottled water per capita consumption, 2013-2018 --------- 35 International plain bottled water comparison, 2013-2023f ----------- 35 UK plain bottled water value, 2016-2018 ------------------------------------ 38 UK plain bottled water value per litre by pack size, 2017-2018 ----- 39 UK forecast plain bottled water consumption by segment, 20182023f -------------------------------------------------------------------------------------- 43 UK water plus market, 2013-18 -------------------------------------------------- 46 UK water plus types, 2013-18 ---------------------------------------------------- 46 Top 15 companies in UK water plus market, 2017-2018---------------- 49 Top 20 brands in UK water plus market, 2017-2018 --------------------- 51 Top 20 brands in UK water plus market ranking, 2017-2018---------- 52 GB flavoured water, herbal and premium soft drinks consumer, 2016-2018 ------------------------------------------------------------------------------- 53 UK water plus per capita consumption, 2013-2018 ---------------------- 54 International flavoured water comparison, 2013-2023f---------------- 55 UK water plus value, 2016-2018 ------------------------------------------------- 57 UK forecast water plus consumption by segment, 2018-2023f ------ 60


Zenith UK water drinks report 2019

Figures Figure 1.1 Figure 1.2 Figure 0.1 Figure 2.2 Figure 2.3 Figure 4.1 Figure 6.1 Figure 6.2 Figure 6.3 Figure 7.1 Figure 8.1 Figure 18.1 Figure 18.2 Figure 26.1 Figure 12.1 Figure 13.1 Figure 13.2 Figure 13.3 Figure 14.1 Figure 14.1 Figure 16.1

Š Zenith Global Ltd 2019

UK mean temperature, 2013-18 ------------------------------------------------- 11 UK sunshine hours, 2016-18 ------------------------------------------------------ 12 UK water drinks, 2013-2018------------------------------------------------------- 15 Top UK water drinks companies, 2018 ---------------------------------------- 18 Top UK water drinks brands, 2018 ---------------------------------------------- 18 UK plain packaged water vs coolers, 2013-18 ------------------------------ 23 UK plain bottled water industry consolidation, 2013-2018 ----------- 29 Top 5 plain bottled water companies, 2013 and 2018 ------------------ 29 Top UK plain bottled water companies, 2018 ------------------------------ 30 GB plain bottled water consumption 2013-2018-------------------------- 34 UK packaged bottled water market value, 2013-2018 ------------------ 38 UK plain vs flavoured water, 2013-2018 -------------------------------------- 41 UK still/sparkling flavoured water, 2016-2018 ----------------------------- 41 UK plain bottled water market forecast, 2013-2023f ------------------- 43 UK water plus market, 2013-18 -------------------------------------------------- 47 UK water plus industry consolidation, 2016-2018 ------------------------ 49 Top 5 water plus companies, 2016 and 2018 ------------------------------- 50 Top UK water plus companies, 2018 ------------------------------------------- 50 GB flavoured water, herbal and premium soft drinks consumer, 2016-2018 ------------------------------------------------------------------------------- 54 UK water plus market value, 2016-2018-------------------------------------- 58 UK water plus market forecast, 2013-2023f -------------------------------- 60


Zenith UK water drinks report 2019

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UK Water Drinks Report Brief summary 1. Commentary 2. Commentary 3. Commentary

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Zenith UK water drinks report 2019

Research overview

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In compiling its research, Zenith Global relies on the goodwill and co-operation of companies active in the marketplace. All information is cross-checked with other sources, such as trade associations and suppliers, to ensure as complete a picture as possible. Although we strive to provide data as accurate as possible, some figures presented are Zenith’s estimates. Based on individual producer volumes for the year, market, sector and segment totals are calculated from the ‘bottom up’. At a sector and segment level, adjustments are then made for any double counting of contract and licensed bottling. Estimates for any unauthorised soft drink imports sold through the ‘grey market’ are also included. However, this is more pronounced in categories such as energy drinks rather than bottled water. A complete picture of the UK bottled water drinks market is thus produced through Zenith’s extensive study of the largest importers and bottlers, alongside small to medium sized operators and own label specialists. The market figures presented therefore encompass all aspects of bottled water drinks including: take home, impulse and on-premise/foodservice; water cooler volumes for the office; and a small amount of home delivery water. To this end, a considerable amount of time and effort is spent contacting industry players and striving to analyse the complexities of the UK bottled water drinks arena. We believe Zenith’s coverage of the total UK bottled water drinks market to be without equal and to have attained a consistently high level of accuracy. Zenith would like to express its sincere gratitude to the entire UK bottled water drinks industry for its continued help and assistance during the research process. Our gratitude also extends to UK industry associations for their support, including: BSDA (British Soft Drinks Association), BWCA (British Water Cooler Association), NHC (Natural Hydration Council) and BBWP (British Bottled Water Producers).

© Zenith Global Ltd 2019


Zenith UK water drinks report 2019

Macro overview 1.1

Economy

Commentary Commentary Commentary

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1.2

Weather

Commentary Commentary Commentary

Figure 1.1

UK mean temperature, 2013-18

6.5

degrees centigrade

6 6

6

6

5.5

5 5

5

5

4.5 2013

2014

2015

Figure 1.2

2016

2017

2018

UK sunshine hours, 2016-18

45 40

sunshine hours

35 30 25 20 15 10 5 0 Jan

Feb

Mar

Apr

May

2016

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Jun 2017

Jul

Aug 2018

Sep

Oct

Nov

Dec


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Zenith UK water drinks report 2019

Figure 1.3

UK rainfall, 2016-18

45 40 35

rainfall

30 25 20 15 10 5 0 Jan

Feb

Mar

Apr 2016

Source: Met Office

1.3

Media

Commentary Commentary Commentary

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May

Jun

2017

Jul

Aug

2018

Sep

Oct

Nov

Dec


Zenith UK water drinks report 2019

UK water drinks market Commentary Commentary Commentary

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Zenith UK water drinks report 2019

Table 2.1

Million litres

UK water drinks market, 2013-2018

2013

2014

2015

2016

2017

Total market Sparkling Still Sparkling % share Still % share Plain Flavoured Functional Juicy Plain % share Flavoured % share Functional % share Juicy % share Plain % change Flavoured % change Functional % change Juicy % change Total market % change Source: Zenith Global Figure 0.1

UK water drinks, 2013-2018

350 300

200

200

200

200

200

200

100

100

100

100

100

100

2013

2014

2015

2016

2017

2018

million litres

250 200 150 100 50 0 Plain water Source: Zenith Global Š Zenith Global Ltd 2019

Water Plus

2018

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Zenith UK water drinks report 2019

Table 2.2

Million litres

Top 25 Others Total market Top 5 Top 10 Source: Zenith Global

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Top 25 companies in UK bottled water drinks market, 2017-2018

2017 volume

2017 % share

2018 volume

2018 % share

2018 rank

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Zenith UK water drinks report 2019

Table 2.3

Million litres (1)

Top 25 Others Total market Top 5 Source: Zenith Global

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Top 25 brands in UK bottled water drinks market, 2017-2018

2017 volume

2017 % share

2018 volume

2017 % share

2018

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Zenith UK water drinks report 2019

Figure 2.2

Top UK water drinks companies, 2018

15%

Company

25% Company 15%

Company Company

15% 15% 15%

Company Company

total consumption: X million litres

Figure 2.3

Top UK water drinks brands, 2018

10%

Company

20% 10%

Company Company

20%

20%

Company Company

20%

total consumption: X million litres

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Company

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Zenith UK water drinks report 2019

UK plain water market UK plain water - market overview Commentary Commentary Commentary

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Zenith UK water drinks report 2019

UK plain water - sector performance Commentary Commentary Commentary

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Zenith UK water drinks report 2019

Table 4.1

Million litres Production Exports Imports Consumption

UK plain bottled water market, 2013-18

2013

2014

2015

2016

2017

2018

2017

2018

Production % change Exports as % of production Imports as % consumption Consumption % change Litres per person Source: Zenith Global Table 4.2

Million litres Total market Sparkling Still Sparkling % share Still % share Mineral Spring Others Mineral % share Spring % share Water cooler Water cooler % share Water cooler % change Packaged Packaged % change Source: Zenith Global

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UK plain bottled water types, 2013-18

2013

2014

2015

2016

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Zenith UK water drinks report 2019

Figure 4.1

UK plain packaged water vs coolers, 2013-18

140 120

million litres

100

75

75

75

75

75

75

50

50

50

50

50

50

2013

2014

2015

2016

2017

2018

80 60 40 20 0 Packaged

Source: Zenith Global

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Water Cooler


Zenith UK water drinks report 2019

UK plain water - plain packaged water Commentary Commentary Commentary

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Zenith UK water drinks report 2019

UK plain water - companies and brands Commentary Commentary Commentary

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Zenith UK water drinks report 2019

Table 6.1

Million litres

Top 25 Others Total market Top 5 Top 10 Source: Zenith Global

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Top 25 companies in UK bottled water market, 2017-2018

2017 volume

2017 % share

2018 volume

2018 % share

2018 Packaged

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Zenith UK water drinks report 2019

Table 6.2

Million litres

Top 25 Next 25 Others Total market Source: Zenith Global

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Next 25 companies in UK bottled water market, 2017-2018

2017 volume

2017 % share

2018 volume

2018 % share

2018 Packaged

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Zenith UK water drinks report 2019

Figure 6.1

UK plain bottled water industry consolidation, 2013-2018

100.0 90.0

90.0

90.0

90.0

90.0

90.0

90.0

80.0 70.0 % share

60.0 50.0

55.0

55.0

55.0

55.0

55.0

55.0

40.0 30.0 20.0 10.0 0.0 2013

2014

2015 Top 5

2016

2017

2018

Top 10

Source: Zenith Global

Figure 6.2

Top 5 plain bottled water companies, 2013 and 2018

300.0 150.0 300.0

Axis Title

150.0 300.0 150.0 300.0 150.0 300.0 150.0

2018 Source: Zenith Global

Š Zenith Global Ltd 2019

2013

million litres


Zenith UK water drinks report 2019

Figure 6.3

Top UK plain bottled water companies, 2018

10%

Company

20% 10%

10%

Company Company Company

10%

Company

40% Company

total consumption: X million litres

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Zenith UK water drinks report 2019

Table 6.3

Million litres (1)

Top 25 brands in UK bottled water market, 2017-2018

2017 volume

2017 % share

2018 volume

2018 % share

Top 25 Others Total market Top 5 (1) Branded water volumes only, including both retail and water cooler volumes Source: Zenith Global

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Brand rank

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Zenith UK water drinks report 2019

Table 6.4

Million litres (1)

Top 25 Next 25 Others Total market Source: Zenith Global

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Next 25 brands in UK bottled water market, 2017-2018

2017 volume

2017 % share

2018 volume

2018 % share

Brand rank

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Zenith UK water drinks report 2019

UK plain water - consumer Commentary Commentary Commentary

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Zenith UK water drinks report 2019

Table 7.1

GB plain bottled water consumer, 2013-2018

% of GB population (1) Bottled water consumers

2013

2014

2015

2016

2017

'Regular' bottled water consumers (consume more than once a week) % of age group who 'ever drink' 15-24 25-34 35-44 45-54 55-64 65+ Index of bottled water consumers (100 = average) Male Female

Figure 7.1

GB plain bottled water consumption 2013-2018

70 60 60

60

60

60

60

60

% of GB population

50 40 30 20 20

20

20

20

20

20

10 0 2013

2014

2015

2016

2017

Source: Target Group Index (TGI)- GB adults aged 15 and above

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2018

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Zenith UK water drinks report 2019

Table 7.2

UK plain bottled water per capita consumption, 2013-2018

Litres Per capita consumption Sparkling Still Per capita consumption Small pack Water cooler Per capita small pack water Packaged sparkling Packaged still % change Per capita consumption Sparkling Still Per capita consumption Small pack Water cooler Per capita small pack water Packaged sparkling Packaged still Source: Zenith Global

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2013

2014

2015

2016

2017

2018

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Zenith UK water drinks report 2019

Table 7.3

International plain bottled water comparison, 2013-2023f

Litres per person

2013

Global Source: Zenith Global- Globaldrinks.com

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2018

2023f

CAGR (13-18) (18-23f)

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Zenith UK water drinks report 2019

UK plain water - value Commentary Commentary Commentary

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Zenith UK water drinks report 2019

Table 8.1

UK plain bottled water value, 2016-2018

2016 Volume

£ VPL

2017 £m Value

Volume

£ VPL

2018 £m Value

Volume

£ VPL

Packaged Packaged % increase Modern retail (inc discounters) Convenience / Impulse, others Horeca; pubs, clubs Others Water cooler Water cooler % increase Total market (1) Total market % change source: Zenith Global

Figure 8.1

UK packaged bottled water market value, 2013-2018

1200

0.9 0.8

1000 1000

1000

1000

1000

1000

800

0.7 0.6 0.5

600 0.4 400

0.3 0.2

200 0.1 0

0 2013

2014

2015

market value (£ mln) Source: Zenith Global

© Zenith Global Ltd 2019

2016

2017

value per litre (£)

2018

vpl £

Market value £ mln

1000

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Zenith UK water drinks report 2019

Table 8.2

UK plain bottled water value per litre by pack size, 2017-2018

Pack size Spark to 2 l Still to 2 l Still 2.1- 10 l Still > 10.1 l Total Source: Zenith Global

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2017

2018

Growth

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Zenith UK water drinks report 2019

UK plain water vs water plus Commentary Commentary Commentary

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Zenith UK water drinks report 2019

Figure 18.1

UK plain vs flavoured water, 2013-2018

1600 1400

1,500

1,500

1,500

1,500

1,500

1,500

million litres

1200 1000 800 600 400 300

200

300

300

300

300

300

0 2013

2014

2015 Packaged

2016 Flavoured

2017

2018

Source: Zenith Global

Figure 18.2

UK still/sparkling flavoured water, 2016-2018

500 450 400

million litres

350 300 250 200 150 100 50 0 2016

2017 still

Source: Zenith Global

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sparkling

2018


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Zenith UK water drinks report 2019

UK plain water - forecast to 2023 Commentary Commentary Commentary

Figure 26.1

UK plain bottled water market forecast, 2013-2023f

3,000

2,500

million litres

2,000

1,500

1,000

500

0 2013

2014

2015

Source: Zenith Global

Š Zenith Global Ltd 2019

2016

2017

2018

2019f

2020f

2021f

2022f

2023f


Zenith UK water drinks report 2019

Table 26.1

UK forecast plain bottled water consumption by segment, 2018-2023f

Million litres Carbonated Still Carbonated % share Still % share Water cooler Water cooler % share Water cooler % change Packaged Packaged % share Packaged % change Total market Total market % change Source: Zenith Global

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2018

2019f

2020f

2021f

2022f

2023f

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Zenith UK water drinks report 2019

UK water plus market UK water plus - market overview Commentary Commentary Commentary

UK water plus - sector performance Commentary Commentary Commentary

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Zenith UK water drinks report 2019

Table 12.1

Million litres Production Imports Consumption

2013

UK water plus market, 2013-18

2014

2015

2016

2017

2018

2017

2018

Production % change Imports as % consumption Consumption % change Per Capita Consumption Source: Zenith Global

Table 12.2

Million litres Total market Sparkling Still Sparkling % share Still % share Flavoured Functional Juicy Flavoured % share Functional % share Juicy % share Flavoured % change Functional % change Juicy % change Total market % change Source: Zenith Global

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2013

UK water plus types, 2013-18

2014

2015

2016

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Zenith UK water drinks report 2019

Figure 12.1

UK water plus market, 2013-18

300

million litres

200

30

30

30

15 150

15 150

15 150

100

30 10 100

30 10 100

30 10 100

0 2013

2014

2015 Flavoured

Source: Zenith Global

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2016 Functional

2017 Juicy

2018


Zenith UK water drinks report 2019

UK water plus - companies and brands Commentary Commentary Commentary

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Zenith UK water drinks report 2019

Table 13.1

Top 15 companies in UK water plus market, 2017-2018

2017 volume

Million litres

2017 % share

2018 volume

2018 % share

Top 15 Others Total market Top 5 Top 10 Source: Zenith Global Figure 13.1

UK water plus industry consolidation, 2016-2018

100

80

79.0

75.0

71.0 % share

60

50.0 40

45.0

45.0

20

0 2016

2017 Top 5

Source: Zenith Global Š Zenith Global Ltd 2019

Top 10

2018

2018 rank

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Figure 13.2

Top 5 water plus companies, 2016 and 2018

Company

Company

Company

Company

Company

0

50

100 2018

2016

150 million litres

Source: Zenith Global Figure 13.3

Top UK water plus companies, 2018

10%

15%

Company Company 15%

30%

Company Company

15% 15%

total consumption: X million litres

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Company Company


Zenith UK water drinks report 2019

Table 13.2

Million litres

Top 20 Others (3) Total market Top 5 Top 10 Source: Zenith Global

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Top 20 brands in UK water plus market, 2017-2018

2017 volume

2017 % share

2018 volume

2018 % share

Brand rank

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Zenith UK water drinks report 2019

Table 13.3

Million litres

source: Zenith Global

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Top 20 brands in UK water plus market ranking, 2017-2018

Flavoured

2018 ranking Functional Juicy

Total

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UK water plus - consumer Commentary Commentary Commentary

Table 14.1

GB flavoured water, herbal and premium soft drinks consumer, 2016-2018

% of GB population (1) Consumers

2016

2017

Regular' consumers (consume more than once a week) % of age group who 'ever drink' 15-24 25-34 35-44 45-54 55-64 65+ Index of consumers (100 = average) Male Female (1) For fieldwork period July 2017 - June 2018 Source: Target Group Index (TGI) - GB adults aged 15 and above Š Zenith Global Ltd 2019

2018


Zenith UK water drinks report 2019

Figure 14.1

GB flavoured water, herbal and premium soft drinks consumer, 2016-2018

30

25

% of GB population

25

25

25

20

15

10 10

10

10

5

0 2016

2017

2018

Source: Target Group Index (TGI) - GB adults aged 15 and above

Table 14.2

Litres Per capita consumption Sparkling Still

UK water plus per capita consumption, 2013-2018

2013

2014

2015

2016

2017

2018

2013

2014

2015

2016

2017

2018

Per capita consumption Flavoured Functional Juicy

% change Per capita consumption Sparkling Still Per capita consumption Flavoured Functional Juicy Source: Zenith Global

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Zenith UK water drinks report 2019

Table 14.3

Litres per person

International flavoured water comparison, 2013-2023f

2013

2018

2023f

Global (1) (1) Includes only flavoured and flavoured functional waters Source: Zenith Global - globaldrinks.com

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CAGR (13-18) (18-23f)

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Zenith UK water drinks report 2019

UK water plus – value Commentary Commentary Commentary

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Zenith UK water drinks report 2019

Table 15.1

UK water plus value, 2016-2018

2016 Volume

Flavoured water % increase

430

Modern retail (inc discounters) Convenience / Impulse, others Horeca; pubs, clubs Functional water % increase Modern retail (inc discounters) Convenience / Impulse, others Horeca; pubs, clubs Juicy water % increase Modern retail (inc discounters) Convenience / Impulse, others Horeca; pubs, clubs - numbers may vary due to rounding Source: Zenith Global

© Zenith Global Ltd 2019

£ VPL

0.84

2017 Volume

362

£ VPL

449

Volume

0.84

2018 £ VPL

376

Volume

484

£ VPL

0.85

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411


Zenith UK water drinks report 2019

Figure 14.1

UK water plus market value, 2016-2018

350 300 250 200 150 100 50 0 2016

2017 market value (£ mln)

Source: Zenith Global

© Zenith Global Ltd 2019

2018 value per litre (£)

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Zenith UK water drinks report 2019

UK water plus - forecast to 2022 Commentary Commentary Commentary

Figure 16.1

UK water plus market forecast, 2013-2023f

450 400 350

million litres

300 250 200 150 100 50 0 2013

2014

Source: Zenith Global

Š Zenith Global Ltd 2019

2015

2016

2017

2018

2019f

2020f

2021f

2022f

2023f


Zenith UK water drinks report 2019

Table 16.1

UK forecast water plus consumption by segment, 2018-2023f

Million litres Total market Sparkling Still Sparkling % share Still % share Flavoured Functional Juicy Flavoured % share Functional % share Juicy % share Flavoured % change Functional % change Juicy % change Total market % change Source: Zenith Global

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2018

2019f

2020f

2021f

2022f

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Zenith UK water drinks report 2019

Appendix

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Appendix 1- Legislation Commentary Commentary Commentary

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Appendix 2 – Definitions and Symbols

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Definitions Natural Mineral Water The basic requirements of the UK regulations are: Must come from a recognised groundwater source. Recognition is granted by local authorities to meet EU standards and requires a lengthy testing process to ensure freedom from pollution and a consistent mineral composition. Must be bottled at source unless the practise was to tanker to the bottling plan on or before 17th July 1980. Cannot undergo treatment except permitted treatment for filtration of particles. Nothing can be added to water except carbon dioxide for carbonation. The water can only be bottled under a single name, described as natural mineral water. The water must meet strict requirements for microbiological and chemical purity.

Spring Water The basic requirements of the UK regulations are: Must come from a groundwater source. Must be bottled at source (unless the practise was to tanker to the bottling plant on or before 23rd November 1996). In the UK, spring water can currently undergo some forms of permitted treatment. The water can only be bottled under a single named Spring Water. However, additional Bottled Drinking Waters can be produced from the same source. The water must meet requirements for microbiological and chemical quality.

Bottled Drinking Water The basic requirements of the UK regulations are: ‘Bottled drinking water ‘is a legal category of water and should not be confused with the general use of the term ‘bottled water’. Can come from any source – groundwater, surface water (e.g. a lake or river), tap water or other (e.g. glacier, iceberg, rainwater) Need not be bottled at source. Can undergo any form of water treatment. Water from a single source can be bottled under different names. Can be bottled under any description except one that is misleading to consumers. Use of the description natural mineral water, spring water or mineral water is not permitted. Some commonly used descriptions are ‘Table Water’ and ‘Purified Water’. The water must meet requirements for microbiological and chemical quality. These definitions are a simple description of the requirements of the UK bottled water regulations. Appendix 1 details the relevant regulations for England, Scotland, Wales and Northern Ireland and any subsequent amendments.

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Zenith UK water drinks report 2019

Flavoured Water Sweetened with sugar, sweetener or unsweetened with added fruit essence; sparkling natural mineral, spring or bottled drinking water with added flavourings.

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Includes: Flavoured unsweetened bottled waters Flavoured bottled waters with added sugar and/or sweetener Not included are: ‘Schorle’ (sparkling water and fruit juice) and other soft drinks ‘Limonaden’ (water-based, flavoured carbonated soft drinks popular in Germany) Pressé drinks (ready-to-drink cordial drinks)

Functional Water Functional waters have added functional ingredients, such as botanicals, vitamins, minerals, oxygen or others. Functional waters can be still or sparkling and can be flavoured or unflavoured. Such waters are marketed as having a functional positioning.

Juicy Water Defined as water with added juice, juice content ranges from 5% to 25-30%. However, the key attribute is consumer perception of such products as being water plus juice as opposed to a juice drink. These drinks are perceived by consumers to be closer to flavoured waters than juices/nectars. Includes: Volvic Juiced Drench Juicy This Juicy Water Excludes: Sanpellegrino Aranciata/ Limonata Capri Sun Vimto

Water Plus Water plus includes flavoured waters, functional waters and juicy waters as defined above.

Distribution channels Retail Supermarkets Multiples and other grocers – Tesco, Sainsbury, Asda, Waitrose, Morrisons, Somerfield, Co-op, Marks & Spencer, Boots, Budgens, Iceland Aldi, Lidl and other discounters Smaller local supermarkets (e.g. Booths, Harry Tuffins) Supermarket forecourts and smaller formats of the major multiples (e.g. Tesco Metro)

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Zenith UK water drinks report 2019

Independent, others Confectioneries, tobacconists and newsagents (CTNs) Convenience stores (e.g. Londis) Small independent grocers Other forecourts Off licences Other retail stockists/cash & carry

Door-to-door Dairy deliveries Direct mail orders Door-to-door deliveries of water for coolers

Away From Home Offices Water supplied in places of work such as offices, factories etc.

Horeca, pubs and clubs HoReCa – hotel, restaurant and catering channels Cafés, bars, pubs Nightclubs Food service Vending machines

Others All other away from home outlets

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Appendix 4- Leading company profiles Commentary on each company A company PLC Address: Tel:

, Website:

Company Structure Ownership: Senior management:

Employees: Subsidiaries:

Company Finances ÂŁ Million, year to Sales Profit before tax

Water Production Location: Source: Lines: Investment:

Advertising

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Fax: Email:

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Zenith UK water drinks report 2019

Product Range (plain water)

Production & Sales Volume (plain water) Million litres Exports UK Sales sparkling - still - Packaging Split (plain water) NR PET NR Glass

Brand

Retail

OOH

HODTotal 100%

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