Zenith Global East Europe Water Coolers Report 2018

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Zenith Insight report

East Europe water coolers A comprehensive analysis of the point of use , dispensers/pumps and bottled water cooler markets

2018


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 “users� of this report.

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introduction Zenith has actively reported on the European water cooler market for over twenty years, providing unparalleled insights into the market’s dynamics. This is the twenty-first Zenith Report on the East European water coolers market. In producing our reports, we aim to contact every significant company active in the appropriate sector and to provide as complete a picture as possible at a price accessible to any business with a serious commercial interest. This 2018 water coolers report contains up-to-date profiles on the leading companies, while text, charts and tables provide analysis of recent market developments. We are particularly grateful for the help we have received from these companies in compiling this report. Where direct company figures are unavailable, best estimates have been provided. Note: For the purpose of this report, the term 'POU' represents a free-standing unit which is not integrated into any other piece of furniture or mounting. The unit may be either floor-standing or counter-top. Zenith excludes from this definition units which may include POU purification technology but are installed within a cupboard, termed under-the-counter or under sink units and generally feature a pipe connection from the unit to a separate tap which is generally located over a sink, alongside the standard mains water tap. The report represents exceptional coverage of East Europe’s water cooler 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.

Christina Avison Reports Manager Zenith Global

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contents market overview definitions total coolers bottled water coolers dispensers/pumps bottled water for coolers point of use price structure and revenue indicators industry structure forecast appendix

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contents country market analysis Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine 5

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contents company profiles Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine 6

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market overview definitions

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market overview definitions

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xxx

A more extensive list of definitions and terminology is available in the appendix.

© Zenith Global Ltd 2018


market overview total coolers

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total coolers market summary •

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Commentary

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total coolers market overview 2013 Bottled water cooler (BWC) Units % growth Units per '000 people Dispensers/pumps Units % growth Units per '000 people Million litres % growth Point of Use (POU) Units % growth

Units per '000 people Total coolers Units % growth POU % share BWC % share Dispensers/pumps % share

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2014

2015

2016

2017


total coolers market overview cooler market evolution, 2013-2017

000 units 180 160

10

10

10

10

10

50

50

50

50

50

100

100

100

100

100

2013

2014

2015

2016

2017

installed units

140 120 100 80 60 40 20 0 BWC units

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Dispensers/pumps

POU units


total coolers market overview cooler share by country, 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary

Latvia Lithuania Poland

Romania Russia Serbia Slovakia Slovenia Ukraine 0

2

4

BWC units 13

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6 8 ‘000 units Dispensers/pumps

10

12

POU units

14

16

18


total coolers unit volume 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2015

2016

2017

% share 2013

% share 2017

2017-13 CAGR


total coolers annual growth 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2014

2015

2016

2017

2017-13 CAGR

2017-13 Growth


total coolers units per 000 people 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2015

2016

2017

2017-13 CAGR

2017-13 Growth


total coolers total installed cooler base by sub-region •

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Commentary

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total coolers total installed cooler base by sub-region Rank 1

2013 East region Russia Ukraine Belarus

2

Central region Poland Czech Republic Hungary Slovakia

3

South region Romania Bulgaria Croatia Serbia Slovenia

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2015

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2017

% share 2013

% share 2017

2017-13 CAGR


total coolers total installed cooler base by sub-region Rank 4

2013 Baltics Lithuania Latvia Estonia Total

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2016

2017

% share 2013

% share 2017

2017-13 CAGR


total coolers regulatory environment •

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Commentary

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market overview bottled water coolers

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bottled water coolers market summary •

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Commentary

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bottled water coolers unit volume 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2015

2016

2017

% share 2013

% share 2017

2017-13 CAGR


bottled water coolers annual growth 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2017-13 CAGR

2017-13 Growth


bottled water coolers share of total market 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine Total

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share gain % 2017-13


bottled water coolers units per 000 people 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe Average

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2015

2016

2017

2017-13 CAGR

2017-13 Growth


bottled water coolers machine types •

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Commentary

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bottled water coolers share by machine type Hot-cold Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia

Slovakia Slovenia Ukraine East Europe Average

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Cold-ambient

Free standing

Table top


bottled water coolers outlets •

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Commentary

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bottled water coolers distribution by outlet Commercial Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia

Slovakia Slovenia Ukraine East Europe Average

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Domestic


bottled water coolers cancellations •

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Commentary

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bottled water coolers cancellation rate 2016 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia

Slovakia Slovenia Ukraine East Europe Average

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2017


bottled water coolers contract lengths •

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Commentary

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bottled water coolers maintenance and additional services •

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Commentary

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market overview dispensers/pumps

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dispensers/pumps market summary •

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Commentary

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dispensers/pumps unit volume 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2015

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2017

% share 2013

% share 2017

2017-13 CAGR


dispensers/pumps annual growth 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2015

2016

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2017-13 CAGR

2017-13 Growth


dispensers/pumps share of total market 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine Total

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share gain % 2017-13


dispensers/pumps units per 000 people 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe Average

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2015

2016

2017

2017-13 CAGR

2017-13 Growth


market overview bottled water for coolers

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bottled water for coolers market summary •

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Commentary

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bottled water for coolers bottled water market 2013 All bottled water % increase Packaged water % increase % of total bottled water increase % share Water coolers % increase % of total bottled water increase % share

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2015

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2017


bottled water for coolers bottled water market bottled water volume , 2013-2017 140

120 20

20

20

20

20

100

100

100

100

100

2013

2014

2015

2016

2017

million litres

100

80

60

40

20

0 packaged water

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water coolers


bottled water for coolers volume (mln litres) 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2015

2016

2017

% share 2013

% share 2017

2017-13 CAGR


bottled water for coolers annual growth 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2015

2016

2017

2017-13 CAGR

2017-13 Growth


bottled water for coolers litres per person 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe Average

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2015

2016

2017

2017-13 CAGR

2017-13 Growth


bottled water for coolers water throughput •

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Commentary

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bottled water for coolers water throughput litres per cooler 2016 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine

East Europe average 49

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18.9l bottles per cooler per month 2017

2016

2017


bottled water for coolers water types •

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Commentary

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bottled water for coolers water volume by type Million litres Mineral Belarus Bulgaria Croatia Czech Republic Estonia Hungary

Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe 51

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Purified

% share Spring

Mineral

Purified

Spring


bottled water for coolers packaging formats •

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Commentary

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market overview point of use

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point of use market summary •

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Commentary

© Zenith Global Ltd 2018


point of use unit volume 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2015

2016

2017

% share 2013

% share 2017

2017-13 CAGR


point of use annual growth 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2014

2015

2016

2017

2017-13 CAGR

2017-13 Growth


point of use share of total market 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine Total

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share gain % 2017-13


point of use units per 000 people 2013 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2014

2015

2016

2017

2017-13 CAGR

2017-13 Growth


point of use BWC to POU conversion •

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Commentary

© Zenith Global Ltd 2018


point of use BWC to POU conversion BWC conversion % Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia

Slovakia Slovenia Ukraine East Europe

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New POU %

Converted units

New units


point of use outlets •

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Commentary

© Zenith Global Ltd 2018


point of use distribution by outlet Offices Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia

Slovakia Slovenia Ukraine East Europe Average

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Factories

Institutions

Shops

Domestic

Other


point of use rented versus sold units •

63

Commentary

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point of use rented versus sold units Rented units % share Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia

Slovakia Slovenia Ukraine East Europe Average

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Sold units % share


point of use machine types •

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Commentary

© Zenith Global Ltd 2018


point of use share by machine type Hot-cold Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia

Slovakia Slovenia Ukraine East Europe Average

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Cold-ambient

Others

Carbonated


point of use maintenance and additional services •

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Commentary

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market overview price structure and revenue indicators

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price structure and revenue indicators average water prices by type Euros per litre average 2017 Sparkling water Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania

Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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Still to 10 litres

Water coolers


price structure and revenue indicators bottled water coolers and bottled water sales Average BWC monthly rental (€) Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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© Zenith Global Ltd 2018

Average bottle price (€)

BWC rental revenue (€)

Water sales revenue (€)

Total revenue (€)

% share BWC rental

% share water


price structure and revenue indicators bottled water coolers and bottled water sales 2013 Average monthly rental (€)

Average bottle price (€)

BWC rental revenue (€ mln) Water sales revenue (€ mln) Total revenue (€ mln)

BWC rental revenue (% share) Water sales revenue (% share)

Average monthly rental % change Average bottle price % change BWC rental revenue % change Water sales revenue % change

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2014

2015

2016

2017


price structure and revenue indicators point of use •

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Commentary

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price structure and revenue indicators point of use Average monthly Average sales rental (€) price per unit (€) Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia

Slovakia Slovenia Ukraine East Europe

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© Zenith Global Ltd 2018

Rented units revenue (€)

Sold units revenue (€)

Total revenue % share (€) rented units

% share revenue


price structure and revenue indicators point of use 2013 POU average monthly rental (€)

POU average sale price (€)

POU revenue (€ mln) POU sales revenue (€ mln) Total revenue (€ mln)

POU rental revenue (% share) POU sales revenue (% share)

POU average monthly rental % change POU average sale price % change POU revenue % change POU sales revenue % change

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2014

2015

2016

2017


market overview industry structure

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industry structure mergers and acquisitions •

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Commentary

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industry structure mergers and acquisitions Buyer

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Target

Country

Date


industry structure bottled water coolers •

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Commentary

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industry structure BWC - top 25 national companies Rank

Country

Company

1 2 3 4 5 6 7 8 9 10 11 12 13 14

15

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2013

2014

2015

2016

2017

% share 2017


industry structure BWC - top 25 national companies Rank

Country

Company

16 17 18 19 20 21 22 23 24 25 Top 10 % share

Top 25 % share Others East Europe

80

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2013

2014

2015

2016

2017

% share 2017


industry structure BWC - leading companies by volume of units installed 2013 Belarus

Bulgaria

Croatia

81

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2014

2015

2016

2017


industry structure dispensers/pumps •

82

Commentary

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industry structure dispensers/pumps - top 25 national companies Rank

Country

Company

1 2 3 4 5 6 7 8 9 10 11 12 13 14

15

83

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2013

2014

2015

2016

2017

% share 2017


industry structure dispensers/pumps - top 25 national companies Rank

Country

Company

16 17 18 19 20 21 22 23 24 25 Top 10 % share

Top 25 % share Others East Europe

84

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2013

2014

2015

2016

2017

% share 2017


industry structure dispensers/pumps - leading companies by volume of units installed 2013 Belarus

Bulgaria

Croatia

85

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2014

2015

2016

2017


industry structure point of use •

86

Commentary

© Zenith Global Ltd 2018


industry structure point of use - top 25 distributors Rank

Country

1 2 3 4 5 6 7 8 9 10 11 12 13 14

15

87

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Company

2013

2014

2015

2016

2017

% share 2017


industry structure point of use - top 25 distributors Rank

Country

Company

16 17 18 19 20 21 22 23 24 25 Top 10 % share

Top 25 % share Others East Europe

88

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2013

2014

2015

2016

2017

% share 2017


industry structure point of use - leading companies by volume of units installed 2013 Belarus

Bulgaria

Croatia

89

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2014

2015

2016

2017


industry structure bulk bottled water suppliers •

90

Commentary

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industry structure bulk bottled water - top 25 national companies Rank

Country

Company

1 2 3 4 5 6 7 8 9 10 11 12 13 14

15

91

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2013

2014

2015

2016

2017

% share 2017


industry structure bulk bottled water - top 25 national companies Rank

Country

Company

16 17 18 19 20 21 22 23 24 25 Top 10 % share

Top 25 % share Others East Europe

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2013

2014

2015

2016

2017

% share 2017


industry structure bulk bottled water - leading companies by volume in million litres 2013 Belarus

Bulgaria

Croatia

93

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2014

2015

2016

2017


market overview forecast

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forecast market summary •

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Commentary

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forecast key market developments and issues for the future •

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Commentary

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forecast market overview 2017 Bottled water cooler (BWC) Units % growth Units per '000 people Dispensers/pumps Units % growth

Units per '000 people Million litres % growth Point of Use (POU) Units % growth Units per '000 people Total coolers Units % growth POU % share BWC % share Dispensers/pumps % share

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2018f

2019f

2020f

2021f

2022f


forecast market overview cooler market forecast, 2017-2022f

000 units 200 180

20

20

20

20

20

20

60

60

60

60

60

60

100

100

100

100

100

100

2017

2018f

2019f

2020f

2021f

2022f

installed units

160 140 120

100 80 60 40 20 0 BWC units

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Dispensers/pumps

POU units


forecast market overview cooler share by country, 2022f Belarus Bulgaria Croatia Czech Republic Estonia Hungary

Latvia Lithuania Poland

Romania Russia Serbia Slovakia Slovenia Ukraine 0

2

4

BWC units 99

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6

8 ‘000 units

10

Dispensers/pumps

12

14

POU units

16

18

20


forecast total installed cooler base - unit volume 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

% share 2017

% share 2022f

2022f-17 CAGR


forecast total installed cooler base - annual growth 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

2022f-17 CAGR

2022f-17 Growth


forecast total installed cooler base - units per 000 people 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

2022f-17 CAGR

2022f-17 Growth


forecast bottled water coolers - unit volume 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

% share 2017

% share 2022f

2022f-17 CAGR


forecast bottled water coolers - annual growth 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

2022f-17 CAGR

2022f-17 Growth


forecast bottled water coolers - share of total market 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine Total

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2018f

2019f

2020f

2021f

2022f

share gain % 2022f-17


forecast bottled water coolers - units per 000 people 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe Average

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2018f

2019f

2020f

2021f

2022f

2022f-17 CAGR

2022f-17 Growth


forecast dispensers/pumps - unit volume 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

% share 2017

% share 2022f

2022f-17 CAGR


forecast dispensers/pumps - annual growth 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

2022f-17 CAGR

2022f-17 Growth


forecast dispensers/pumps - share of total market 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

share gain % 2022f-17


forecast dispensers/pumps - units per 000 people 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

2022f-17 CAGR


forecast point of use - unit volume 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

% share 2017

% share 2022f

2022f-17 CAGR


forecast point of use - annual growth 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

2022f-17 CAGR

2022f-17 Growth


forecast point of use - share of total market 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

share gain % 2022f-17


forecast point of use - units per 000 people 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

2022f-17 CAGR

2022f-17 Growth


forecast bottled cooler water - volume (mln litres) 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

% share 2017

% share 2022f

2022f-17 CAGR


forecast bottled cooler water - annual growth 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

2022f-17 CAGR

2022f-17 Growth


forecast bottled cooler water - litres per person 2017 Belarus Bulgaria Croatia Czech Republic Estonia Hungary Latvia Lithuania Poland Romania Russia Serbia Slovakia Slovenia Ukraine East Europe

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2018f

2019f

2020f

2021f

2022f

2022f-17 CAGR

2022f-17 Growth


country market analysis [Country]

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[Country] market overview - bottled water coolers, dispensers/pumps and point of use Cooler market evolution •

cooler market evolution, 2013-2017

Commentary 350

20 18

300

installed units

250

14 12

200

10 150

8 6

100

4 50 2 0

0 2013

2014

2015

BWC units Dispensers/pumps Units

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2016

2017

POU units coolers revenue (mEUR)

million EUR

16


[Country] market overview - bottled water coolers, dispensers/pumps and point of use 2013 Bottled water cooler (BWC) Units % growth Units per '000 people Dispensers/pumps Units % growth Units per '000 people Million litres % growth Point of Use (POU) Units % growth Units per '000 people Total coolers Units % growth POU % share BWC % share Dispensers/pumps % share

120

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2015

2016

2017


[Country] market overview - bottled water coolers, dispensers/pumps and point of use Market overview •

121

Commentary

Š Zenith Global Ltd 2018


[Country] market overview - bottled water coolers, dispensers/pumps and point of use Industry developments •

Commentary

Acquisitions •

122

Commentary

© Zenith Global Ltd 2018


[Country] market overview - bottled water coolers, dispensers/pumps and point of use

S •

Commentary

O •

123

W

Strengths •

Commentary

© Zenith Global Ltd 2018

Commentary

T

Opportunities •

Weaknesses

Threats

Commentary


[Country] bottled water coolers - market structure bottled water cooler units, 2013-17 160

120

110

100

120

130

24.0 22.0 20.0

100 80 60

20.0

15.0 10.0

40 5.0

0

0.0 2013

124

26.0

25.0

20

•

28.0

30.0

140

milion litres

BWC installed units

140

bottled water cooler water volume, 2013-17

2014

Commentary

Š Zenith Global Ltd 2018

2015

2016

2017

2013

2014

2015

2016

2017


[Country] bottled water coolers - market structure Throughput Litres per cooler 18.9l bottles per cooler per month Throughput •

Commentary

Cancellations •

Commentary

Contract lengths •

125

Commentary

© Zenith Global Ltd 2018

2016

2017

Cancellations Quit rate %

2016

2017


[Country] bottled water coolers - market structure Outlets •

BWC outlets, 2017

Commentary

50%

Commercial

50%

Domestic

Machine types •

BWC machine types, 2017

Commentary

50%

50%

Hot-cold Cold-ambient

126

© Zenith Global Ltd 2018


[Country] bottled water coolers - market structure Water types •

BWC water types, 2017

Commentary 20%

20%

Eau de boisson Mineral Purified

20%

20%

Spring Other water type

20%

127

Š Zenith Global Ltd 2018


[Country] bottled water coolers - market structure Legislation •

Commentary

Maintenance and additional services

128

Commentary

© Zenith Global Ltd 2018


[Country] point of use - market structure BWC to POU conversions

point of use units, 2013-17 160

POU installed units

140 120

110

100

120

130

140

Replacement rate %

80

Number of units

60 40 20 0 2013

2014

Commentary

Conversion •

129

Units added 2016

100

Commentary

© Zenith Global Ltd 2018

2015

2016

2017

New POU

2017

2016

2017


[Country] point of use - market structure Outlets •

POU outlets, 2017

Commentary 15% 25%

Offices Factories 15%

Institutions Shops

15%

Domestic 15% 15%

Others

POU machine types, 2017 Machine types •

Commentary

20% 40%

Hot-cold Cold-ambient Others

40%

130

© Zenith Global Ltd 2018


[Country] point of use - market structure Rented/sold units •

POU machine types, 2017

Commentary

50%

50%

Rented Sold

Maintenance and additional services •

131

Commentary

© Zenith Global Ltd 2018


[Country] price structure and revenue indicators - BWC and POU Point of use

132

2016

2017

Bottled water coolers

Average monthly rental (€)

Average monthly rental (€)

Average sales price per unit (€)

Average bottle price (€)

Total revenue (€)

Total revenue (€)

- revenue from rented units

- revenue from rented units

- revenue from sold units

- revenue from bottled water sales

Commentary

© Zenith Global Ltd 2018

2016

2017


[Country] price structure and revenue indicators - BWC and POU cooler revenue, 2013-17

Commentary

million EUR

100 90 80 70 60 50 40 30 20 10 0 2013

2014

BWC revenue (€ mln) Total revenue (€ mln)

133

© Zenith Global Ltd 2018

2015

2016

2017

POU revenue (€ mln)


[Country] dispensers/pumps - market structure •

dispensers/pumps units, 2013-17

Commentary 125

120 installed units

120 115 115

110 110 105 105 100 100 95

90 2013

134

Š Zenith Global Ltd 2018

2014

2015

2016

2017


[Country] bottled water cooler companies - units installed Machines in December Company

Others

Total market

135

Š Zenith Global Ltd 2018

2013

2014

2015

2016

2017

% share 2016

% share 2017

% 17-16


[Country] bottled water cooler companies - units installed •

136

Commentary

Š Zenith Global Ltd 2018


[Country] dispensers/pumps companies - units installed Million litres Company

Others Total market

137

Š Zenith Global Ltd 2018

2013

2014

2015

2016

2017

% share 2016

% share 2017

% 17-16


[Country] dispensers/pumps companies - units installed •

138

Commentary

Š Zenith Global Ltd 2018


[Country] bottled water cooler and dispenser/pumps companies - water volume Million litres Company

Others

Total market

139

Š Zenith Global Ltd 2018

2013

2014

2015

2016

2017

% share 2016

% share 2017

% 17-16


[Country] bottled water cooler and dispenser/pumps brands - water volume Million litres Company

Others

Total market

140

Š Zenith Global Ltd 2018

2013

2014

2015

2016

2017

% share 2016

% share 2017

% 17-16


[Country] bottled water cooler and dispenser/pumps companies and brands - water volume •

141

Commentary

Š Zenith Global Ltd 2018


[Country] point of use distributors - units installed Machines in December Company

Others

Total market

142

Š Zenith Global Ltd 2018

2013

2014

2015

2016

2017

% share 2016

% share 2017

% 17-16


[Country] point of use distributors - units installed •

143

Commentary

Š Zenith Global Ltd 2018


[Country] forecast - bottled water coolers, dispensers/pumps and point of use 2017 Bottled water cooler (BWC) Units % growth Units per '000 people

Dispensers/pumps Units % growth Units per '000 people Million litres % growth

Point of Use (POU) Units % growth Units per '000 people Total coolers Units % growth POU % share BWC % share Dispensers/pumps % share

144

Š Zenith Global Ltd 2018

2018f

2019f

2020f

2021f

2022f

17-22f CAGR

% 22f-17


[Country] forecast - bottled water coolers, dispensers/pumps and point of use •

145

Commentary

Š Zenith Global Ltd 2018


company profiles [Country]

146

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[COMPANY] WATER DATA AND SALES Country: Category: Address: Contact Name & Function:

Email: Tel: Website:

Company Structure Ownership Senior Management Commentary & company description [Information about company and any key recent activities]

Product range Brand [Brand Name]

Water Type Spring

Packacking Type R Polycarb

Packaging size 18.9; 11.0

Water volumes (million litres) Total Sales

2013 5.0

2014 5.5

2015 6.0

2016 6.5

2017 7.0

Installed units at the end of the year Point of Use (POU)

2013 150

2014 180

2015 210

2016 240

2017 270

Dispensers/pumps

5,000

6,000

7,000

8,000

9,000

Bottled Coolers (BWC)

16,000

17,000

18,000

19,000

20,000

Total

21,150

23,180

25,210

27,240

29,270


appendix glossary, acronyms and abbreviations

147

Š Zenith Global Ltd 2018


appendix glossary

148

Adjustment: Market adjustment accounts for over/underestimation of the total market as a result of reconciliation of indirect sales and drop off of retired sold units.

Bottled water: All water sold in containers for human consumption.

Bulk bottled water / cooler water: Bottled water sold in containers larger than 10 litres in size.

Bottled water cooler: A unit that dispenses bottled purified, spring or mineral water. The unit can be installed under a rental and service agreement or purchased outright by the customer. Water is delivered direct to the customer by a distributor and empty bottles are taken away. New bottles are placed upside down on top of the machine. A feed tube spike from the machine penetrates a watertight cap in the bottle and opens a valve within the cap, thereby allowing water to flow into the machine. Water is dispensed from cold/hot/ambient taps at the front of the unit. Disposable cups are normally provided in a tube dispenser on the front or side. Machines are usually either freestanding or table-top. They usually take larger bottle formats (5 litre, 7.5 litre, 11.4 litre, 18.9 litre) than those distributed in packaged formats that are available through usual retail outlets such as supermarkets etc.

Bottler: Bottlers supply water to distributors in tankers or bottles. They have no cooler units of their own.

Bottler-distributors: Bottler-distributors have their own water source, fill bottles under their own brand, install their own cooler units and run their own distribution service. They may also fill bottles under contract for other distributors, either under their own brand or under distributor brands.

Carbon filtration: Cartridges in carbon filters naturally absorb organic compounds and chlorine by-products from water. The technique is often used to remove objectionable taste and odour from water.

Codex: Bottled water and POU legislative framework in Germany.

Distributor: Distributors service their own machines using water supplied by bottlers or bottler-distributors. The water may be marketed under the bottler’s, bottler-distributor’s or the distributor’s brand name.

Eau de source: Term used in the Benelux countries and France to describe water from a single protected underground source, untreated and preserved in its natural state.

© Zenith Global Ltd 2018


appendix glossary •

Eau de boisson: Term used in the Benelux countries and France to describe water packed in bottles larger than 2 litres.

HoReCa: Hospitality sector (concatenation of hotel, restaurant and café).

Natural mineral water: In accordance with EC Directive 80/777/EEC on Natural Mineral Waters (and related 96/70/EC, 98/83/EC and 2003/40/EC), in order to qualify as a natural mineral water, the water must: o come from a specified underground source that is protected from any kind of pollution o be stable in its chemical and physical composition o satisfy microbiological criteria and be free of any harmful bacteria o receive no treatment other than filtration (to remove items such as sand particles) or carbonation by the addition of carbon dioxide (although some waters are naturally carbonated) o be bottled at source and fitted with a tamper-evident seal o undergo regular analyses after recognition by an approved laboratory to ensure that these exacting standards are maintained.

149

Packaged water: Bottled water that is not distributed for consumption via water coolers.

POU cooler: A water cooler device that is plumbed into a potable water supply and improves the quality of the water through some method of filtration or purification. Such machines rarely have a drainage system, unless the method of filtration is reverse osmosis or individual country legislation requires it; otherwise the water is either consumed at the point of release or enters the drip tray. The water is usually chilled, heated or carbonated. Units can be faucet/tap, freestanding or table-top. Filtration methods include reverse osmosis, ultra violet (UV) and carbon filter. Faucet/tap units typically utilise carbon and combined staged filtration to deliver filtered water - a ‘diverter’ may be incorporated to bypass the filtration process for dishwashing, etc.

Purified water: Mains or other water subjected to further processing and treatment and bottled in accordance with EC Directive 80/778/EEC on Water for Human Consumption. Sometimes called ‘drinking water’ or ‘table water’. It may come from more than one source or not from a single underground source. It may include the public water supply or be transported from the source to the bottling plant. Bottling companies may carry out filtration and treatment processes on the water to amend its constituents before the water is distributed for sale. Some companies may also add mineral salts and carbon dioxide to their water.

© Zenith Global Ltd 2018


appendix glossary •

Reverse osmosis: A water treatment process that filters out most inorganic chemicals such as salts, metals and minerals as well as microorganisms and many (but not all) organic compounds. It is sometimes seen as a controversial filtration method as it frequently discards a high percentage of water along with the contaminants.

Spring water: In accordance with EC Drinking Water Directive 80/778/EEC, subsequently amended 98/83/EC and related 80/777/EEC, 96/70/EC, and 2003/40/EC, any water from a spring or well may qualify as spring water if it meets the same basic standards as domestic tap water. Impurities may be removed by processing and treatment. Spring water must: o be bottled at source unless it was being tankered before 23 November 1996

o be safe without disinfection and not treated in any way which will alter the natural microbiology o be bottled under only one name as the largest item on the label (the name of source or place of exploitation) o be untreated except to remove unstable elements (sediment, precipitating iron and manganese). o Unlike natural mineral water, spring water does not have to have a characteristic composition, be free from all traces of pollution or be from a recognised (as opposed to registered) source.

150

Throughput: The volume of bottled used per cooler

Under sink system: An under sink system is classified as any water filtration device (reverse osmosis, UV or carbon) housed in the cupboard/cabinet below the sink area. Filtered water may be delivered direct through the main sink tap, or through a secondary tap within the sink area. Most under sink units only provide filtered water, however some POU distributors are offering units that provide chilled or even hot filtered water through the sink tap. Under sink systems provide a convenient way to give people greater control over the standard of the water they consume. Although there are a range of different methods, generally an under counter unit aims at lowering the amount of heavy metals such as copper, lead, cadmium and barium in the water as well as magnesium, fluoride and sediment.

UV: UV filtration systems inactivate bacteria, viruses and micro-organisms.

© Zenith Global Ltd 2018


appendix acronyms and abbreviations

151

...

Negligible, less than 0.05

cl

Centilitre

f

Forecast

na

Not available, not applicable

ADEAC

Asociación de Distribuidores y Envasadores de Agua en Cooler

AWCN

Association Water Cooler Netherlands

B2B

Business-to-Business

BiB

Bag-in-box

BPA

Bisphenol A

BSDA

British Soft Drinks Association

BWC

Bottled water cooler

BWCA

British Water Cooler Association

CAGR

Compound annual growth rate

DIN

Deutsches Institut für Normung (German Institute for Standardisation)

DTI

Department of Trade & Industry

EBWA

European Bottled Water Association

© Zenith Global Ltd 2018


appendix acronyms and abbreviations

152

EC

European Commission

EFET

Hellenic Food Authority

EFBW

European Federation of Bottled Waters

EFSA

European Food Safety Authority

EPDWA

European Point of use Drinking Water Association

EPFL

Swiss Federal Institute of Technology

EU

European Union

FSA

Food Standards Agency

GBWA

German Bottled Water Cooler Association

GWCA

German Water Cooler Association

HOD

Home and office delivery

IMF

International Monetary Fund

IMQ

Institut für Microbiologische Qualitätssicherung

MIT

Ministry of Industry and Trade (Norway)

NR

Non returnable packaging

NSF

National Sanitation Foundation

© Zenith Global Ltd 2018


appendix acronyms and abbreviations

153

OOH

Out-of-home

PET

Polyethylene terephthalate

POU

Point of use

R

Returnable packaging

RO

Reverse osmosis

SME

Small- and medium-sized enterprise

SSTI

Self-sanitising technology system

UNESCO

United Nations Educational, Scientific and Cultural Organization

UNESDA

Union of European Beverages Associations

UV

Ultra violet

VAT

Value-added tax

WEEE

Waste Electrical and Electronic Equipment Directive

WRAP

Waste Resources Action Programme

WRAS

Water Regulations Advisory Scheme

WE

Watercoolers Europe

Š Zenith Global Ltd 2018


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