Zenith Insight report
UK water drinks report A comprehensive overview of the UK plain, flavoured, functional and juicy waters market
March 2017
Zenith report on UK water drinks March 2017 26th 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 “users� of this report.
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Zenith UK water drinks report 2017
introduction This is the twenty-sixth 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 2017 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.
Simon Johnson Managing Consultant Zenith Global
© Zenith Global Ltd 2017
Zenith UK water drinks report 2017
contents brief summary------------------------------------------------------------------------------------------- 7 research overview ------------------------------------------------------------------------------------- 8 1
macro overview --------------------------------------------------------------------------------- 9 1.1 economy ------------------------------------------------------------------------------------------ 9 1.2 weather ------------------------------------------------------------------------------------------ 10 1.3 media --------------------------------------------------------------------------------------------- 12
2
UK water drinks market -------------------------------------------------------------------- 13
3
UK plain water - market overview ------------------------------------------------------ 18
4
UK plain water - sector performance ------------------------------------------------- 19
5
UK plain water - plain packaged water ----------------------------------------------- 22
6
UK plain water - companies and brands --------------------------------------------- 23
7
UK plain water - consumer ---------------------------------------------------------------- 30
8
UK plain water - value ----------------------------------------------------------------------- 34
9
UK plain water vs water plus ------------------------------------------------------------- 37
10
UK plain water - forecast to 2021 ------------------------------------------------------ 39
11
UK water plus - market overview ------------------------------------------------------- 41
12
UK water plus - sector performance -------------------------------------------------- 42
13
UK water plus - companies and brands----------------------------------------------- 45
14
UK water plus - consumer ----------------------------------------------------------------- 51
15
UK water plus – value ----------------------------------------------------------------------- 54
16
UK water plus - forecast to 2021 ------------------------------------------------------- 57
appendix 1- legislation ---------------------------------------------------------------------------- 60 appendix 2 – definitions and symbols ------------------------------------------------------- 63
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Zenith UK water drinks report 2017
definitions ---------------------------------------------------------------------------------------------- 63 Natural Mineral Water ----------------------------------------------------------------------------------- 63 Spring Water-------------------------------------------------------------------------------------------------- 63 Bottled Drinking Water ---------------------------------------------------------------------------------- 63 Flavoured Water -------------------------------------------------------------------------------------------- 64 Functional Water ------------------------------------------------------------------------------------------- 64 Juicy Water ---------------------------------------------------------------------------------------------------- 64 Water Plus ----------------------------------------------------------------------------------------------------- 64 Distribution channels ------------------------------------------------------------------------------------- 64 Retail ------------------------------------------------------------------------------------------------------------- 64 Supermarkets ------------------------------------------------------------------------------------------------- 64 Independent, others --------------------------------------------------------------------------------------- 65 Door-to-door -------------------------------------------------------------------------------------------------- 65
Away From Home------------------------------------------------------------------------------------------- 65 Offices ----------------------------------------------------------------------------------------------------------- 65 Horeca, pubs and clubs ----------------------------------------------------------------------------------- 65 Others ----------------------------------------------------------------------------------------------------------- 65
symbols -------------------------------------------------------------------------------------------------- 66
appendix 3- Target Group Index (TGI) ------------------------------------------------------- 67 appendix 4- leading company profiles------------------------------------------------------- 68 AG Barr Plc ---------------------------------------------------------------------------------------------- 68 Angel Springs Holdings Ltd -------------------------------------------------------------------------Berrington Pure Spring Water Company ------------------------------------------------------Black Mountain Mineral Water Company -----------------------------------------------------Brecon Mineral Water --------------------------------------------------------------------------------Britvic Plc--------------------------------------------------------------------------------------------------CBL Drinks Ltd -------------------------------------------------------------------------------------------Coca-Cola European Partners ---------------------------------------------------------------------Coca-Cola HBC Northern Ireland -----------------------------------------------------------------Cooleraid --------------------------------------------------------------------------------------------------Cott Beverages Ltd ------------------------------------------------------------------------------------Danone Waters (UK & Ireland) --------------------------------------------------------------------Decantae Natural Mineral Water -----------------------------------------------------------------Eden Springs UK Ltd ----------------------------------------------------------------------------------Edgar’s Water--------------------------------------------------------------------------------------------Fonthill Pure English Spring Water --------------------------------------------------------------Get More Vitamin Drinks ----------------------------------------------------------------------------Harrogate Water Brands Ltd -----------------------------------------------------------------------Highland Spring Group -------------------------------------------------------------------------------Hildon Ltd -------------------------------------------------------------------------------------------------Innocent ---------------------------------------------------------------------------------------------------Kingshill Mineral Water Ltd ------------------------------------------------------------------------Montgomery Natural Spring Water Company -----------------------------------------------Nestlé Waters UK Ltd ---------------------------------------------------------------------------------Nichols Plc -------------------------------------------------------------------------------------------------
© Zenith Global Ltd 2017
Zenith UK water drinks report 2017
One Water ------------------------------------------------------------------------------------------------Radnor Hills Mineral Water Company Ltd -----------------------------------------------------Roxane UK Ltd-------------------------------------------------------------------------------------------Princes Gate Spring Water --------------------------------------------------------------------------Princes Soft Drinks ------------------------------------------------------------------------------------Shepley Spring Ltd -------------------------------------------------------------------------------------Swithland Spring Water ------------------------------------------------------------------------------Talking Rain Beverage Company -----------------------------------------------------------------Trederwen Springs-------------------------------------------------------------------------------------Water Coolers (Scotland) Ltd -----------------------------------------------------------------------
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Zenith UK water drinks report 2017
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
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UK water drinks market, 2011-16 ----------------------------------------------- 14 top 25 companies in UK bottled water drinks market, 2015-2016-- 15 top 25 brands in UK bottled water drinks market, 2015-2016 ------- 16 UK plain bottled water market, 2011-16 ------------------------------------- 19 UK plain bottled water types, 2011-16 --------------------------------------- 20 top 25 companies in UK bottled water market, 2015-2016 ----------- 23 next 25 companies in UK bottled water market, 2015-2016 ---------- 25 top 25 brands in UK bottled water market, 2015-2016 ----------------- 28 next 25 brands in UK bottled water market, 2015-2016 --------------- 29 GB plain bottled water consumer, 2011-2016------------------------------ 31 UK plain bottled water per capita consumption, 2011-2016 --------- 32 international plain bottled water comparison, 2011-2021f ----------- 33 UK plain bottled water value, 2014-2016 ------------------------------------ 35 UK plain bottled water value per litre by pack size, 2015-2016 ----- 36 UK forecast plain bottled water consumption by segment, 20162021f -------------------------------------------------------------------------------------- 40 UK water plus market, 2011-16 -------------------------------------------------- 43 UK water plus types, 2011-16 ---------------------------------------------------- 44 top 15 companies in UK water plus market, 2015-2016 ---------------- 46 top 20 brands in UK water plus market, 2015-2016 ---------------------- 49 top 20 brands in UK water plus market ranking, 2015-2016 ---------- 50 GB flavoured water, herbal and premium soft drinks consumer, 2014-2016 ------------------------------------------------------------------------------- 51 UK water plus per capita consumption, 2011-2016 ---------------------- 52 international flavoured water comparison, 2011-2021f ---------------- 53 UK water plus value, 2014-2016 ------------------------------------------------- 55 UK forecast water plus consumption by segment, 2016-2021f ------ 58
Zenith UK water drinks report 2017
figures figure 1.1 figure 1.2 figure 2.1 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
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UK mean temperature, 2011-16 ------------------------------------------------- 11 UK sunshine hours, 2014-16 ------------------------------------------------------ 11 UK water drinks, 2011-2016------------------------------------------------------- 14 top UK water drinks companies, 2016----------------------------------------- 17 top UK water drinks brands, 2016 ---------------------------------------------- 17 UK plain packaged water vs coolers, 2011-16 ------------------------------ 21 UK plain bottled water industry consolidation, 2011-2016 ----------- 26 top 5 plain bottled water companies, 2011 and 2016 ------------------- 26 top UK plain bottled water companies, 2016 ------------------------------- 27 GB plain bottled water consumption 2011-2016-------------------------- 31 UK packaged bottled water market value, 2011-2016 ------------------ 35 UK plain vs flavoured water, 2011-2016 -------------------------------------- 37 UK still/sparkling flavoured water, 2014-2016 ----------------------------- 38 UK plain bottled water market forecast, 2011-2021f ------------------- 40 UK water plus market, 2011-16 -------------------------------------------------- 44 UK water plus industry consolidation, 2014-2016 ------------------------ 47 top 5 water plus companies, 2014 and 2016 -------------------------------- 47 top UK water plus companies, 2016 ------------------------------------------- 48 GB flavoured water, herbal and premium soft drinks consumer, 2011-2016 ------------------------------------------------------------------------------- 52 UK water plus market value, 2014-2016-------------------------------------- 56 UK water plus market forecast, 2011-2021f -------------------------------- 58
Zenith UK water drinks report 2017
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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 2017
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 2017
Zenith UK water drinks report 2017
1
macro overview
1.1
economy
Commentary
Commentary
Commentary
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1.2
weather
Commentary
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figure 1.1
UK mean temperature, 2011-16
5.5 5 5
5
5
5
5
5
2011
2012
2013
2014
2015
2016
degrees centigrade
4.5 4 3.5 3 2.5 2 1.5 1 0.5 0
figure 1.2
UK sunshine hours, 2014-16
60
sunshine hours
50 40 30 20 10 0 Jan
Feb
Mar
Apr
May
Jun
2014
figure 1.3
Jul
2015
Aug
Sep
Oct
Nov
2016
UK rainfall, 2014-16
60 50
rainfall
40 30 20 10 0 Jan
Feb
Mar
Apr 2014
source: Met Office
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May
Jun 2015
Jul
Aug 2016
Sep
Oct
Nov
Dec
Dec
Zenith UK water drinks report 2017
1.3
media
Commentary
Commentary
Commentary
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2
UK water drinks market
Commentary
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table 2.1
UK water drinks market, 2011-2016
Million litres
2011
2012
2013
2014
2015
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 2.1
UK water drinks, 2011-2016
16 14
5
5
5
5
5
5
10
10
10
10
10
10
2011
2012
2013
2014
2015
2016
million litres
12 10 8 6 4 2 0 Plain water source: Zenith Global Š Zenith Global Ltd 2017
Water Plus
2016
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Zenith UK water drinks report 2017
table 2.2
Million litres Company
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, 2015-2016
2015 volume
2015 % share
2016 volume
2016 % share
Brand rank
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Zenith UK water drinks report 2017
table 2.3
Million litres (1) Brand
Top 25 Others Total market Top 5 source: Zenith Global
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top 25 brands in UK bottled water drinks market, 2015-2016
2015 volume
2015 % share
2016 volume
2016 % share
2016 ranking
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Zenith UK water drinks report 2017
figure 2.2
top UK water drinks companies, 2016
10%
Company 10%
50%
10%
Company Company Company
10% 10%
Company Others
total consumption: X million litres
figure 2.3
top UK water drinks brands, 2016
10% 10%
50%
10%
Brand
Brand
Brand
Brand
Brand
Others
10% 10%
total consumption: X million litres
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Zenith UK water drinks report 2017
UK plain water market UK plain water - market overview
Commentary
Commentary
Commentary
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3
UK plain water - sector performance
Commentary
Commentary
Commentary
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Zenith UK water drinks report 2017
table 4.1
Million litres Production Exports Imports Consumption
UK plain bottled water market, 2011-16
2011
2012
2013
2014
2015
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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, 2011-16
2011
2012
2013
2014
2015
2016
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Zenith UK water drinks report 2017
figure 4.1
UK plain packaged water vs coolers, 2011-16
80 70
million litres
60 50 40 30 20 10 0 2011
2012
2013 Packaged
source: Zenith Global
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2014 Water Cooler
2015
2016
Zenith UK water drinks report 2017
4
UK plain water - plain packaged water
Commentary
Commentary
Commentary
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5
UK plain water - companies and brands
Commentary
Commentary
Commentary
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table 6.1
Million litres Company
Top 25 Others Total market Top 5 Top 10 source: Zenith Global
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top 25 companies in UK bottled water market, 2015-2016
2015 volume
2015 % share
2016 volume
2016 % share
2016 Packaged
1 24 Page 5 / 0 3 / ranking2 0 Cooler 1 Total 7
Zenith UK water drinks report 2017
table 6.2
Million litres Company
Top 25 Next 25 Others Total market source: Zenith Global
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next 25 companies in UK bottled water market, 2015-2016
2015 volume
2015 % share
2016 volume
2016 % share
2016 Packaged
1 25 Page 5 / 0 3 / ranking2 0 Cooler 1 Total 7
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Zenith UK water drinks report 2017
figure 6.1
UK plain bottled water industry consolidation, 2011-2016
25.0
20.0
20.0
20.0
20.0
20.0
20.0
20.0
% share
15.0
10.0
10.0
10.0
10.0
10.0
10.0
10.0
5.0
0.0 2011
2012
2013 Top 5
2014
2015
2016
Top 10
source: Zenith Global
figure 6.2
top 5 plain bottled water companies, 2011 and 2016
10.0
Company
5.0 10.0
Company
5.0 10.0
Company
5.0 10.0
Company
5.0 10.0
Company
5.0 0
2
4
6 2016
source: Zenith Global
Š Zenith Global Ltd 2017
8 2011
10
12 million litres
Zenith UK water drinks report 2017
figure 6.3
top UK plain bottled water companies, 2016
10%
Company 10%
50%
10%
Company Company Company
10% 10%
total consumption: X million litres
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Company Others
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Zenith UK water drinks report 2017
table 6.3
Million litres (1) Brand
Top 25 Others Total market Top 5 Top 10 source: Zenith Global
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top 25 brands in UK bottled water market, 2015-2016
2015 volume
2015 % share
2016 volume
2016 % share
Brand rank
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Zenith UK water drinks report 2017
table 6.4
Million litres (1) Brand
Top 25 Next 25 Others Total market source: Zenith Global
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next 25 brands in UK bottled water market, 2015-2016
2015 volume
2015 % share
2016 volume
2016 % share Brand
Brand rank
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Zenith UK water drinks report 2017
6
UK plain water - consumer
Commentary.
Commentary.
Commentary.
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Zenith UK water drinks report 2017
table 7.1
GB plain bottled water consumer, 2011-2016
% of GB population
2011
2012
2013
2014
2015
Bottled water consumers
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'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 (1) For fieldwork period July 2015- June 2016 source: Target Group Index (TGI)- GB adults aged 15 and above
figure 7.1
GB plain bottled water consumption 2011-2016
12
10
% of GB population
10
10
10
10
10
10
8
6
4
5
5
5
5
5
5
2
0 2011
2012
2013
2014
source: Target Group Index (TGI)- GB adults aged 15 and above
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2015
2016
Zenith UK water drinks report 2017
table 7.2
UK plain bottled water per capita consumption, 2011-2016
Litres Per capita consumption Sparkling Still
2011
2012
2013
2014
2015
2011
2012
2013
2014
2015
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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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2016
Zenith UK water drinks report 2017
table 7.3
international plain bottled water comparison, 2011-2021f
Litres per person
2011
United States France Germany Italy Spain United Kingdom West Europe Poland East Europe China Asia Pacific Global source: Zenith Global- globaldrinks.com
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2016
2021f
CAGR (11-16) (16-21f)
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7
UK plain water - value
Commentary
Commentary
Commentary
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Zenith UK water drinks report 2017
table 8.1
UK plain bottled water value, 2014-2016
2014 Volume
£ VPL
2015 £m Value
Volume
2015 £m Value
£ VPL
Volume
£ VPL
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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 (1) retail sales value, including restated water cooler values - numbers may vary due to rounding source: Zenith Global
figure 8.1
UK packaged bottled water market value, 2011-2016
120
6
100
5 100
100
100
100
100
80
4
60
3
40
2
20
1
0
0 market value (£ mln)
source: Zenith Global
© Zenith Global Ltd 2017
value per litre (£)
vpl £
Market value £ mln
100
Zenith UK water drinks report 2017
table 8.2
UK plain bottled water value per litre by pack size, 2015-2016
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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2015
2016
Growth
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8
UK plain water vs water plus
Commentary
Commentary
Commentary
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figure 18.1
UK plain vs flavoured water, 2011-2016
12
10 10
10
10
10
10
10
million litres
8
6 5
4
5
5
5
5
5
2
0 2011
2012
2013
2014
2015
2016
source: Zenith Global
figure 18.2
UK still/sparkling flavoured water, 2014-2016
25
million litres
20 10
10
10
10
10
10
2015
2016
15
10
5
0 2014 still source: Zenith Global
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sparkling
Zenith UK water drinks report 2017
9
UK plain water - forecast to 2021
Commentary
Commentary
Commentary
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Zenith UK water drinks report 2017

themes are likely to be healthy hydration, natural provenance, water miles, environmental initiatives.
figure 26.1
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UK plain bottled water market forecast, 2011-2021f
120
100 100
100
100
100
100
100
100
100
100
100
100
2011
2012
2013
2014
2015
2016
2017f
2018f
2019f
2020f
2021f
million litres
80
60
40
20
0
source: Zenith Global
table 26.1 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
Š Zenith Global Ltd 2017
UK forecast plain bottled water consumption by segment, 2016-2021f 2016 2017f 2018f 2019f 2020f 2021f
Zenith UK water drinks report 2017
UK water plus market 10
UK water plus - market overview
Commentary
Commentary
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11
UK water plus - sector performance
Commentary
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table 12.1
Million litres Production Imports Consumption Production % change Imports as % consumption Consumption % change Per Capita Consumption source: Zenith Global
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UK water plus market, 2011-16
2011
2012
2013
2014
2015
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Zenith UK water drinks report 2017
table 12.2
Million litres Total market
UK water plus types, 2011-16
2011
2012
2013
2014
2015
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
figure 12.1
UK water plus market, 2011-16
35 30
million litres
25
10
10
10
10
10
10
10
10
10
10
10
10
10
10
10
10
10
2011
2012
2013
2014
2015
2016
10
20 15 10 5 0 Flavoured
source: Zenith Global
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Functional
Juicy
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12
UK water plus - companies and brands
Commentary
Commentary
Commentary
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table 13.1
Million litres Company
Top 15 Others Total market Top 5 Top 10 source: Zenith Global
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top 15 companies in UK water plus market, 2015-2016
2015 volume
2015 % share
2016 volume
2016 % share
2016 rank
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figure 13.1
UK water plus industry consolidation, 2014-2016
12
10
10.0
10.0
10.0
% share
8
6
5.0
4
5.0
5.0
2
0 2014
2015 Top 5
2016
Top 10
source: Zenith Global
figure 13.2
top 5 water plus companies, 2014 and 2016
10.0
Company
5.0 10.0
Company
5.0 10.0
Company
5.0 10.0
Company
5.0 10.0
Company
5.0 0
2
4
6 2016
source: Zenith Global
Š Zenith Global Ltd 2017
8 2014
10
12 million litres
Zenith UK water drinks report 2017
figure 13.3
top UK water plus companies, 2016
10%
Company 10%
50%
10%
Company Company Company
10% 10%
total consumption: X million litres
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Company Company
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table 13.2
Million litres Brand
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, 2015-2016
2015 volume
2015 % share
2016 volume
2016 % share
Brand rank
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table 13.3
Million litres Brand
source: Zenith Global
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top 20 brands in UK water plus market ranking, 2015-2016
Flavoured
2016 ranking Functional Juicy
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13
UK water plus - consumer
Commentary
Commentary
Commentary
table 14.1
GB flavoured water, herbal and premium soft drinks consumer, 2014-2016
% of GB population Consumers
2014
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 (2) For fieldwork period July 2015 - June 2016 source: Target Group Index (TGI) - GB adults aged 15 and above
© Zenith Global Ltd 2017
2015
2016 (1)
Zenith UK water drinks report 2017
figure 14.1
GB flavoured water, herbal and premium soft drinks consumer, 2011-2016 12
10
% of GB population
10
10
10
8
6
4
5
5
5
2
0 2014
2015
2016
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, 2011-2016
2011
2012
2013
2014
2015
2016
2011
2012
2013
2014
2015
2016
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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table 14.3
Litres per person
international flavoured water comparison, 2011-2021f
2011
2016
2021f
United States France Germany Italy Spain United Kingdom West Europe Poland East Europe China Asia Pacific Global (1) (1) Includes only flavoured and flavoured functional waters source: Zenith Global - globaldrinks.com
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CAGR (11-16) (16-21f)
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14
UK water plus - value
Commentary
Commentary
Commentary
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table 15.1
UK water plus value, 2014-2016
2014 Volume
Flavoured water % increase 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 2017
£ VPL
2015 £m Value
Volume
£ VPL
2015 £m Value
Volume
£ VPL
1 55 Page 5 / 0 3 / 2 0 £m 1 Value 7
1 56 Page 5 / 0 3 / 2 0 6 1 7
Zenith UK water drinks report 2017
figure 14.1
UK water plus market value, 2014-2016
12
10
5 10
10
8
4
6
3
4
2
2
1
0
0 market value (£ mln)
source: Zenith Global
© Zenith Global Ltd 2017
10
value per litre (£)
Zenith UK water drinks report 2017
15
UK water plus - forecast to 2021
Commentary
Commentary
Commentary
© Zenith Global Ltd 2017
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Zenith UK water drinks report 2017
figure 16.1
UK water plus market forecast, 2011-2021f
60
50 50
50
50
50
50
50
50
50
50
50
50
2011
2012
2013
2014
2015
2016
2017f
2018f
2019f
2020f
2021f
million litres
40
30
20
10
0
source: Zenith Global
table 16.1
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
Š Zenith Global Ltd 2017
UK forecast water plus consumption by segment, 2016-2021f
2016
2017f
2018f
2019f
2020f
2021f
Zenith UK water drinks report 2017
appendix
Š Zenith Global Ltd 2017
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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 for filtration of particles, except in exceptional circumstances.
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 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 purity based on the requirements for tap water.
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 purity based on the requirements for tap water.
© Zenith Global Ltd 2017
1 64 Page 5 / 0 3 These definitions are a simple description of the requirements of the UK bottled water regulations. / 2 For a detailed definition please consult the Natural Mineral Water, Spring Water and Bottled Drinking 0 Water Regulations, 1999 and any subsequent amendments. For a detailed review of the implications 1 of the regulations, consult Zenith’s ‘Plain Language Guide to the UK Bottled Water Regulations’. 7 Zenith UK water drinks report 2017
Further information can be found at www.zenithinternational.com and search for Plain Language Guide.
Flavoured Water Sweetened with sugar, sweetener or unsweetened with added fruit essence; sparkling and still natural mineral, spring or bottled drinking water with added flavourings. 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, Coop, Marks & Spencer, Boots, Budgens, Iceland
© Zenith Global Ltd 2017
Zenith UK water drinks report 2017
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
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
© Zenith Global Ltd 2017
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Zenith UK water drinks report 2017
symbols ...
Negligible, less than 0.05
e
Estimate
Foodservice Distribution to on-premise or horeca outlets Horeca
Hotels, restaurants and catering
na
Not available, not applicable
NR
Non returnable packaging
HDPE High Density Polyethylene HOD Home and Office Delivery PET
Polyethylene terephthalate
PLA Polylactide or polylactic acid POU Point of use (mains water) cooler PVC Polyvinyl chloride R
Returnable packaging
SC
Sports cap
VPL
Value per litre
Š Zenith Global Ltd 2017
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Zenith UK water drinks report 2017
appendix 4- leading company profiles AG Barr Plc Angel Springs Holdings Ltd Berrington Pure Spring Water Company Black Mountain Mineral Water Company Brecon Mineral Water Britvic Plc CBL Drinks Ltd Coca-Cola European Partners Coca-Cola HBC Northern Ireland Cooleraid Cott Beverages Ltd Danone Waters (UK & Ireland) Decantae Natural Mineral Water Eden Springs UK Ltd Edgar’s Water Fonthill Pure English Spring Water Get More Vitamin Drinks Harrogate Water Brands Ltd Highland Spring Group Hildon Ltd Innocent Kingshill Mineral Water Ltd Montgomery Natural Spring Water Company Nestlé Waters UK Ltd Nichols Plc One Water Radnor Hills Mineral Water Company Ltd Roxane UK Ltd Princes Gate Spring Water Princes Soft Drinks Shepley Spring Ltd Swithland Spring Water Talking Rain Beverage Company Trederwen Springs Water Coolers (Scotland) Ltd © Zenith Global Ltd 2017
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Zenith UK water drinks report 2017
COMPANY Address: Tel: Website:
Fax: Email:
Company Structure Ownership: Senior management:
Employees: Subsiduaries: Related activities:
Non-related activities:
Company Finances ÂŁ Million, year to Sales Profit before tax
Water Production Location: Source: Lines: Investment:
Advertising
Commentary
Š Zenith Global Ltd 2017
2010
2011
2012
2013
2014
2015
2016
Zenith UK water drinks report 2017
COMPANY - Plain Water Product Range Brand name Brand A
Water type Still
Pack type
Spring
NR PET
Sizes available (litre) 0.5 0.75 (SC)
0.5 1.5
0.33
0.75
Glass
x10
Production & Sales Volume Million litres Production Exports UK Sales - still - sparkling - cooler Brand - still - sparkling - cooler
2010
2011
2012
2013
2014
2015
2016
2010
2011
2012
2013
2014
2015
2016
Cooler Analysis Unit Numbers Own POU units
Packaging Split NR GLASS 0.33 0.75 NR PET 0.5 0.75 1
10.0% 5.0% 5.0% 90.0% 50.0% 20.0% 20.0%
Channel Split (by brand / type) Brand Brand
Š Zenith Global Ltd 2017
Retail 100.0%
OOH 0.0%
HOD 0.0%
Total 100%
Zenith UK water drinks report 2017
COMPANY - Water Plus Product Range Brand name Brand A
Water type Still
Pack type
Spring
NR PET
Sizes available (litre) 0.5 0.75 (SC)
0.5 1.5
0.33
0.75
Glass
x10
Production & Sales Volume (Water Plus) Million litres Production Exports UK Sales - still - sparkling Brand A - still - sparkling
2010
2011
2012
2013
2014
2015
2016
Packaging Split NR GLASS 0.33 0.75 NR PET 0.5 0.75 1
10.0% 5.0% 5.0% 90.0% 50.0% 20.0% 20.0%
Channel Split (by brand / type) Brand Brand
Š Zenith Global Ltd 2017
Retail 100.0%
OOH 0.0%
HOD 0.0%
Total 100%
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