Soft drinks in 2024: The big picture
The United Arab Emirates is a diverse market with expatriates from different parts of the world comprising more than 80% of the population, representing different religions, traditions, habits and preferences. Considering this, most categories in soft drinks find an audience and have significant potential, providing they remain relevant and consumers’ needs are met.
2024 key trends
As brands look to add new claims and highlight the specific benefits of their products, the line between different soft drinks is becoming blurred. Flavoured bottled water is increasingly favoured by some consumers over juice drinks or carbonates, while functional bottled water is moving closer to sports drinks, and kombucha might be considered a natural energy drink.
Competitive landscape
As a result of an ongoing trend for localisation, domestic and regional brands are starting to gain greater share compared to previous years. All aspects of localisation are now evident in the United Arab Emirates: brand owner, production and ingredients of local origin are equally supported and preferred by many consumers in the market.
Retailing developments
Modern grocery retailers is the leading distribution channel for soft drinks in the United Arab Emirates, with supermarkets and hypermarkets holding prominent share. Hypermarkets benefit from the size of the outlets, while the store network of supermarkets is widespread.
Foodservice vs retail split
The United Arab Emirates has a prominent on-trade channel for soft drinks, compared to the global average. This is determined by an established culture of eating out.
What next for soft drinks?
Many categories of soft drinks in the United Arab Emirates are expected to experience further fragmentation over the forecast period. The latest interest and shift towards local or regional soft drinks has expedited the natural process of fragmentation that was already emerging prior to 2024.
Delivery:
Files are delivered directly into your account soon after payment is received and any tax is certification is verified (where applicable).
This report comes in PDF with additional info in Excel included.
Overview:
Understand the latest market trends and future growth opportunities for the Soft Drinks industry in United Arab Emirates with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
Data and analysis in this report provides further detailed coverage dedicated to the following key categories, where applicable:
- Bottled Water
- Carbonates
- Concentrates
- Juice
- RTD Coffee
- RTD Tea
- Energy Drinks
- Sports Drinks
- Asian Speciality Drinks
If you're in the Soft Drinks industry in United Arab Emirates, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
The Soft Drinks in United Arab Emirates report includes:
- Analysis of key supply-side and demand trends
- Detailed segmentation of international and local products
- Historic volume and value sizes, company and brand market shares
- Five year forecasts of market trends and market growth
- Robust and transparent research methodology, conducted in-country
This report answers:
- What is the market size of Soft Drinks in United Arab Emirates?
- To what extent are health considerations impacting consumption of Soft Drinks in United Arab Emirates?
- How are changing social attitudes and legislation (eg sugar tax) reshaping demand and consumption?
- How are changing demographics (for example, an ageing or predominantly young population) determining consumption of Soft Drinks in United Arab Emirates?
- Which are the leading brands in Soft Drinks in United Arab Emirates?
- What potential exists for multinational or domestic soft drinks companies to expand in United Arab Emirates?
- How are products distributed in Soft Drinks in United Arab Emirates?
- How is the rise of e-commerce changing the retail and competitive landscape?
- How have home seclusion and social distancing measures following COVID-19 impacted sales of Soft Drinks?
- How are sustainability issues, such as environmentally-friendly packaging, legislation on recyclability, or the amount of plastic in bottles, impacting the soft drinks industry?
- Where is future growth expected to be most dynamic?
Soft Drinks in the United Arab Emirates
Soft drinks in 2024: The big picture
2024 key trends
Competitive landscape
Retailing developments
Foodservice vs retail split
What next for soft drinks?
Fountain sales in the United Arab Emirates
DISCLAIMER
Bottled Water in the United Arab Emirates
KEY DATA FINDINGS
Consumers show strong interest in carbonated, functional and flavoured bottled water
Manufacturers of bottled water increase their focus on sustainability
Bottled water continues to be dominated by local brands
Still purified bottled water set to demonstrate further solid growth
Sustained price for still bottled water and growth for carbonated options
Retail e-commerce and on-trade set for further growth
Carbonates in the United Arab Emirates
KEY DATA FINDINGS
Carbonates demonstrates rapid growth despite challenges
Move away from global brands supports growth of small local players
Shrinkflation drives price growth for carbonates
Resumption of stronger growth for international brands likely over forecast period
Carbonates will face further fragmentation
Reduced sugar likely to remain a niche, but will demonstrate healthy growth
Concentrates in the United Arab Emirates
KEY DATA FINDINGS
Weak performance by concentrates as consumers shift towards juice
Concentrates is a seasonal category, and mostly sold during Ramadan
Powder concentrates dominated by Tang
Functionality within concentrates will remain niche and not play a pivotal role
Iced tea and sports drinks can enhance concentrates
Reduced sugar powder concentrates set to retain low penetration
Concentrates Conversions
Juice in the United Arab Emirates
KEY DATA FINDINGS
Shift towards 100% juice continues as part of health and wellness trend
Affordable options are available across juice
Functionality plays a role in juice with vitamins the most common claim
Rising cost of raw materials will force juice producers to rely on local ingredients
Juice set to record rapid growth through on-trade channel
Juice brands will look to focus on quality of product and of packaging
RTD Coffee in the United Arab Emirates
KEY DATA FINDINGS
RTD coffee witnesses decline as some consumers boycott global brands
Premium price another negative factor impacting demand for RTD coffee
RTD coffee becoming increasingly fragmented with new brands emerging and growing
Category set to recover with landscape likely to be reshaped
RTD coffee will become a highly competitive environment
Brands to increasingly focus on healthy but appetising options
RTD Tea in the United Arab Emirates
KEY DATA FINDINGS
Rapid growth due to rising interest and greater variety of RTD tea options
Reduced sugar still RTD tea sees rising demand
Lipton retains leadership despite recent entry of new brands
Carbonated RTD tea and kombucha set to expand as new brands emerge
Consumers will be looking for additional value and relevant claims within RTD tea
Sustainable packaging will become increasingly important over forecast period
Energy Drinks in the United Arab Emirates
KEY DATA FINDINGS
Energy drinks shares target audience with other soft drinks in the local market
100% excise tax limits the number of energy drinks brands available
Vitamin drinks remain prominent segment within energy drinks
Energy drinks is yet to reach its potential in the United Arab Emirates
Further fragmentation expected following entry of new brands
Further consumer education needed to drive awareness of energy drinks
Sports Drinks in the United Arab Emirates
KEY DATA FINDINGS
Sports drinks benefits from demand for health-focused and appetising hydration
Rapid development of reduced sugar helps drive dynamic growth of sports drinks
Sports drinks dominated by imported brands
Going forward, functional sports drinks will gain relevance
Younger consumers comprise major target audience
Competitive landscape set to become increasingly fragmented
Asian Speciality Drinks in the United Arab Emirates
KEY DATA FINDINGS
Asian speciality drinks is niche category in local market following recent entry
Asian speciality drinks lacks awareness among local consumers
Mogu Mogu is dominant brand in Asian speciality drinks
Solid future growth predicted, albeit from a low base
Asian speciality drinks likely to emerge in on-trade channel
Concerns over sugar intake could slow growth potential
The following categories and subcategories are included:
Soft Drinks
-
-
- Carbonated Natural Mineral Bottled Water
- Carbonated Spring Bottled Water
- Carbonated Purified Bottled Water
-
- Still Flavoured Bottled Water
- Sparkling Flavoured Bottled Water
- Functional Bottled Water
-
- Still Natural Mineral Bottled Water
- Still Spring Bottled Water
- Still Purified Bottled Water
-
-
- Regular Carbonates
- Reduced Sugar Carbonates
-
- Regular Cola Carbonates
- Reduced Sugar Cola Carbonates
-
- Regular Non-Cola Carbonates
- Reduced Sugar Non-Cola Carbonates
-
- Regular Lemonade/Lime
- Reduced Sugar Lemonade/Lime
-
- Regular Tonic Water/Mixers/Other Bitters
- Reduced Sugar Tonic Water/Mixers/Other Bitters
-
- Regular Orange Carbonates
- Reduced Sugar Orange Carbonates
-
- Regular Other Non-Cola Carbonates
- Reduced Sugar Other Non-Cola Carbonates
-
- Liquid Concentrates
- Powder Concentrates
-
-
- Not from Concentrate 100% Juice
- Reconstituted 100% Juice
- Coconut and Other Plant Waters
- Juice Drinks (up to 24% Juice)
- Nectars
-
- RTD Coffee
-
- Carbonated RTD Tea and Kombucha
-
- Regular Still RTD Tea
- Reduced Sugar Still RTD Tea
-
- Regular Energy Drinks
- Reduced Sugar Energy Drinks
-
- Regular Sports Drinks
- Reduced Sugar Sports Drinks
- Asian Speciality Drinks
Soft Drinks
This is the aggregation of the following categories; Carbonates, Fruit/vegetable juice, Bottled water, Functional drinks, Concentrates, RTD tea, RTD coffee and Asian speciality drinks.
See all of our definitionsWhy buy this report?
- Gain competitive intelligence about market leaders
- Track key industry trends, opportunities and threats
- Inform your marketing, brand, strategy and market development, sales and supply functions
This report originates from Passport, our Soft Drinks research and analysis database.
NEW REPORT GUARANTEE
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extraction Free!