Non-Alcoholic Drinks - Zambia

The Non-Alcoholic Drinks market in Zambia has been experiencing significant growth in recent years.

Customer preferences: Zambian consumers have shown a growing preference for healthier beverage options, which has contributed to the rise in demand for non-alcoholic drinks. This shift in consumer preferences can be attributed to a number of factors, including increasing health consciousness and a desire for products that align with a healthy lifestyle. As a result, non-alcoholic drinks such as bottled water, fruit juices, and energy drinks have become increasingly popular among Zambian consumers.

Trends in the market: One of the key trends in the Non-Alcoholic Drinks market in Zambia is the increasing popularity of bottled water. As access to clean drinking water remains a challenge in many parts of the country, consumers are turning to bottled water as a safe and convenient alternative. This trend is expected to continue in the coming years, with bottled water sales projected to grow steadily. Another trend in the market is the growing demand for fruit juices. Zambian consumers are increasingly seeking out natural and healthy beverages, and fruit juices provide a refreshing and nutritious option. This trend is driven by a combination of factors, including the availability of a wide variety of fruit juice flavors and the perception that fruit juices are a healthier alternative to carbonated drinks. Energy drinks have also gained popularity in Zambia, particularly among younger consumers. The demand for energy drinks is driven by the need for a quick energy boost, especially among individuals with busy lifestyles or those engaged in physical activities. This trend is expected to continue, as energy drinks become more widely available and marketed towards the younger demographic.

Local special circumstances: Zambia's growing middle class and urbanization have played a significant role in the development of the Non-Alcoholic Drinks market. As disposable incomes rise and more people move to urban areas, there is an increasing demand for convenience and a wider variety of beverage options. This has created opportunities for both local and international beverage companies to expand their presence in the market. Furthermore, Zambia's favorable climate for agriculture has led to an abundance of fresh fruits, which has contributed to the availability of locally produced fruit juices. This has not only boosted the domestic production of fruit juices but has also created opportunities for small-scale farmers and entrepreneurs to participate in the value chain.

Underlying macroeconomic factors: Zambia's stable economic growth and favorable investment climate have attracted foreign direct investment in the Non-Alcoholic Drinks market. This has led to increased competition among local and international players, resulting in a wider variety of products and improved quality. Additionally, the government's efforts to promote the manufacturing sector and support small and medium-sized enterprises have further contributed to the growth of the market. In conclusion, the Non-Alcoholic Drinks market in Zambia is experiencing significant growth due to changing consumer preferences, including a shift towards healthier beverage options. The market is characterized by the increasing popularity of bottled water, fruit juices, and energy drinks. Local special circumstances, such as the growing middle class and favorable agricultural conditions, have also contributed to the development of the market. Overall, the Non-Alcoholic Drinks market in Zambia is expected to continue growing in the coming years.

Data coverage:

The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:

Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on Non-Alcoholic Drinks, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Non-Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.