Soft Drinks - Algeria

The Soft Drinks market in Algeria has been experiencing significant growth in recent years. Customer preferences have shifted towards healthier beverage options, leading to an increase in demand for bottled water and natural fruit juices. Additionally, the introduction of new flavors and innovative packaging has also contributed to the growth of the market.

Customer preferences: Algerian consumers are increasingly becoming health-conscious and are seeking healthier beverage options. This has led to a shift in customer preferences towards bottled water and natural fruit juices. These beverages are perceived as healthier alternatives to carbonated soft drinks, which are often associated with high sugar content and artificial ingredients. As a result, sales of bottled water and natural fruit juices have been on the rise in the country.

Trends in the market: One of the key trends in the Soft Drinks market in Algeria is the introduction of new flavors and innovative packaging. Beverage companies are constantly launching new products with unique flavors to cater to the changing preferences of consumers. Additionally, companies are also investing in innovative packaging solutions to enhance the convenience and appeal of their products. For example, we have seen the introduction of resealable bottles and smaller pack sizes, which are more convenient for on-the-go consumption.

Local special circumstances: Algeria has a hot and arid climate, which has contributed to the high demand for soft drinks in the country. Soft drinks are often consumed as a way to quench thirst and provide refreshment in the hot weather. Additionally, the country has a young population, which is a key target market for soft drink companies. Young consumers are more likely to consume soft drinks on a regular basis, driving the demand for these beverages.

Underlying macroeconomic factors: The growth of the Soft Drinks market in Algeria can also be attributed to favorable macroeconomic factors. The country has experienced steady economic growth in recent years, which has led to an increase in disposable income levels. As a result, consumers have more purchasing power and are willing to spend on soft drinks. Furthermore, the urbanization and modernization of the country have also contributed to the growth of the market. As more people move to urban areas and adopt a more Westernized lifestyle, the demand for soft drinks has increased. In conclusion, the Soft Drinks market in Algeria is experiencing growth due to shifting customer preferences towards healthier options, the introduction of new flavors and innovative packaging, the local climate and demographics, as well as favorable macroeconomic factors. As the market continues to evolve, beverage companies will need to continue to adapt and innovate in order to meet the changing needs and preferences of Algerian consumers.

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.