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Fruit Juice Drink Manufacturing in Australia Industry Market Research Report Now Updated by IBISWorld
  • USA - English


News provided by

IBISWorld

May 01, 2014, 16:00 ET

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IBISWorld Market Research
IBISWorld Market Research

Marketing expenditure is expected to rise as producers attempt to draw attention to the nutritional benefits of their products

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Melbourne, Australia (PRWEB) May 02, 2014 -- Fluctuating fruit prices and a tighter retail environment have caused significant volatility in industry revenue over the past five years. Revenue for the Fruit Juice Manufacturing industry in Australia is forecast to grow only modestly, by 1.2% over the five years through 2013-14. However, revenue is expected to decline in 2013-14, falling by 0.7% to total $722.0 million. According to IBISWorld industry analyst Stephen Gargano, “while industry revenue has been supported by rising health consciousness, an uncertain consumer environment and rising competition from private labels has pushed revenue lower.”

Prior to the global financial crisis, revenue for producers of fruit juice and other beverages was growing significantly. “This performance was underpinned by soaring fruit prices being passed on to consumers, growing health consciousness and customer desire for convenience and premiumisation,” says Gargano. During 2008-09, sales of high-value fruit juice fell sharply, as a difficult retail environment and recessive global conditions led consumers to trade down to fruit drink, soft drink and private-label products. This trend persisted over the past five years, restraining revenue. Conditions in the Fruit Juice Drink Manufacturing industry are expected to improve slightly over the next five years, buoyed by a stronger economy, product innovation and ongoing demand for healthy, convenient beverages. With consumers working longer hours and leading busier lives, demand for single-serve beverages has grown. Increasing health consciousness has helped fruit juice capture a large share of this on-the-go market.

The industry is characterised by a high level of market share concentration. Significant players include Lion Pty Ltd, Asahi Holdings (Australia) Pty Ltd, Heinz Watties Pty Ltd and Coca-Cola Amatil Limited. The entry of two new Japanese major players - Kirin (through Lion) and Asahi - is expected to further boost industry production, innovations and competitiveness, leading to the introduction of new products. Rising health awareness and consumer demand for natural and quality products are expected to drive growth in chilled juice, premium fruit juice, organic products and beverages featuring exotic combinations of fruit and flavours. Consumers are expected to move towards premium, high fruit content drinks, turning away from high sugar soft drinks. Marketing expenditure is expected to rise as producers are expected to draw consumer attention to the health and nutritional benefits of industry products.
For more information, visit IBISWorld’s Fruit Juice Drink Manufacturing report in Australia industry page.

Follow IBISWorld on Twitter: http://twitter.com/#!/ibisworldau

IBISWorld industry Report Key Topics
Firms in this industry produce and bottle a wide range of still beverages, including fruit juice, fruit drink, cordials, iced tea and flavoured water.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
International Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Basis of Competition
Barriers to Entry
Industry Globalisation
Major Companies
Operating Conditions
Capital Intensity
Technology & Systems
Revenue Volatility
Regulation & Policy
Industry Assistance
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognised as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every Australian industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Melbourne, IBISWorld serves a range of business, professional service and government organisations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com.au or call (03) 9655 3886.

Gavin Smith, IBISWorld, http://www.ibisworld.com.au, +61 396553833, [email protected]

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