• Login
    • Join
  • FOLLOW:
  • Subscribe Free
    • Magazine
    • eNewsletter
    Checkout
    • Magazine
    • News
    • Exclusives
    • Nutraceuticals
    • Markets
    • Health
    • Jobs
    • Events
    • Buyers' Guide
    • Showcases
    • More
  • Magazine
  • News
  • Exclusives
  • Nutraceuticals
  • Markets
  • Health
  • Jobs
  • Events
  • Buyers' Guide
  • Showcases
  • Current & Past Issues
    Features
    Columns
    Editorials
    Digital Edition
    Subscribe Now
    Advertise Now
    eNewsletter
    Editorial Guidelines
    Top Features
    Contract Manufacturing: Trials & Tribulations of Today’s Supply Chains

    Analytical Testing in Nutraceuticals: Methods and Mindsets to Uphold Quality

    Nutrition and Flavor: Formulating for Modern Product Preferences

    What Do Consumers Know About the Gut Microbiome?

    How Will the European Green Deal Impact Dietary Supplements?
    Breaking News
    Certifications, Approvals and Patents
    Exclusives
    Industry & Market News
    People
    Products
    Regulatory
    Research
    Supplier News
    Supplier Insights
    Live From Shows
    Top News
    3i Solutions Announces New Leadership Positions

    INS Nutra Opens Gummy Manufacturing Facility

    Vital Nutrients Launches First Vegan Omega Supplement with SPMs

    Earth Mama Organics Achieves 'Plastic Neutral' Certification

    TopGum Gummies Receives USDA Organic Certification
    Exclusives
    Blogs & Guest Articles
    Health E-Insights
    Area Code 420
    eBook
    Antioxidants
    Dairy-Based Ingredients
    Enzymes
    Fatty Acids
    Fiber & Carbohydrates
    Green Foods
    Herbs & Botanicals
    Marine Nutraceuticals
    Minerals
    Omega 3s
    Probiotics & Prebiotics
    Proteins, Peptides, Amino Acids
    Sweeteners
    Vitamins

    Vital Nutrients Launches First Vegan Omega Supplement with SPMs

    Bill Chioffi Joins Nammex as Chief Strategy and Innovation Officer

    FDA Issues ‘No Questions’ Letter for Chiber Mushroom Fiber Preservative

    VITAL Ancillary Study Finds No Link Between Vitamin D and Bone Fracture Risk

    FDA Issues Final Guidance on NAC Supplements
    Consumer Trends
    Contract Manufacturing
    Cosmeceuticals / Nutricosmetics
    Delivery & Dosage Technologies
    Dietary Supplements
    Flavors & Colors
    Functional Foods & Beverages
    Healthcare Trends
    Medical Nutrition
    Mergers & Acquisitions
    Natural/Organic
    Nutrition Bars
    Packaging
    Pet Nutraceuticals
    Quality & Safety
    Regulations
    Research
    Testing
    World Markets

    3i Solutions Announces New Leadership Positions

    INS Nutra Opens Gummy Manufacturing Facility

    Vital Nutrients Launches First Vegan Omega Supplement with SPMs

    Earth Mama Organics Achieves 'Plastic Neutral' Certification

    TopGum Gummies Receives USDA Organic Certification
    Bone & Joint Health
    Cancer Risk
    Cardiovascular Health
    Cognitive Function
    Diabetes & Blood Sugar Management
    Digestive Health
    Energy
    Eye Health
    Healthy Aging
    Immune Function
    Infant & Children's Health
    Inflammation
    Men's Health
    Mood Health & Sleep
    Oral Health
    Sexual & Reproductive Health
    Skin Health
    Sports Nutrition
    Weight Management/Weight Loss
    Women's Health

    Vital Nutrients Launches First Vegan Omega Supplement with SPMs

    VITAL Ancillary Study Finds No Link Between Vitamin D and Bone Fracture Risk

    Krill Oil Study Provides Evidence of Osteoarthritis Benefits

    Immunobiotic Heat-Killed Bacteria Linked to Skin Benefits

    Folic Acid Appears Beneficial in Type 2 Diabetes
    Industry Events
    Live From Show Events
    Webinars
    All Companies
    Categories
    Trade Associations
    Company Capabilities
    International Buyers Guide Companies
    PhytoGaia Inc

    KLK OLEO

    Nutrition21, LLC

    Sabinsa Corporation

    Xsto Solutions
    Companies
    Product Releases
    News Releases
    Literature / Brochures
    White Papers
    Jobs
    VIdeos
    Services
    Add New Company
    International Buyers Guide Companies
    PhytoGaia Inc

    KLK OLEO

    Nutrition21, LLC

    Sabinsa Corporation

    Xsto Solutions
    • Magazine
      • Current / Back Issue
      • Features
      • Editorial
      • Columns
      • Digital Edition
      • eNewsletter Archive
      • Editorial Guidelines
      • Subscribe Now
      • Advertise Now
    • Breaking News
    • Buyers' Guide
      • All Companies
      • Categories
      • Trade Associations
      • Company Capabilities
    • Nutraceuticals
      • Antioxidants
      • Dairy-Based Ingredients
      • Enzymes
      • Fatty Acids
      • Fiber & Carbohydrates
      • Green Foods
      • Herbs & Botanicals
      • Marine Nutraceuticals
      • Minerals
      • Omega 3s
      • Probiotics & Prebiotics
      • Proteins, Peptides, Amino Acids
      • Sweeteners
      • Vitamins
    • Markets
      • Consumer Trends
      • Contract Manufacturing
      • Cosmeceuticals / Nutricosmetics
      • Delivery & Dosage Technologies
      • Dietary Supplements
      • Flavors & Colors
      • Functional Foods & Beverages
      • Healthcare Trends
      • Medical Nutrition
      • Mergers & Acquisitions
      • Natural/Organic
      • Nutrition Bars
      • Packaging
      • Pet Nutraceuticals
      • Quality & Safety
      • Regulations
      • Research
      • Testing
      • World Markets
    • Health
      • Bone & Joint Health
      • Cancer Risk
      • Cardiovascular Health
      • Cognitive Function
      • Diabetes & Blood Sugar Management
      • Digestive Health
      • Energy
      • Eye Health
      • Healthy Aging
      • Immune Function
      • Infant & Children's Health
      • Inflammation
      • Men's Health
      • Mood Health & Sleep
      • Oral Health
      • Sexual & Reproductive Health
      • Skin Health
      • Sports Nutrition
      • Weight Management/Weight Loss
      • Women's Health
    • Online Exclusives
    • Webinars
    • Slideshows
    • Blogs & Guest Articles
    • Health E-Insights
    • Videos
    • Podcasts
    • Infographics
    • eBook
    • Whitepapers
    • Research
      • TrendSense
      • Monograph Center
      • White Papers
      • Research News
    • Jobs
    • Events
      • Industry Events
      • Live From Show Events
      • Webinars
    • Supplier Showcases
      • Companies
      • Product Releases
      • News Releases
      • Literature / Brochures
      • White Papers
      • Jobs
      • VIdeos
      • Services
    • About Us
      • About Us
      • Contact Us
      • Advertise With Us
      • Privacy Policy
      • Terms of Use
    Blog

    Private Label Healthy Beverages Fare Well

    Global sales of private label beverages saw a net increase of $2 billion over 2011-2015, per Euromonitor.

    Private Label Healthy Beverages Fare Well
    Private Label Healthy Beverages Fare Well
    Related CONTENT
    • Lang Pharma Nutrition Receives MSC’s 2021 U.S. Ocean Champion Award
    • Future Crops Announces New Investment Round, Led by Tencent
    • Gelita To Showcase Collagen Peptides, Gelatin at Natural Products Expo West
    • Arla Foods Ingredients Positions to Support Organic Infant Formula
    • Mintel Highlights New Product Trends and Consumer Research
    Hope Lee, Senior Beverages Analyst, Euromonitor International12.06.16
    There has been plenty of discussion about how mainstream brand owners build a portfolio of health and wellness (HW) foods and beverages. To ensure a share of consumers' health and wellness spend, private label suppliers are also making an effort to explore HW, and have achieved success in some categories. As consumers chase the buzz around HW claims, retailers introduced their own healthy ranges, avoiding or mitigating being looked down on as the old image of "cheap and nasty." This piece attempts to highlight a few key points in private label sales of HW beverages, with emphasis on the development in Western Europe and the U.S., sourcing data from Euromonitor International's soft drinks, health and wellness and retailing databases.
     
    A Phenomenon in Developed Markets
    Globally, private label continues to be a phenomenon in developed markets. Using soft drinks as an example, according to Euromonitor International's Soft Drinks database, overall private label soft drinks accounted for around 8% of off-trade volume sales globally in 2015—around 24% in Western Europe, and just 0.5% in Latin America. This regional difference is closely linked to the stage of development of the retail environment in a given market. In developed markets like Germany, for example, retailers are very powerful and the retailing industry is highly consolidated, with modern grocery retailers accounting for more than 78% of retail volume sales of soft drinks. These retailers and their contract manufacturers have established experience, capacity and the whole supply chain to market and promote private label. In terms of market share, private label soft drinks sales in Germany accounted for 43% of off-trade volume in 2015. By sharp contrast, in China, independent small grocers continue to contribute 39% of retail volume sales, while private label has no presence, with little awareness of the concept.
     
    Potential for Naturally Healthy Beverages
    From a HW perspective, global sales of private label beverages saw a net increase of $2 billion over 2011-2015, with Naturally Healthy (NH) beverages contributing to over 80% of the absolute growth; there were few changes in private label market shares though. Regarding the mainstream brand owners, The Coca-Cola Company, PepsiCo and Nestlé saw incremental losses in shares in HW beverages, while Danone, Red Bull and Monster managed to make share gains in the same period, offering products in strong growth categories, such as functional bottled water and energy drinks.
     
    Regionally, North America's private label NH beverages were the driving force, increasing by around $800 million over 2011-2015. In the U.S., the general interest in all things naturally healthy has forced not only branded owners but also private label producers to compete on their degree of healthiness; NH spring bottled water, NH superfruits and plant-based water are attracting consumers' attention. Private label better-for-you (BFY) beverages, particularly reduced sugar carbonates, saw a huge decline in sales over the past few years. It is noted that when consumers reduced their consumption of branded reduced sugar carbonates, they also cut down purchasing private label variants. That said, consumers value the health aspect of a drink over the "money saving" notion; this should be alarming for private label producers as "value" is the cornerstone of private label. Health benefits of a product are a deciding purchasing factor in this context. Our field HW analyst stated that "fundamental changes in Americans' perceptions of what and how foods and drinks should be consumed will allow the naturally healthy beverages landscape a tremendous opportunity for development and growth in the years to come."
     
    U.K.’s Private Label Healthy Range
    In light of the huge potential for growth, abundant investments in new beverages or experimental beverages are evident. Private label producers need to compete with both start-ups and mainstream brand owners to create their version of a healthier beverage, often at a higher unit price than standard variants. Although HW drinks are priced higher, many consumers are still willing to spend marginally more for a product that pushes the boundaries, making it a worthwhile proposition for manufacturers to produce more naturally healthy beverages. Private label producers will need to diversify their HW category offerings to fill the shelves.
     
    To satisfy consumers' needs and attract attention, in the U.K., some retailers have designed their own HW ranges of foods and beverages to compete with branded players and their retailing counterparts. The list of such ranges is long and includes Waitrose's Love Life, Marks & Spencer's Count on Us, and Tesco's Healthy Living. It is reported that products carrying Waitrose's LOVE Life logo achieved very good sales growth since its launch in 2011. Private label was able to maintain its appeal to consumers, however, and in Western Europe, private label accounted for nearly one third of the value sales of HW juice and 21% of HW coffee in 2015.
     
    Organic Booming
    Interestingly, while organic beverages are not yet a key offering for many branded manufacturers for various reasons, retailers are actively developing organic ranges. In North America, private label sales of organic beverages outpaced FF and BFY variants over 2011-2015, albeit from a relatively low base. However, as brand owners enter the organic field, the share of private label organic beverages appeared to be squeezed from 13% in 2011 to 11% in 2015.
     
    Coca-Cola has the organic brands Honest Tea and Suja juice via previous acquisitions. Danone is poised to acquire WhiteWave. PepsiCo launched G Organic (USDA certified) at select Kroger supermarkets. The sports drink is made with just seven ingredients: water, organic cane sugar, citric acid, organic natural flavor, sea salt, sodium citrate and potassium chloride. Euromonitor International's HW database shows that organic beverages in the U.S. are set to grow around $300 million over 2016-2021, suggesting great business potential for brand owners and private label suppliers.
     
    Recently, Aldi announced that as of Jan. 1 2017, it will be removing eight pesticides from all products on its U.S. stores shelves to rival Whole Foods. According to Euromonitor International's Retailing database, the German discounter had 1,375 outlets in the U.S. in 2015, with $9 billion in sales (excluding sales tax). The company is planning to open 500 more by 2018. Aldi as a major discounter, so widening its organic range would help to increase revenue, while driving the organic movement. Thus, private label suppliers are not always left playing catch up, and in organic beverages they are actually progressing well.
     

    For further insight, contact Hope Lee, senior beverages analyst at Euromonitor International, at hope.lee@euromonitor.com; www.euromonitor.com.
    Related Searches
    • Natural/Organic
    • Functional Foods & Beverages
    • Healthcare Trends
    • Consumer Trends
    Related Knowledge Center
    • Healthcare Trends
    • Consumer Trends
    • Functional Foods & Beverages
    Suggested For You
    Lang Pharma Nutrition Receives MSC’s 2021 U.S. Ocean Champion Award Lang Pharma Nutrition Receives MSC’s 2021 U.S. Ocean Champion Award
    Future Crops Announces New Investment Round, Led by Tencent Future Crops Announces New Investment Round, Led by Tencent
    Gelita To Showcase Collagen Peptides, Gelatin at Natural Products Expo West Gelita To Showcase Collagen Peptides, Gelatin at Natural Products Expo West
    Arla Foods Ingredients Positions to Support Organic Infant Formula Arla Foods Ingredients Positions to Support Organic Infant Formula
    Mintel Highlights New Product Trends and Consumer Research Mintel Highlights New Product Trends and Consumer Research
    Consumer Confidence Bounces Back: Pet Parents Increase Spending on Animals Consumer Confidence Bounces Back: Pet Parents Increase Spending on Animals
    Kerry Reaches Agreement to Sell Consumer Foods’ Meats and Meals business to Pilgrim’s Pride Kerry Reaches Agreement to Sell Consumer Foods’ Meats and Meals business to Pilgrim’s Pride
    Nestlé to Acquire Bountiful Company Brands for $5.75 Billion Nestlé to Acquire Bountiful Company Brands for $5.75 Billion
    Star Manufacturing Launches Organic Delivery Systems Star Manufacturing Launches Organic Delivery Systems
    Consumers Looks for Ease of Use, Security in Supplement Packaging Consumers Looks for Ease of Use, Security in Supplement Packaging
    Organic Foods Found in 80% of U.S. Households Organic Foods Found in 80% of U.S. Households
    MusclePharm Launches Natural Series MusclePharm Launches Natural Series
    Hain Celestial Features 75 New Natural Products Hain Celestial Features 75 New Natural Products
    SAMBAZON Expands Product Lineup with Indulgent Acai Bites SAMBAZON Expands Product Lineup with Indulgent Acai Bites
    Blueberries May Improve Cognition in Older Adults Blueberries May Improve Cognition in Older Adults

    Related Breaking News

    • Breaking News | Dietary Supplements | Omega-3s | Supplier News | World Markets
      Lang Pharma Nutrition Receives MSC’s 2021 U.S. Ocean Champion Award

      Lang Pharma Nutrition Receives MSC’s 2021 U.S. Ocean Champion Award

      The daughter company of Aker BioMarine provides over 70 Marine Stewardship Council-certified items.
      06.16.22

    • Breaking News | Green Foods | Herbs & Botanicals | Industry & Market News | Natural/Organic | World Markets
      Future Crops Announces New Investment Round, Led by Tencent

      Future Crops Announces New Investment Round, Led by Tencent

      The vertical farm system seeks to reshape agriculture with high-yield crops.
      03.14.22

    • Bone & Joint Health | Breaking News | Contract Manufacturing | Proteins, Peptides, Amino Acids | Skin Health | Supplier News
      Gelita To Showcase Collagen Peptides, Gelatin at Natural Products Expo West

      Gelita To Showcase Collagen Peptides, Gelatin at Natural Products Expo West

      The company will discuss the potential of its products in condition-specific formulas and various delivery systems.
      03.07.22


    • Breaking News | Dairy-Based Ingredients | Infant & Children's Health | Supplier News
      Arla Foods Ingredients Positions to Support Organic Infant Formula

      Arla Foods Ingredients Positions to Support Organic Infant Formula

      Demand for organic whey and lactose has outpaced supply, but Arla said its ‘milk-to-can’ approach can bridge a market gap.
      02.22.22

    • Breaking News | Consumer Trends | Flavors & Colors | Healthcare Trends | Industry & Market News
      Mintel Highlights New Product Trends and Consumer Research

      Mintel Highlights New Product Trends and Consumer Research

      Lynn Dornblaser discussed consumer need for control, experimentation, and climate complexity at a NYIFT meeting.
      By Mike Montemarano, Associate Editor 02.07.22

    Loading, Please Wait..
    Trending
    • First Day Life Shuts Down Children's Behavioral, Cognitive Health Claims Following Challenge
    • Study Examines Vitamin K2 Content In Cheese
    • Pycnogenol Evidenced To Have Skin Benefits In Dermatology Study
    Breaking News
    • 3i Solutions Announces New Leadership Positions
    • INS Nutra Opens Gummy Manufacturing Facility
    • Vital Nutrients Launches First Vegan Omega Supplement with SPMs
    • Earth Mama Organics Achieves 'Plastic Neutral' Certification
    • TopGum Gummies Receives USDA Organic Certification
    View Breaking News >
    CURRENT ISSUE

    July/August 2022

    • A Growing Herbal Products Market Still Faces Formidable Threats, Challenges
    • Analytical Testing in Nutraceuticals: Methods and Mindsets to Uphold Quality
    • Nutrition and Flavor: Formulating for Modern Product Preferences
    • Contract Manufacturing: Trials & Tribulations of Today’s Supply Chains
    • How Will the European Green Deal Impact Dietary Supplements?
    • What Do Consumers Know About the Gut Microbiome?
    • View More >

    Cookies help us to provide you with an excellent service. By using our website, you declare yourself in agreement with our use of cookies.
    You can obtain detailed information about the use of cookies on our website by clicking on "More information”.

    • About Us
    • Privacy Policy
    • Terms And Conditions
    • Contact Us

    follow us

    Subscribe
    Nutraceuticals World

    Latest Breaking News From Nutraceuticals World

    3i Solutions Announces New Leadership Positions
    INS Nutra Opens Gummy Manufacturing Facility
    Vital Nutrients Launches First Vegan Omega Supplement with SPMs
    Coatings World

    Latest Breaking News From Coatings World

    ICP Building Solutions Group Names Sami Rahman New Chief Commercial Officer
    Tnemec Introduces Series 21 Epoxoline
    Make UK Defence Collaborates with HMG Paints
    Medical Product Outsourcing

    Latest Breaking News From Medical Product Outsourcing

    MPO's Most-Read Stories This Week—Aug. 6
    Ampersand Capital Partners Invests in Sterling Medical Devices
    ICG Acquires Seaway Plastics Engineering
    Contract Pharma

    Latest Breaking News From Contract Pharma

    Datwyler to Double Capacity at Production Ops in Pune
    Thorne HealthTech, AstraZeneca Entend AI Discovery Alliance
    Aptar Pharma Acquires Worldwide Rights to Pharmaxis’ Orbital Inhaler
    Beauty Packaging

    Latest Breaking News From Beauty Packaging

    Alicia Keys Introduces Keys Soulcare’s First SPF Skincare Offering
    Kylie Gets Backlash for Makeup Lab Photo Shoot
    Redken Celebrates Hair Gloss Day
    Happi

    Latest Breaking News From Happi

    CEO Named at Ourself, Ulta Beauty’s Digital Investment Fund, Spate Insight
    UK Society of Cosmetic Scientists Launches New Introduction to Cosmetic Science
    Metallic Eyeshadow, Body Glitter and Glow Blush Top Latest Beauty Searches: Spate
    Ink World

    Latest Breaking News From Ink World

    Weekly Recap: Zeller+Gmelin, Epple Druckfarben Lead This Week’s News Stories
    A-Flex Label Adds Epson SurePress UV Digital Label Press
    Ball Announces 2Q 2022 Results
    Label & Narrow Web

    Latest Breaking News From Label & Narrow Web

    FLAG to hold roundtable event at Labelexpo Americas
    Premier Packaging expands, Resource Label promotes culture and more
    Labelink acquires Taylor Label and The Label Factory
    Nonwovens Industry

    Latest Breaking News From Nonwovens Industry

    Weekly Recap: A New Day for Hygiene, Glatfelter Reports Q2 Results & More
    Dyper Achieves B Corp Certification
    Edgewell’s Sales Grow
    Orthopedic Design & Technology

    Latest Breaking News From Orthopedic Design & Technology

    ODT's Most-Read Stories This Week—Aug. 6
    Spineology Releases Endoscopic, Single-Tubular Retractor Fusion System
    GreenBone Signs Distribution Agreement for its Regenerative Scaffold
    Printed Electronics Now

    Latest Breaking News From Printed Electronics Now

    Weekly Recap: STMicroelectronics, NextFlex and onsemi Top This Week’s Stories
    Zebra Technologies Reports 2Q 2022 Results
    InnovationLab Demonstrates New PCB Production Method Based on Additive Manufacturing

    Copyright © 2022 Rodman Media. All rights reserved. Use of this constitutes acceptance of our privacy policy The material on this site may not be reproduced, distributed, transmitted, or otherwise used, except with the prior written permission of Rodman Media.

    AD BLOCKER DETECTED

    Our website is made possible by displaying online advertisements to our visitors.
    Please consider supporting us by disabling your ad blocker.


    FREE SUBSCRIPTION Already a subscriber? Login