African drink trends are driven by innovation and culture. From the cherished rituals of traditional tea and coffee to the emerging popularity of carbonated soft drinks and fruit juices. The African beverage market is evolving rapidly, due to changing consumer preferences and the impact of various socio-economic factors.
Representing some of the world’s best-loved FMCG and trademark brands, Smollan provides a glimpse into Africa’s dynamic beverage consumption landscape – the driving forces and cultural significance they hold.
Multiple factors determine evolving drink consumption patterns in Africa. Economic growth has led to a growing middle class with greater purchasing power, allowing consumers to discover a wider range of choices. The influence of social media and exposure to global trends has also played a vital role as consumers are now more aware of new products and flavours. In addition, Africa’s cultural diversity has resulted in a mosaic of preferences, with regional variations driving drink consumption trends.
Rich and robust teas, from Kenyan purple to North African mint and red rooibos in the south, are conquering a unique market with deep African roots, steeped in ancient traditions and rituals. According to a recent report by Mordor Intelligence, this market is expected to reach a CAGR of 5.5% between 2022 and 2027. Similarly, coffee has a deeply rooted space, from the cultural significance of the Ethiopian coffee ceremony to the birth of cafe culture in countries such as Kenya, one of the world’s most prolific producers, and Morocco with Arabic coffee as the national drink. Africa is certainly holding its own – from gaining recognition for their superlative teas to robust coffee production and rising consumption levels. These drinks go beyond mere flavors and act as social lubricants, fostering community bonds and embodying the spirit of hospitality.
Similarly, with a global fruit juice market valued at $147.5 billion by 2022 according to IMARC Group, Africa is a significant contributor to this growing sector, with brands such as Nigerian Chivita 100%, a “no added sugar, no preservatives and no artificial colors or flavours” – recently named Brand of the Decade at the West African Brand Awards. While further south, Ceres fruit juices are widely consumed in Africa and imported into over 80 countries with the US being their largest market.
Global beverage giants have been keenly observing the continent’s huge potential and investing in expanding their presence – for example, as evidence of the surge in carbonated soft drink consumption. Local bottling plants and efficient distribution networks have been established, making these drinks easily accessible to a wider population. Urbanization, improved living standards and rising disposable incomes have significantly boosted African consumers’ rising demand for these types of beverages. Similarly, the emergence of locally manufactured brands that offer quality taste at a fraction of the price has created a competitive environment for global brands.
Warren Brett Cluster Executive, SEA Region, Smollan Tanzania said: “The fusion of traditional and international beverages reflects the dynamic nature of African consumption, with a blend of cherished heritage on the one hand and innovation on the other. We are seeing large-scale growth in multiple markets, with Coca-Cola and Pepsi in the carbonated sector, and Diageo, Heineken and ABInbev driving the growth of alcoholic beverages.”
Alcoholic beverages feature prominently in African culture and are enjoyed during social gatherings and celebrations. Traditional drinks such as Nigerian palm wine, sorghum beer from Zambia and tchapalo millet beer from Ivory Coast have been cherished across the continent for centuries. With globalization and urbanization at play, Western alcoholic beverages including beer and spirits have entered the market. “Manufacturing is generally done locally, and while they have the power of that and brand building on their side, we bring in the expertise to deliver execution through enabled technology. Ultimately creating a line of sight for the decision makers to run the business around sustainable volumes and low margins. An evolving, dynamic landscape that aims to keep us focused with a long-term view in mind, and that really drives us,” said Brett.
Distributed by APO Group on behalf of Smollan.
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