Market Trends of GCC Juice Industry
This section covers the major market trends shaping the GCC Juice Market according to our research experts:
The Changing Pattern of Beverage Consumption among Saudi Consumers
In Saudi Arabia, alcoholic beverages and advertising of energy drinks have been outlawed. Also, a partial ban on energy drink sales from certain facilities has been imposed. These factors are leading the soft drinks market to flourish in the country. The market's growth is further propelled by a hot climate and a large youth market attracted to western lifestyle products. The Saudi market has a significant number of characteristics for international investors that are of particular interest. In most markets, the alcoholic drink sector poses stiff competition to the soft drink sector, but alcohol is prohibited in Saudi Arabia, providing an advantage for the soft drink market. Furthermore, the regularity of rehydration due to the hot climate is one of the significant factors that has contributed to the growth of the beverage market in Saudi Arabia. At the expense of carbonated drinks, higher-value drinks such as 100% premium juice, followed by vitamin water and functional drinks, are expected to be the main growth drivers over the coming years.
Sales Through Supermarkets and Hypermarkets is Anticipated to Grow Significantly
The GCC Retail Industry is experiencing unprecedented change. More price-conscious customers are entering the market due to a growing share of immigration patterns and an active connection with media across all platforms. Furthermore, consumers are demanding personalization, value, experience, and convenience. Several large-scale malls and shopping centers with a destined section solely for supermarkets are currently under development in the GCC. The government and private players are investing in developing infrastructure to complement the growing population, a rising tourism sector, and increasing GDP per capita. The sales of juices through the retail e-commerce market in the GCC are expected to expand due to the increasing penetration of smartphones and social media platforms. Moreover, better access to secure payment gateways, along with gradual improvement in logistics capabilities, is increasing penetration levels resulting in the growth of the industry.
