Germany leads Europe in flavoured and functional waters

Germany sold more than twice the flavoured and functional water volume of any other country in West Europe during 2007, according to global drinks consultancy Zenith International. In a dedicated new report, Zenith estimates that Germany also accounted for 68% of overall consumption growth.

"One of the reasons behind Germany's continued success is the ability of its key players to meet consumer demand for innovative products and packaging, particularly in the functional arena", commented Zenith Market Intelligence Director Gary Roethenbaugh. "It has the considerable advantage of a broad and receptive customer base. Mineral water's attractions are firmly established there and the country was one of the earliest adopters of enhanced water concepts."

Following several years of double digit growth, however, West Europe's flavoured and functional water market only grew by 3.7% in volume and 3.3% in value last year. According to Zenith, flavoured and functional variants are likely to continue outperforming plain bottled water in West Europe as more people seek tastier alternatives to plain bottled water and healthier alternatives to soft drinks. Some brands are repositioning their soft drinks as flavoured water products, while others are now promoting sodas, lemonades and soft drinks on the basis of a strong bottled water tradition.

Forecasts prepared for the 2008 Zenith Report on West Europe Flavoured and Functional Water are predicting compound annual growth of 14% over the next six years. The current top three national markets of Germany, the United Kingdom and France are forecast to hold their positions. Spain was the fastest growing flavoured and functional water market in 2007 and is likely to push Austria out of fourth place.

The 2008 Zenith Report on West Europe Flavoured and Functional Water contains over 200 pages of charts, tables and analysis, with 16 country sections, a round-up of market developments since 2002 and ingredient information on amino acids, peptides, proteins, dietary fibres, probiotics, herbs, minerals, phytochemicals and vitamins. Contact Zenith International on tel +44 (0)1225 327900 or e-mail info@zenithinternational.com

Notes for Editors

1. Zenith International's definition of flavoured water includes sweetened and unsweetened mineral, spring or purified water with natural or synthetically manufactured flavourings. Flavoured functional waters include added ingredients such as botanicals, vitamins, minerals and oxygen with the aim of improving general health and wellbeing or for a specific purpose.

2. For further information, please contact:

Gary Roethenbaugh, Zenith International Ltd
7 Kingsmead Square, Bath BA1 2AB, United Kingdom
t +44 (0)1225 327900, f +44 (0)1225 327901
zenithinternational.com