Market Analysis of Smoothies Market Essay Example
Question 1 -Market analysis of smoothies market
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1.1 Market size of smoothies market
Based on Mintel’s research of UK volume and value sales of smoothies between 2003 and 2008 (referring to Appendix), Figure 1 shows the growth trends of quantity and value sales of smoothies during 2003 and 2008 in UK. As can be seen in Figure 1, sales of smoothies have kept in growth since 2003. The growth rate increased dramatically since 2004 till 2007. Between 2003 and 2007, value sales of smoothies increased by 424% and by 552% in volume growth. However, as the average price per litre for smoothies declined which in the result of new comers in smoothies market and economic downturn, the growth of both volume and value sales slowed down in 2008. (Mintel 2008)
Figure 1 : UK volume and value sales of smoothies, 2003-2008 Note: figures different from 2006 report due to the inclusion of made-to-order smoothies in this report | Source: Mintel(2008) | | | | | | | | | |
Combined the figures of volume and value sales in smoothies market from 2003 to 2008, Mintel predicted smoothies sales of the next five years after 2008 (referring to Appendix ), which shows that there still will be growth trends in both volume and value sales of smoothies, but with steady rates rather than spectacular.
1.2 Future Trends of smoothies Market
According to Mintel, market growth of smoothies will, significantly, be reliant on economic conditions. Under recession pressures, customers begin to cut back on the spending of buying non-essential food and drink items, and what’s important, consider healthy eating as a priority principle. This offer a challenge to smoothies manufacturers as smoothies can provide just what those cost-conscious need in terms of convenience, pleasure and high-value over other alternatives such as fruit juices or fresh fruit. (Mintel 2008)
A consumer
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1.1 Market size of smoothies market
Based on Mintel’s research of UK volume and value sales of smoothies between 2003 and 2008 (referring to Appendix), Figure 1 shows the growth trends of quantity and value sales of smoothies during 2003 and 2008 in UK. As can be seen in Figure 1, sales of smoothies have kept in growth since 2003. The growth rate increased dramatically since 2004 till 2007. Between 2003 and 2007, value sales of smoothies increased by 424% and by 552% in volume growth. However, as the average price per litre for smoothies declined which in the result of new comers in smoothies market and economic downturn, the growth of both volume and value sales slowed down in 2008. (Mintel 2008)
Figure 1 : UK volume and value sales of smoothies, 2003-2008 Note: figures different from 2006 report due to the inclusion of made-to-order smoothies in this report | Source: Mintel(2008) | | | | | | | | | |
Combined the figures of volume and value sales in smoothies market from 2003 to 2008, Mintel predicted smoothies sales of the next five years after 2008 (referring to Appendix ), which shows that there still will be growth trends in both volume and value sales of smoothies, but with steady rates rather than spectacular.
1.2 Future Trends of smoothies Market
According to Mintel, market growth of smoothies will, significantly, be reliant on economic conditions. Under recession pressures, customers begin to cut back on the spending of buying non-essential food and drink items, and what’s important, consider healthy eating as a priority principle. This offer a challenge to smoothies manufacturers as smoothies can provide just what those cost-conscious need in terms of convenience, pleasure and high-value over other alternatives such as fruit juices or fresh fruit. (Mintel 2008)
A consumer