Soft Drinks - Singapore

The Soft Drinks market in Singapore has been experiencing steady growth in recent years.

Customer preferences: Singaporeans have a strong preference for soft drinks, which has contributed to the growth of the market. Soft drinks are seen as refreshing and convenient beverages that can be enjoyed at any time. Additionally, the younger generation in Singapore has a higher disposable income and a desire for variety, leading to increased consumption of soft drinks.

Trends in the market: One of the key trends in the Soft Drinks market in Singapore is the growing demand for healthier options. Consumers are becoming more health-conscious and are seeking beverages that are low in sugar and calories. As a result, there has been a rise in the popularity of natural and organic soft drinks, as well as those that contain no artificial sweeteners or preservatives. This trend is driven by the increasing awareness of the negative health effects of excessive sugar consumption. Another trend in the market is the growing popularity of functional soft drinks. These beverages are formulated with added vitamins, minerals, or other ingredients that provide specific health benefits. Functional soft drinks cater to consumers who are looking for more than just a refreshing beverage and are willing to pay a premium for the added benefits.

Local special circumstances: Singapore is a highly urbanized country with a fast-paced lifestyle. This has led to an increased demand for on-the-go and convenience products, including soft drinks. Consumers in Singapore often opt for ready-to-drink beverages that can be easily consumed while on the move or during their busy work schedules.

Underlying macroeconomic factors: The growth of the Soft Drinks market in Singapore can also be attributed to the country's strong economy and high disposable income levels. Singapore has a high standard of living and consumers are willing to spend on indulgences such as soft drinks. Additionally, the tourism industry in Singapore plays a significant role in driving the demand for soft drinks, as tourists often seek familiar and refreshing beverages during their visits. In conclusion, the Soft Drinks market in Singapore is experiencing growth due to customer preferences for refreshing and convenient beverages, as well as the increasing demand for healthier and functional options. The local special circumstances of Singapore's urbanized and fast-paced lifestyle contribute to the popularity of soft drinks as on-the-go and convenience products. The country's strong economy and high disposable income levels also play a role in driving the demand for soft drinks.

Data coverage:

The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:

Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on Non-Alcoholic Drinks, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Non-Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.