Coca-Cola Amatil ‘right on trend’ with Indonesia Minute Maid flavors

By Ben BOUCKLEY contact

- Last updated on GMT

Related tags: Coffee

Coca-Cola Amatil ‘right on trend’ with Indonesia Minute Maid flavors
Still drinks continue to attract new consumers in Indonesia and Coca-Cola Amatil was smart to expand its Minute Maid range with new flavour variants there last year, Canadean insists.

Sold at lower prices than juices and nectars, still drinks appeal in the country due to new flavors and distinctive attributes such as pulpy bits, which the market research firm says – in its new Indonesia soft drinks market report – consumers believe hold health benefits.

Thus, Coca-Cola Amatil was “right on trend”​ to launch new Minute Maid variants with Pulpy Lemon and O’Mango flavors, Canadean adds.

Green tea gains ‘mainstream momentum’

Soft drinks – including water, but excluding bulk or home office deliveries thereof – corner over two-thirds of the commercial beverage market in Indonesia, and the market research firm predicts that the market will “be flooded with products in the coming years”​ as it grows further.

Given hot tea’s status as a classical Indonesian drink, brandowners are pushing to enter a market characterised by consumer choice – mainstream momentum for green tea means that ‘mid-range’ brands such as Frestea (Coca-Cola) offer this ingredient.

While juice saw rapid 2012 growth due to a healthy image – one well-known brand is Buavita from Unilever – Canadean says further progress in juice was limited by lack of chilled distribution facilities.

But dairy drinks volumes are growing rapidly – maintaining a 4-5% share of commercial beverage sales – Canadean said, while moves by major player like Nestlé to expand production “shows long-term confidence in market prospects”.

Health awareness drives water sales

Finally, packaged water is the largest beverage category in Indonesia, according to Canadean, and growth is set to increase given consumer demands for low cost, safe drinking water.

Water demand is due to greater health awareness and the lack of potable tap water, Canadean explains, while other strong performing categories in 2012 include iced/RTD tea drinks, still drinks and carbonates.

“These three categories all feature packaging in non-refillable polypropylene (PP) cup format, which is finding favor due to its practicality and low production costs,”​ Canadean says.

“This translates into lower sales prices for consumer and the success of the PP cup has also driven stronger sales of the smaller iced/RTD coffee drinks category,”​ the firm adds.

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