SA SPORTS AND ENERGY DRINKS

INDUSTRY LANDSCAPE REPORT

COMPILED: JUNE/JULY 2017

REPORT OVERVIEW

For the Global Sports and Energy Drinks Industry Section:

What are the current market dynamics of the global Sports and Energy Drinks industry?

What are the global Sports and Energy Drinks industry trends, drivers, and restraints?

For the South African Sports and Energy Drinks Industry Section:

What are the current market dynamics of the SA Sports and Energy Drinks industry?

What are the South African Sports and Energy Drinks industry trends, drivers and restraints?

Who are the key manufacturing players in the SA Sports and Energy Drinks industry?

For the South African Retail and Pricing Analysis Section:

Who are the key retail players in the SA Sports and Energy Drinks industry?

What are the prices of popular Sports and Energy Drinks brands across South African retail outlets?

What is the sugar contents of popular Sports and Energy Drinks in South Africa?

In terms of South African Consumer Insights and Trends:

What are the latest consumer and consumption trends?

What are the Sports and Energy Drinks consumer profile trends (2011-2015)? Gender, Age, Life Stage,

LSM, Household Income, Home Language and Province.

SOME KEY QUESTIONS THE REPORT WILL HELP YOU TO ANSWER:

The South African Sports and Energy Drinks Landscape Report (125 pages) provides a dynamic

synthesis of industry research, examining the local and global Sports and Energy Drinks industry from a

uniquely holistic perspective, with detailed insights into the entire value chain – from manufacturing to retail,

pricing analysis and consumption.

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SCREENSHOTS FROM REPORT

125 page report filled with detailed charts, graphs, tables and insights

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Sports Drinks aim to serve as water, or

an energy provider, during or after

demanding physical exercise. They

usually contain a mix of water and

carbohydrates and are fortified with

electrolytes.

The market segmentation of Sports Drinks is

segmented into isotonic, hypotonic &

hypertonic which are categorized for the

higher or lower concentrations similar to the

human body. Among the various product

types, the isotonic segment held the largest

share in the global Sports Drinks market in

2015.

The major companies operating in the global

Sports Drinks market include Glanbia Plc,

PepsiCo Inc., The Coca Cola Company,

Monster Beverage Company, ClifBar, and

MusclePharm Corporation.

Currently, Gatorade controls 70% of the US

Sports Drinks market (the leading global

region), but by producing an organic brand, it

hopes to cash in on a growing demand for

foods considered to be more natural and free

of additives, pesticides and artificial

ingredients seen as harmful.

The graph below depicts the sales volume of

Sports Drinks worldwide in 2016 and provides a

forecast for 2017. In 2016, the global sales volume

of Sports Drinks amounted to some 11.2 billion

litres.

11.24

11.57

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11.1

11.2

11.3

11.4

11.5

11.6

11.7

2016 *2017

Sale

s v

olu

me in b

illio

n litre

s

GLOBAL SALES VOLUME OF SPORTS DRINKS IN 2016 AND

FORECAST FOR 2017 (IN BILLION LITRES)

SAMPLE FROM REPORT GLOBAL INDUSTRY OVERVIEW: SPORTS DRINKS MARKET

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Continuous Innovations & New

Products

New and innovative products are regularly

entering the Sports and Energy Drinks

market in an effort to attract the increasing

number of consumers looking for a healthy

energy boost.

A recent new player is Go Amplified

Caffeinated Water. This caffeinated beverage

was specifically designed for consumers

seeking an energy “kick” (without the

inevitable crash), along with purity (no

artificial ingredients) and functionality.

It is hoped that this product (containing no

sugar and calories) will help with the fight

against obesity in the country.

“Originally developed for the U.S. military to give

the troops a lift when they needed it most, while

also ensuring they remained hydrated, we saw the

retail potential for this product and decided to

bring the concept to our domestic market and

launch as a healthy, active lifestyle brand, giving

our consumers an additional option when looking

for a boost.”

- Jan Strydom, Go Co-founder

Major Energy Drinks manufacturers, such as

Lucozade, have recently introduced sugar-free

options of their most popular flavoured drinks.

Launched towards the end of 2016, Lucozade

Zero (available in two flavours, namely Orange

and Pink Lemonade) contain less than 1-2g of

sugar per 250ml serving.

SAMPLE FROM REPORT SA INDUSTRY MARKET TRENDS

Turnover for Massmart amounted to R91.6 billion

for the 52 weeks ended 25 December 2016, which

is an increase of 7.9% compared to R84.9 billion

in 2015.

In August 2016, a pricing analysis was conducted

with the retail chains below, who were compared

with respects to their baking ingredients,

beverages, cereals and porridge, and staples.

R639.07

R641.11

R663.40

R664.48

R666.20

R687.84

R0.00 R200.00 R400.00 R600.00 R800.00

Makro

Pick n Pay

Shoprite

Checkers

Woolworths Food

Spar

BASKET OF GOODS PRICING ANALYSIS: 2016

South Africa’s biggest food retail

chains have experienced growth in

sales, despite economic adversities and

the devastating drought.

A big focus in 2017 will be on understanding

the evolution of the customer’s journey to

purchase, and brand building efforts will

reach key touch points and become

personalized on a mass scale.

For the 52 weeks ending 26 February 2017,

Pick n Pay delivered a turnover of R77.5

billion (a growth of 7% compared to R72.4

billion in 2016).

For the six months to December 2016, the

Shoprite Group increased total turnover by

14% to about R71.3 billion compared to

R62.5 billion for the preceding six months.

Regarding the Spar Group, turnover for the

full year ended 30 September 2016

increased by 23.8% to R90.7 billion from

R73.3 billion in 2015.

For the 26 weeks ended 25 December 2016,

Woolworths Food’s turnover and concession

sales increased by 6.7% to R37.8 billion.

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SAMPLE FROM REPORT SA RETAIL OVERVIEW

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BRAND AND SIZE

32GiEndure

Sports Drink

900g powder

N/A R344.99 N/A R299.00 N/A N/A N/A N/A N/A N/A

1kg powder

N/A N/A N/A R299.00 R299.95 N/A N/A N/A N/A N/A

BOS Sport Drink

500ml N/A R13.29 N/A N/A N/A N/A N/A R13.99 N/A N/A

Energade

500ml R10.99 R10.99 R10.99 R11.50 R10.95 R10.99 R7.91 R11.99 R13.90 R12.50

750ml concen.

N/A R24.99 R25.99 R35.95 N/A R24.99 N/A R26.99 N/A N/A

Game

80g sachet

R12.99 R12.49 R12.99 N/A N/A N/A R10.32 R13.99 N/A N/A

720g powder

R79.99 R79.99 R79.99 N/A R69.95 N/A R76.45 N/A N/A N/A

Powerade

500ml R10.99 R11.49 R10.99 R13.50 N/A R10.99 R8.54 R11.99 R12.90 R13.50

750ml concen.

N/A R28.49 R27.99 N/A N/A R25.99 R23.79 R28.99 N/A N/A

This pricing analysis was conducted at retail stores and supermarkets during w/c 5 June 2017

SAMPLE FROM REPORT SPORTS DRINKS PRICING ANALYSIS

ENERGY DRINKS BRANDS Sugar Content (g per 250ml)

7 Stars 31

Bioplus 16.5

BOS Energy Drink 25.25

Dokta Energy Drink 26.25

Lucozade 31.5

Monster Energy 27.5

NOS 25.25

Power Horse 27.5

PowerPlay 29.25

Punch Energy Drink 30

8This sugar content comparison was conducted in stores w/c 12 June 2017.

SAMPLE FROM REPORT ENERGY DRINKS SUGAR CONTENT

TABLE OF CONTENTS

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1. Executive Summary (5 pages):

1.1 Global Industry Snapshot

1.2 South African Industry Snapshot

1.3 Industry Drivers and Restraints

1.4 Dashboard: South African Sports Drinks

1.5 Dashboard: South African Energy Drinks

2. Global Sports and Energy Drinks Industry (16 pages):

2.1 Global Sports and Energy Drinks Industry Overview: Energy Drinks Market: GLOBAL SALES VOLUME OF ENERGY DRINKS IN 2015 AND

FORECAST FOR 2018 (IN BILLION LITRES); GLOBAL ENERGY DRINKS MARKET SHARE BY KEY PLAYERS (Graphs)

2.2 Global Sports and Energy Drinks Industry Overview: Sports Drinks Market: GLOBAL SALES VOLUME OF SPORTS DRINKS IN 2016 AND

FORECAST FOR 2017 (IN BILLION LITRES) (Graph)

2.3 Global Sports and Energy Drinks Industry Market Environment: SHARE OF ORGANIC ENERGY PRODUCT LAUNCHES WORLDWIDE, BY REGION

(2016) (Graph)

2.4 Key Global Sports and Energy Drinks Markets: GLOBAL 5 LEADING ENERGY DRINKS MARKETS (IN MILLION LITRES) (Graph)

2.5 Key Global Sports and Energy Drinks Markets: United States: ENERGY DRINK BRANDS CONSUMED IN THE UNITED STATES: 2016 (Graph)

2.6 Key Global Sports and Energy Drinks Markets: China

2.7 Key Global Sports and Energy Drinks Markets: United Kingdom: VALUE OF SOFT DRINKS MARKET IN THE UK FOR THE 52 WEEKS ENDING

JANUARY 2017, BY BEVERAGE TYPE (IN MILLION GBP) (Graph)

2.8 Global Sports and Energy Industry Market Trends

2.9 Global Sports and Energy Industry Market Drivers

2.10 Global Sports and Energy Industry Market Restraints

TABLE OF CONTENTS

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3. South African Sports and Energy Drinks Industry (47 pages):

3.1 South African Sports and Energy Drinks Industry Overview (13 pages)

3.1.1 South African Sports and Energy Drinks Industry Overview: Sports and Energy Drinks Market: ENERGY DRINKS CPI (2012-2015); RED

BULL: LEADING MARKETS OF SALES GROWTH WORLDWIDE (2016) (Graphs)

3.1.2 South African Sports and Energy Drinks Industry Overview: Ready-To-Drink Sports and Energy Drinks

3.1.3 South African Sports and Energy Drinks Market Environment: RTD Energy Drinks: CHANNEL DISTRIBUTION 2015; LOCAL REGIONAL

DISTRIBUTION 2015 (Graphs)

3.1.4 South African Sports and Energy Drinks Market Environment: RTD Sports Drinks

3.1.5 South African Sports and Energy Drinks Industry Trends

3.1.6 South African Sports and Energy Drinks Industry Drivers

3.1.7 South African Sports and Energy Drinks Industry Restraints

3.2 South African Sports Drinks Manufacturing Overview (10 pages)

3.2.1 SA Sports Drinks Manufacturers: 32Gi: Overview

3.2.2 SA Sports Drink Manufacturers: 32Gi: Brands

3.2.3 SA Sports Drinks Manufacturers: BOS Brands: Overview

3.2.4 SA Sports Drinks Manufacturers: Cadence Nutrition: Overview

3.2.5 SA Sports Drinks Manufacturers: Cadence Nutrition: Brands

TABLE OF CONTENTS

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3. South African Sports and Energy Drinks Industry (47 pages):

3.2 South African Sports Drinks Manufacturing Overview continued (10 pages)

3.2.6 SA Sports Drinks Manufacturers: 32Gi: Overview

3.2.7 SA Sports Drink Manufacturers: 32Gi: Brands

3.2.8 SA Sports Drinks Manufacturers: BOS Brands: Overview

3.2.9 SA Sports Drinks Manufacturers: Cadence Nutrition: Overview

3.2.10 SA Sports Drinks Manufacturers: Cadence Nutrition: Brands

3.2.11 SA Sports Drinks Manufacturers: Coca Cola SA: Brands

3.2.12 SA Sports Drinks Manufacturers: Tiger Brands: Overview

3.2.13 SA Sports Drinks Manufacturers: Tiger Brands: Brands

3.2.14 SA Sports Drinks Manufacturers: USN: Brands

3.2.15 SA Sports Drinks Manufacturers/Distributors: Other

3.3 South African Energy Drinks Manufacturing Overview (24 pages)

3.3.1 SA Energy Drinks Manufacturers: 7 Stars: Overview

3.3.2 SA Energy Drink Manufacturers: Adcock Ingram: Overview

3.3.3 SA Energy Drink Manufacturers: Adcock Ingram: Brands

3.3.4 SA Energy Drinks Manufacturers: BOS Brands: Overview

3.3.5 SA Energy Drinks Manufacturers: BOS Brands: Brands

TABLE OF CONTENTS

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3. South African Sports and Energy Drinks Industry (47 pages):

3.3 South African Energy Drinks Manufacturing Overview continued (24 pages)

3.3.6 SA Energy Drinks Manufacturers: Chill Beverages: Overview

3.3.7 SA Energy Drink Manufacturers: Chill Beverages: Brands

3.3.8 SA Energy Drink Manufacturers: Cintron: Overview

3.3.9 SA Energy Drinks Manufacturers: Coca-Cola SA: Overview

3.3.10 SA Energy Drinks Manufacturers: Kingsley Beverages: Overview

3.3.11 SA Energy Drinks Manufacturers: Lucozade Ribena Suntory: Overview

3.3.12 SA Energy Drinks Manufacturers: Mofaya Beverage Company: Overview

3.3.13 SA Energy Drinks Manufacturers: Monster Beverage: Overview

3.3.14 SA Energy Drinks Manufacturers: Monster Beverage: Brands

3.3.15 SA Energy Drinks Manufacturers: POWER HORSE: Overview

3.3.16 SA Energy Drinks Manufacturers: Red Bull: Overview

3.3.17 SA Energy Drinks Manufacturers: Red Bull: Brands

3.3.18 SA Energy Drinks Manufacturers: Rockstar: Overview

3.3.19 SA Energy Drinks Manufacturers: Scheckter’s: Overview

3.3.20 SA Energy Drinks Manufacturers: Scheckter’s: Brands

3.3.21 SA Energy Drinks Manufacturers: Splendid Drinks AG: Overview

3.3.22 SA Energy Drink Manufacturers: USN: Overview

3.3.23 SA Energy Drink Manufacturers: USN: Brands

3.2.24 SA Energy Drinks Manufacturers/Distributors: Other

TABLE OF CONTENTS

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4. South African Sports and Energy Drinks Retail Analysis (23 pages):

4.1 SA Retail Overview (16 pages)

4.1.1 SA Retail Overview: BASKET OF GOODS PRICING ANALYSIS (Graph)

4.1.2 SA Retail: Checkers

4.1.3 SA Retail: Fruit and Veg City

4.1.4 SA Retail: Massmart

4.1.3 SA Retail: Pick n Pay: GROUP TURNOVER (R BILLION): 2015-2017 (Graph)

4.1.4 SA Retail: Shoprite & The Shoprite Group: SALES GROWTH PERCENTAGE FOR THE SIX MONTHS ENDED DECEMBER 2016 (Graph)

4.1.5 SA Retail: Spar & Spar Southern Africa

4.1.6 SA Retail: Woolworths: SALES GROWTH PERCENTAGE BY SEGMENT FOR THE 26 WEEKS ENDED 25 DECEMBER 2016; WOOLWORTHS VS MARKET

GROWTH (JAN. 2016 TO DEC. 2016) (Graphs)

4.1.7 SA Retail Overview: Convenience Stores: Engen QuickShop, Shell Select, BP Wild Bean Café and Caltex FreshStop

4.1.8 SA Retail: Major Pharmacies: Clicks: PERCENTAGE CONTRIBUTION TO TOTAL SALES OF CLICKS PER HEALTH AND BEAUTY SALES CATEGORY (6

MONTHS ENDED 28 FEBRUARY 2017) (Graph)

4.1.9 SA Retail: Major Pharmacies: Dis-Chem

TABLE OF CONTENTS

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4. South African Sports and Energy Drinks Retail Analysis (23 pages):

4.2 Sports and Energy Drinks Sugar Content and Pricing Analysis (7 pages)

(conducted w/c 5 June and 12 June 2017)

4.2.1 Sports Drinks Pricing Analysis: 32Gi Endure Sports Drink, BOS Sport Drink, Energade, Game, Powerade, USN Purefit -

Comparative Pricing at Retail Outlets: Checkers, Pick ‘n Pay, Shoprite, Clicks, Dis-Chem, Game, Makro, Spar, Shell

Select, Engen QuickShop.

4.2.2 Energy Drinks Pricing Analysis: 7 Stars, Dokta Energy Drink, Lucozade, Monster Energy, PowerPlay, Punch Energy Drink,

Reboost Energy Drink, Red Bull, Refreshhh, Scheckter’s Organic Energy, Score, Spike Extreme Energy - Comparative

Pricing at Retail Outlets: Checkers, Pick ‘n Pay, Shoprite, Clicks, Dis-Chem, Game, Makro, Spar, Shell Select, Engen

QuickShop.

4.2.3 Sports Drinks Sugar Content Analysis: 32Gi Race Range Sports Drink, BOS Sport Drink, Cadence Marathon Powder,

Cadence Revive Powder, Cadence CarboFuel, Energade RTD, Energade Concentrate, Game Powder, Powerade Regular

Sports Drink, Powerade Concentrates, USN Purefit EpicPro, USN Purefit Enduro Balanced – Sugar Content Comparison

Between Major Sports Drinks Brands

4.2.4 Energy Drinks Sugar Content Analysis: 7 Stars, Bioplus, BOS Energy Drink, Dokta Energy Drink, Lucozade, Monster Energy,

NOS, POWER HORSE, PowerPlay, Punch Energy Drink, Reboost Energy Drink, Red Bull, Scheckter’s Organic Energy,

Score, Spike Extreme Energy – Sugar Content Comparison Between Major Energy Drinks Brands

TABLE OF CONTENTS

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5. South African Consumer Trends (15 pages):

5.1 AMPS Survey Methodology & Sample Design

5.2 AMPS Survey Questions Asked

5.3 Sports and Energy Drinks Consumption Trends: 2011-2015 (Graph)

5.4 Sports And Energy Drinks Consumption Trends: 2011-2015 (Table)

5.5 Sports Drinks vs Energy Drinks Consumers (Gender): 2011-2015 (Graph)

5.6 Sports Drinks vs Energy Drinks Consumers (Age Group): 2011-2015 (Graph)

5.7 Sports Drinks vs Energy Drinks Consumers Consumers (Lifestage): 2011-2015 (Graph)

5.8 Sports Drinks vs Energy Drinks Consumers (LSM): 2011-2015 (Graph)

5.9 Sports Drinks vs Energy Drinks Consumers (Race): 2011-2015 (Graph)

5.10 Sports Drinks vs Energy Drinks Consumers (Home Language): 2011-2015 (Graph)

5.11 Sports Drinks vs Energy Drinks Consumers (Province): 2011-2015 (Graph)

5.12 Sports Drinks vs Energy Drinks Consumers (Household Income): 2011-2015 (Graph)

5.13 Frequency Tables: Sports Drinks vs Energy Drinks Consumers: 2011-2015 (Tables)

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