ANALYSIS OF THE UKRAINIAN JUICE MARKET FOR 2011-2017

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On the Ukrainian market there are juices, nectars, morses, cocktails and drinks with added juice. They differ from each other by the percentage of natural juice:

Analysis of the Ukrainian juice market

In Ukraine, juices are produced in two ways:

  • by recovery from the concentrate;
  • with a straight wringer.

Vitmark-Ukraine, a major producer, reports that to produce juice from concentrate, the fruit is sorted, washed and sent to a press machine. Part of the moisture is evaporated from the resulting liquid, producing a concentrate that retains vitamins, macro- and microelements.

At the right temperature regime, the concentrated juice is stored for several months. For reconstitution, purified water is added and the drink is sent to the stage of pasteurization or sterilization. The manufacturer declares that it does not use dyes, preservatives and flavorings.

There are no concentration and reconstitution stages in the production of direct-pressed juice.

Overview of the Ukrainian juice market: production volumes

Since 2013, production volumes have decreased by 47.5%. This is due to the problematic situation in the east of the country and in Crimea.

Juice production in Ukraine

for 2014, 2015, 2016 are presented without taking into account the indicators of production in the temporarily occupied territory of the ARC and in the zone of the antiterrorist operation.

In the first half of 2017, 98.3 thousand tons of juices were produced, indicating that the negative production trend continues.

Foreign economic policy: import of juices

Juices and nectars are imported to Ukraine from Austria (30% of total imports), the Netherlands (26%), Spain, Switzerland, Israel, Singapore and China. The following companies are engaged in supplies from abroad: Sandora (part of PepsiCo), Coca-Cola Beverages Ukraine, CJSC Visma, USPOT Ltd, production firm Erlan Ltd.

The import market has a negative trend, as Ukrainian citizens still feel the crisis in the country, and juices and nectars are not essential products. Consequently, Ukrainians either refuse to buy juice or choose a cheap domestic version.

Juice imports to Ukraine

Since 2013, the volume of imported juices on Ukrainian shelves has been decreasing. Over the last 3 years, supplies from abroad have fallen by 60.3% in volume terms, which corresponds to 63.6% in currency equivalent.

Juice imports to Ukraine

In the period from January to June 2017 inclusive, 6,528 tons of juices worth 13,653 thousand dollars were imported to Ukraine. This means that the results of 2017 will be on par with 2016, or the volume of imports will slightly increase.

Foreign economic policy: export of juices

Domestic market demand for juices is decreasing, so producers should pay attention to foreign markets. Until 2014, the Russian market accounted for approximately 50% of the export segment. Now producers have switched to markets in Western Europe.

Juice exports from Ukraine

Since 2013, the export market has sagged 51% in volume terms, corresponding to a 76% loss in currency.

Juice exports from Ukraine

In the first half of 2017, 27151 tons of juices worth 20933 thousand dollars were exported from Ukraine.

The main problem of duty-free import of juices into the EU is the difficulty of obtaining a certificate of origin. If we are talking about tomato and apple juices, it is not difficult to obtain a certificate, because all the ingredients were produced in Ukraine. However, if we are talking about exotic series or citrus juices, the fruit for the production of which was purchased abroad, it is more difficult to obtain a certificate.

Another reason for the decrease in exports is the inconsistency in the quality level. Over the last 3 years, direct pressed juices have become popular in Western European countries. Natural products are labeled “NFC”, which means not from concentrate.

The majority of Ukrainian juices are supplied to Poland. In 2016, 45% of all supplies came from this country, compared to 18% in 2015. Belarusians, on the other hand, are refusing Ukrainian drinks. Since 2015, the volume of deliveries has decreased by 9%. 11% of products go to Slovakia (in 2015 it was 5%), and 6% to the United States (in 2015 it was 8%).

Juice exports from Ukraine

Reviews of other food markets in Ukraine:

Main players of the Ukrainian juice market

In 2011, the facilities of T. B. Fruit, which produces beverages under the Galicia brand. The company produces juices from concentrate, purees, direct-pressed juices, as well as frozen fruits and vegetables. Now there are 7 processing plants operating in Ukraine. The products meet international standards ISO 9001:2008.

Initially, Sandora LLC was a wholly Ukrainian enterprise, but in 2007 all shares were bought by PepsiAmericas and PepsiCo. Now the parent company of Sandora is considered to be PepsiCo, which supplies juices, juice-containing products and carbonated drinks to Ukrainian shelves.

Coca-Cola Beverages Ukraine is a part of Cola-Cola Hellenic Group. The company’s products are represented by three brands: Rich, Rich Kids and Dobriy.

Since 1994, Vitmark-Ukraine Holding has been producing juices, juice-containing products and carbonated drinks. At first, it supplied the market with products under the Jaffa brand, then the brand portfolio was supplemented with “juice in a white bag” – “Our Juice”, which is produced at the Odessa Baby Food Canning Plant.

In October 2016, the Kiev plant Rosinka was declared bankrupt, but a month later the antimonopoly committee gave the go-ahead for the creation of Rosinka Corporation, so now the production of Capri-Sonne juices continues.

Ukrainian juice producers

The largest juice producers in Ukraine

Overview of the Ukrainian juice market: portrait of the target audience

According to Maxrise Consulting, the average Ukrainian drinks 10 liters of juice per year. In Western Europe this figure is 3 times higher, in the United States of America – 5 times higher.

Portrait of the target audience of juice consumers

34% of Ukrainians are ready to save money on this product. According to the data for 2016, 10% of consumers buy juices only for holidays, 45% – 2 times a month. Before the economic crisis, juices in one-liter packs were popular, now – economy versions of 2-3 liters.

Juices and nectars are bought by women and men of all ages. The juice market has a pronounced seasonality. In summer the demand for juices and nectars decreases.

Trends in juice packaging design

Let’s take a look at what packaging and label designs are popular in 2017.

Brevity

“Nothing extra,” decided the designers of the Juicebox brand. Transparent packaging allows consumers to enjoy the bright colors of the nutritious product. Indeed, sometimes packaging development requires not creating a new package, but cutting away the superfluous.

Trends in juice packaging design

Naturalness inside and out

To emphasize the premium nature of the product, the designers who worked on the Blend Press brand chose glass packaging. Like Juicebox, the label is very simple. The logo design had the aim to appeal to the female target audience, so the brand mark is smooth and elegant.

Trends in juice packaging design

Personalized fruit

The Eroski Juices brand decided to emphasize the individuality of each fruit. On the label, the orange is depicted as a Spanish dancer, the pineapple resembles an African woman with maracas, the peach – a Chinese farmer in a traditional hat. The packaging design is playful and memorable.

Trends in juice packaging design

For children with love

In order to appeal to the youngest consumers, the creators of the Birdy Juice brand have developed a packaging design reminiscent of birds. The Koloro branding agency is confident that little juice lovers will not remain indifferent.

Trends in juice packaging design

Non-standard geometry

Wonky Juice creatives decided to draw attention to the product with the help of an unusual box design. The name of the brand fully reflects the concept of the packaging – unstable, shaky juice.

Trends in juice packaging design

Materials about packaging design:

Conclusions

  • Since 2013, the volume of Ukrainian juice production has been decreasing. The reason is the economic crisis, due to which the cost of the product increased, and the cessation of juice supplies to the Russian Federation.
  • 95% of juices on the shelves are domestic. Export volumes are 4 times higher than import volumes.
  • Juice and its products are not essential products, so consumption in Ukraine is several times lower than the average consumption in Europe and the States.
  • There are 2 ways to stand out among competing manufacturers – lower the cost of products or use marketing tricks to get consumers to like your brand.

In at least one case, Coloro can help you.

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– Completing the team
– Prices and Terms