Page 36 - FoodFocusThailand No.176 November 2020

SPECIAL FOCUS
SPECIAL FOCUS

Beverage Market

in Japan

Non-alcoholic Beverage Market Market Trends of Alcoholic Beverages
In 2019, the market size of non-alcoholic beverages in Japan was As above background, the market for alcoholic beverage in Japan tends to
JPY 5.10 trillion, or about THB 1.5 trillion remaining stable since go downward due to a weaken purchasing power and health concern. Even
2013. Typically, beverage consumption in Japan has been fluctuated the traditional Japanese alcoholic beverages like Shochu is not quite popular
by the climate temperature. Take some example. In the summer of among youngers. Therefore, the trends of each alcoholic products can be
2018, the hot weather spiked up the beverage sales. Later year in highlighted as followed.
2019, the weather was not really high. Besides, during spring to 1. Some alcoholic Ready-to-Drink beverages like Cocktail Chu-Hi
early summer, there was once price adjustment for packaging and becomes highly famous. It was reported 9% growth rate in 2018. The top
shipping cost. It led all beverage companies to raise prices of market share of RTD is Spirit-based RTD. The high-alcohol RTD (> 8%
products with large PET bottles. Those combined factors resulted alcohol) is popular with men ages 30-60, while low-alcohol RTD (< 3% alcohol)
in the decrease of sales. In 2020, it is expected that market size is trendy among women and teenagers who start drinking alcohol. The product
will be at JPY 4.97 trillion, down from last year because the entire - High Ball made with whiskey and soda, and RTD with fruit mixed are also
economy is affected by COVID-19 pandemic. fashionable among drinkers in age of 20-50s as well as women who are
Alcoholic Beverage Market fanatic with a specific flavor. With the rise of RTD demand, the major producers
of alcoholic beverages are now developing new products. Even Coca Cola
In 2018, the market size of alcoholic beverage was JPY 3.51 trillion, Company has entered to the alcoholic beverage market for the first time in
or about THB 1.0 trillion. In years, the market gradually declined the world here in Japan. The company released Lemon-Do, a lemon-infused
due to the fall of population in Japan. Besides, the consumer Shochu with flavors such as Honey Lemon, and Salt Lemon in 2018.
behavior of young generation tended to cut down on the amount of 2. Beers made with malt and sake are expected to be more competitive
alcohol they consume. Also, the consumption tax hiked up to 10% in the future because of the new lower tax adjustment. Recently, New Genre
from October 2019, and alcoholic beverage was not exempted for and Happoshu beer have gotten more market share due to lower tax
a special tax reduction. According to above factors, the number of advantage. On the contrary, wine may suffer from tax disadvantage instead.
consumers cut back their alcohol consumption to save money. 3. Drinking at home becomes a new norm for Japanese people due to
Looking further forwards, alcoholic beverage sales i.e. beer could an economical reason and a larger portion of senior consumers. Besides,
be returned because there was the amendment of liquor law in April the regulation is now more stringent to reduce an accident from drinking and
2018. The beer tax rates has been benefit by gradual steps down driving. Presently, it's very convenient to buy alcoholic beverages in Japan
from 2018 to 2026. as they are widely available in supermarkets and convenience stores with

Soft Drink Market no hour regulated for sale. Thus, the distribution channel becomes an
Soft drink products are variously classified into; carbonated drink, important factor for selling the product rather than trading via the traditional
mineral water, ready-to-drink coffee, various tea (black tea, green restaurants and bars currently dominated the distribution channel.
tea, other tea), fruit juice, sport drink, and dairy beverage. Among New Development of the Non-alcoholic Beverage
soft drink products, carbonated drinks are the top sales steadily The trend of health-conscious consumer is gradually increasing while
grown over the past 20 years. However, the healthy trend has been sweetened carbonated drinks are still popular, especially for the grown up
continually risen. Consumers has paid more concern on artificial with the era of carbonated drinks. Therefore, the producers are trying to keep
additive and sugar. It is foreseen that the carbonated drinks will the middle-aged target group by developing new products with new taste.
decline gradually over the long period. Therefore, carbonated drink For instance, fruit mixed juices are packaging in a clear PET bottle to keep
producers have recently developed less or no sugar formula. These away from the look of carbonated drink. Suntory Food International Company,
drinks have begun to gain a popularity among consumers who still for example, launched ORANGINA 100, a sugar-free soft drink contained
like the taste of carbonated drinks. Mineral water consumption on 100% orange juice which is the first in the world for such a product. Asahi
the other hand is expanding well. Dropping demand over time, black Soft Drink Company has released MITSUYA LEMONADE, semi-carbonated
tea gradually returned to gain more acceptance due to the new and lemon-soda. It is aimed at the target group of women aged 30-40 years
products development by producers. It is noticed that fruit juice and who want a refreshing drink with sugar but not very sweet. Coca Cola (Japan),
sport drinks tend to decline recently. Comparably, Oo-long tea once the original and the largest soft drink producer in Japan has developed a new
was highly popular. However, the same old taste has bored the Coca Cola ENERGY, the first energy drink containing caffeine, vitamin B6,
consumers. The obvious down trend has now triggered the Guarana extract, and Vitamin B3 or Niacin with the original Coca Cola flavor.
producers trying to develop new products to the market. Plus, Coca Cola Clear Lime, a clear lemon-flavored drink is to boost up

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