Soft Drinks - Japan

The Soft Drinks market in Japan has been experiencing steady growth in recent years, driven by changing customer preferences, emerging trends in the market, and local special circumstances. Customer preferences in Japan have shifted towards healthier beverage options, with a growing demand for low-sugar and natural drinks. This change in preference can be attributed to increasing health consciousness among consumers, as well as a desire for more authentic and natural products. As a result, there has been a rise in the consumption of bottled water, unsweetened teas, and fruit juices, while the demand for carbonated soft drinks has declined. Trends in the market also contribute to the development of the Soft Drinks market in Japan. One notable trend is the growing popularity of functional beverages, such as energy drinks and sports drinks. These beverages are often marketed as providing specific health benefits or enhancing performance, appealing to consumers who lead active lifestyles. Additionally, there is a rising interest in premium and artisanal soft drinks, with consumers willing to pay a higher price for unique and high-quality products. Local special circumstances in Japan have also influenced the Soft Drinks market. The country has a unique beverage culture, with a strong emphasis on tradition and craftsmanship. This has led to the development of traditional Japanese drinks, such as matcha tea and sake-based beverages, which have gained popularity both domestically and internationally. Furthermore, Japan has a high level of consumer sophistication and a strong focus on aesthetics, leading to innovative packaging designs and visually appealing products. Underlying macroeconomic factors have also played a role in the development of the Soft Drinks market in Japan. The country has a large and affluent consumer base, with a high disposable income and a willingness to spend on premium products. Additionally, Japan has a well-developed distribution network, allowing for easy access to a wide range of soft drink products. Furthermore, the government has implemented policies to promote a healthy lifestyle, which has further fueled the demand for healthier beverage options. In conclusion, the Soft Drinks market in Japan is experiencing growth due to changing customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors. The demand for healthier and functional beverages, as well as premium and artisanal products, has driven the market forward. With a strong consumer base, well-established distribution network, and government support for a healthy lifestyle, the Soft Drinks market in Japan is likely to continue its upward trajectory in the coming years.

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.