Africa Sports Drinks Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

Africa Sports Drinks Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

The Africa Sports Drink Market size is expected to grow from USD 196.17 million in 2023 to USD 252.40 million by 2028, at a CAGR of 5.17% during the forecast period (2023-2028).

Over the decade, the consumption of sports drinks has been witnessed significantly among athletes and fitness enthusiasts in order to boost rehydration and speed up recovery. Additionally, the rising number of health fitness centers across the region is further expected to drive the sales of sports drinks during the forecast period. With the increasing urbanization and increasing awareness amongst consumers of the importance of health, the sports drink market in high-growth potential regions, like Africa is surging and is expected to offer immense growth opportunities.

Moreover, the rising demand for nutritional beverages coupled with increasing health awareness among millennials is one of the major factors driving the growth of the sports drinks market in the country. Thus, the players are offering nutrition-filled, low-calorie sports drinks made from natural ingredients such as stevia and other sugar alternatives. In the African region, many sports activities are attracting the interest of middle-aged and geriatric populations. People are getting more involved in recreational activities and are also getting aware about the importance of nutrition which is a major factor for the escalation of the sports drink market.

Subsequently, the increasing adoption of online shopping among African consumers is encouraging manufacturers to opt for online stores to market their products. Thus, the online store is expected to accelerate the sales of sports drinks in the forthcoming years. However, the rise in beverage tax on sugar-sweetened beverages is restraining the market growth for sports drinks in different countries in Africa including South Africa.

Africa Sports Drink Market Trends

Emerging Trend for Health and Wellness in the Region

• The demand for sports drinks is rising rapidly in Africa attributed to multiple reasons, such as the rising young population who perceive such drinks to be a part of daily consumption. The number of youth is rising in Africa; for instance, 49.79% of Africa’s total population was aged between 18-64 years of age in the year 2021, as per the statistics by the United Nations Department of Economic and Social Affairs (UN DESA). Such a high number of young people presents an opportunity for the growth of sports drinks in the market.
• Moreover, sports drinks are gaining popularity amongst individuals and athletes who are involved in physical fitness activities. The millennial population drives the market as they are showing a keen interest in sports, an inclination towards fitness, more buying capacity, and a willingness to purchase healthy products.
• The increasing emergence and rising penetration of various sports leagues, including soccer and cricket, among others, are also driving the demand for sports drinks in the region. With the growing inclination of people toward physical fitness, the number of health clubs and fitness centers has come up in the recent past.
• The growth of these establishments is one of the propelling drivers for the sports drink market during the forecast period. Therefore, the growing trend of health and wellness, coupled with the increasing participation in sports activities, is propelling the market demand for sports drinks in the African region.

South Africa is Leading the Market Growth due to Aggressive Promotional and Marketing Strategies

• The primary consumer group in the country accommodates young men who are enthusiastic and willing to maintain good body shape amid a fast-moving lifestyle. There is a considerable portion of people with gym memberships in the country, and several other consumers are opting for the gym.
• The fair economy of the country is a strong hand for consumers, as they can opt for the best available nutritional products from the market. Manufacturers are actively promoting women's participation in sports, as it has the potential to increase sales of sports nutrition products. Additionally, the leading players in the region are finding unique solutions to increase their sales in the region.
• The manufacturers are also making efforts to host and sponsor fitness events in different parts of the country to promote their brands. For instance, in terms of sports drinks brands, Energadealso sponsored several national sports teams, including Springboks and Bafana Bafana. In November 2021, Energadeand SA Rugby renewed its long-standing partnership as the official sports drink supplier.
• Further, Energadealso launched the Fuelling SA Heroics campaign in July 2019, highlighting their association with these teams and their role in South African sporting successes, such as Springbok’s 2019 World Cup victory. Moreover, products with more natural ingredients are a top preference among consumers.
• Furthermore, social media is playing a greater role in fueling sales of sports drinks. Sports drink companies are marketing their products on social media to get the highest level of exposure through massive sponsorships to stay relevant in consumers’ minds. Companies’ engagement with their consumers via social media aids in reducing the vagueness of messages, deepens consumer knowledge of brands and thus influences consumer preference for brands.
• Brands are actively engaged with their customers on platforms such as Twitter, Instagram, and Facebook, and the greater the number of fan followers, the greater it builds trust among consumers. Therefore, all the above-mentioned factors positively affect the sports drinks market in this region.

Africa Sports Drink Industry Overview

The African sports drinks market stands to be highly competitive, with cut-throat competition among the market players to increase their share in the studied market. In terms of market share, the market is dominated by players such as PepsiCo, Inc., The Coca-Cola Company, Suntory Holdings Limited, Tiger Brands Ltd, and Bos Brands Pyt Ltd, among others.

Prominent players in the market are adopting strategic approaches such as product launches, partnerships, and expansion to maintain their position in the market. The companies have been introducing new and innovative products with the inclusion of naturally derived ingredients and additives to make their product unique from the existing products.

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