Zenith comment on Danone acquisition of McKesson
Please attribute any figures or comments to the specialist drinks consultancy Zenith International.
1. Global bottled water consumption grew by 7% in 1998 to 89,500 million litres.
2. The US market is the world's largest at 13,500 million litres in 1998, a 15% share.
3. It is the world's most valuable market, accounting for US $4800 million out of a global retail total of US $25,900 million, a 19% share.
4. The US market has also been growing faster than any other country in the world, up 5000 million litres or 59% in the five years since 1993.
5. US consumption per person should have much further to climb as it is ranked only 16th worldwide at 50 litres per person in 1998, one third of the level in Italy at 151 litres per person.
6. Nestlé was the world's leading bottled water company in 1998, with an estimated 11.7% share of global volume from sales of 10,500 million litres.
7. Danone was the world's second largest bottled water company in 1998, with an estimated 7.6% share.
8. The McKesson purchase would increase Danone's share to 9.0%, based on 1998 equivalent sales of 8000 million litres.
9. The deal would also make Danone the world leader in home and office watercooler volume, ahead of Consortio de Aga in Mexico and Nestlé in the United States.
10. "Danone is proving a truly world class player in bottled water, with important recent acquisitions as far apart as Argentina, China and Indonesia," comments Zenith Chairman Richard Hall.
11. "The US market has become the most significant battleground, with Nestlé in the lead as well as Coke and Pepsi developing fast. Danone has already successfully introduced the Dannon brand and has now staked its claim as the main challenger," he concludes.
For further information, please contact:
Richard Hall or Jason Holway, Zenith International Ltd
7 Kingsmead Square, Bath BA1 2AB, United Kingdom
Tel +44 (0)1225 327900 Fax +44 (0)1225 327901
1. Global bottled water consumption grew by 7% in 1998 to 89,500 million litres.
2. The US market is the world's largest at 13,500 million litres in 1998, a 15% share.
3. It is the world's most valuable market, accounting for US $4800 million out of a global retail total of US $25,900 million, a 19% share.
4. The US market has also been growing faster than any other country in the world, up 5000 million litres or 59% in the five years since 1993.
5. US consumption per person should have much further to climb as it is ranked only 16th worldwide at 50 litres per person in 1998, one third of the level in Italy at 151 litres per person.
6. Nestlé was the world's leading bottled water company in 1998, with an estimated 11.7% share of global volume from sales of 10,500 million litres.
7. Danone was the world's second largest bottled water company in 1998, with an estimated 7.6% share.
8. The McKesson purchase would increase Danone's share to 9.0%, based on 1998 equivalent sales of 8000 million litres.
9. The deal would also make Danone the world leader in home and office watercooler volume, ahead of Consortio de Aga in Mexico and Nestlé in the United States.
10. "Danone is proving a truly world class player in bottled water, with important recent acquisitions as far apart as Argentina, China and Indonesia," comments Zenith Chairman Richard Hall.
11. "The US market has become the most significant battleground, with Nestlé in the lead as well as Coke and Pepsi developing fast. Danone has already successfully introduced the Dannon brand and has now staked its claim as the main challenger," he concludes.
For further information, please contact:
Richard Hall or Jason Holway, Zenith International Ltd
7 Kingsmead Square, Bath BA1 2AB, United Kingdom
Tel +44 (0)1225 327900 Fax +44 (0)1225 327901