Cordials and Squashes - UK - April 2019
Overview
 
What you need to know 
A combination of rising real consumer incomes, the spotlight on sugar and lacklustre summers saw value sales of cordials and squashes decline 11% over 2013-17. The 2018 summer heatwave was therefore a welcome reprieve that helped boost value sales by 7% to reach £783 million. Unless the heatwave returns, value sales are expected to drop back down in 2019.

While the category remains heavily dependent on kids and the family demographic, the stellar performance of Robinsons’ new adult-oriented ranges is a clear indicator of demand for more grown-up, sophisticated flavours. Interest in alcohol-inspired flavours and herbal/spice flavours highlights scope to build on this demand, which could help buoy sales going forward.

Reformulations and a shift towards the no-added-sugar positioning have meant that the direct impact of the introduction of the SDIL (Soft Drinks Industry Levy) in April 2018 has been limited in the category. This should reinforce its image as a cheaper soft drinks option. Meanwhile, perceptions that cordials and squashes are a more environmentally friendly choice over RTD (Ready-to-Drink) soft drinks represent a feather in the cap for the category which it should leverage in marketing.

Products covered in this Report
For the purposes of this Report, Mintel has used the following definitions:

●	A standard squash is typically a drink requiring dilution in the ratio one part concentrate to four parts water, whereas a double-concentrate typically dilutes in a one-to-nine ratio.
●	Cordials tend to have a thicker consistency than squashes and require more water to dilute, typically with a ratio of one to 10. They tend to contain no preservatives, and often require chilled storage once opened. Brands include Bottlegreen and Belvoir.

However, the Report analyses squashes/cordials together, across the UK market, which is divided into two main channels:

●	Retail includes sales through all supermarkets/shops where the cordial/squash is bought concentrated and has to be diluted to taste off-premise.
●	On-premise refers to when squash/cordial is bought diluted ready to drink at pubs, bars and restaurants/cafés.

Pressés and juice drinks which are defined as ready to drink, including ones that carry the same brand names as cordials and squashes, eg Ribena, are excluded from the market size.

Data on volume sales is no longer featured in the Report. The data sources that Mintel uses to create the market size take different approaches as to whether volume sales are quoted diluted or as sold. As a result, it is impossible to build a meaningful market size as measured in volume terms.