GROWTH WITH GREAT STRIDES

Second country in number of gyms in the world, behind only the United States, the Brazil experienced for the past six years an explosion in consumption of isotonic, fueled by the change in the lifestyle of consumers and by the disclosure of the product in major sporting events. Data from Euromonitor International consultancy point an expansion – by volume – from 19% annually (average growth rate) in the sale of sports drinks between 2008 and 2013. Absolute leader with the Gatorade brand, Ambev ceded ground to Coca-Cola, which went from a market share of 2.9% for a participation of 18.6% in the period. Despite the move, Ambev held 73.5% of the Brazilian market of isotonic drinks at the end of last year.
Associate researcher of Euromonitor, Renata Akshay assigns the accelerated growth in the consumption of the product to the increase in the number of practitioners of physical activity and the increased awareness of the impact that good nutrition and hydration can bring in physical performance and physical results. "And, also, by the dissemination of their products in large sporting events such as the FIFA World Cup South Africa, which has increased the awareness of the product in the country and boosted their sales," adds Renata. The comparison with other countries shows that, in theory, there is still room to explore the Brazilian market. "It is important to keep in mind that per capita consumption of Brazil is only 0.6 litres, while in the United States, world's biggest consumer, is 15.6 litres per year per inhabitant. In Latin America, the Peru has a 5.3 liter consumption ", says the specialist from Euromonitor.
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In Brazil, one of the points of inflection in isotonic market was the launch by Coca-Cola, Powerade brand in 2010, remember Adalbert Viviani, President of Concept, consulting firm specializing in food and beverages. "Ambev just tended to lose share", sustains Viviani, referring to the participation of 88.7% that the company held in 2008. "But the market has grown in volume over the years, which largely compensated for that loss. The brand Gatorade has fulfilled an important role: created a category ". Marathon sports drink maker, GlobalBev has seen its market share dwindle to 3.5% (2008) to 2% (2013).
Together, Ambev and Coca-Cola accounted for 92.1% of the Brazilian market of isotonic drinks at the end of last year, according to Euromonitor. "The Brazilian market has gone through a major transformation, with the entry of big players that were not present in 2008. In spite of this change so sudden, we differentiate and keep the absolute market leadership, "says Tiago Pinto, chief marketing officer of PepsiCo hydration brands, owner of the Gatorade drink, marketed in Brazil by Ambev. Like its chief competitor, the brand invests heavily in sports sponsorships – is present in street racing and soccer teams, and maintains partnerships with the Brazilian volleyball Confederation (CBV), the Confederação Brasileira de Futebol (CBF) and teams such as Barcelona, Liverpool, Arsenal and Milan. "The Brazil is one of the countries with the highest number of practitioners in the world. Is an individual sport, cheap and easy to be practiced. So, the great investment of isotonic marks in racing designs ", justifies Viviani, the Concept.
Coca-Cola seeks to associate Powerade brand to the favorable moment Brazil in world sports scene. "In addition to being the official sports drink Cup, (the Powerade) also sponsors the Olympics (from 2016)," says Tariq Ramos, marketing director of Coca-Cola Brazil hydration. This year, the company launched in the country the Powerade Zero, no-calorie version of its sports drink. Also in 2008, the company had already put on the market the i9 tag.
Even with the significant expansion of consumption, the prospect for isotonic drinks in this country begins to change, says Renata Benitez, of Euromonitor. "For being a value-added product and with relatively high price positioning, the moment, somehow, is not favorable for the category, since they suffer competition with other non-alcoholic beverages (such as juices, Nectars and even water) and many consumers still don't see a clear benefit for the product", he argues.