Home » Soft Drinks, Video » Uncertainty Surrounding Danone's Bottled Water Operations


November 24, 2010

Uncertainty Surrounding Danone's Bottled Water Operations

Ildiko Szalai, Packed Foods Industry Analyst at Euromonitor, explains that despite the slow recovery of bottled water sales in developed markets, Danone's bottled water division is rumoured to be on the negotiating table again. However, Danone has strongly denied all speculations over its intention to divest its water division. Szalai explains that even though the bottled water sector is the core of Danone's portfolio, it has been the weakest performer, especially during the recession.

In recent years, Danone has restructured to focus more on the following sectors:

  • fresh dairy
  • baby nutrition

and  recently exited it's Wahaha Joint Venture in China, which reduced its overall bottled water market size.

Danone's two  main water brands are Evian and Volvic, which were responsible for 2.9 billion dollars in sales in 2009.

Szalai then explores the possible scenarios of the divestment of Danone's water industry:

  • Handing it's water industry to an independently listed and managed company, in a similar fashion to Cadbury/Schweppes in 2008
  • The independent sales of emerging market brands
  •  Selling to leading Japanese players such as Suntory or Kirin

Again, Danone has strongly denied all speculations over its intention to divest its water division.

Watch this video on View our YouTube Channel


« Colombia mirrors solid beauty industry growth seen elsewhere in Latin America | Main | Announcing Euromonitor International's Partnership with Vedomosti »

Subscribe

 RSS Feed

Receive New Posts via Email:

 

Join us on...


View our YouTube Channel Follow Euromonitor on Twitter Become a Fan on Facebook Connect with Euromonitor on LinkedIn

Filter by Category

Filter by Geography

Filter by Industry

Recent Posts

Euromonitor to Speak at International Production & Processing Expo 2015

Euromonitor to Partner and Speak at the Spielwarenmesse eG Press Conference and Toy Business Forum 2015

Both Developed and Emerging Markets Offer Good Opportunities in Toys Licensing

Opportunities and Relationships Between Personal Accessories and Beauty and Personal Care

Olam to Become One of Top Three Global Cocoa Processors

Holidays Without Hunger

Cuba Libre: Latin America’s Final Consumer Frontier?

Rouble Trouble: Impact of Currency Volatility on Russian Apparel Market

Cuba: Key Market of the Future

Diplomatic Normalisation Promises Cuban Evolution for US Cigar Market