Fruitful growth: Changing consumer tastes have driven innovation and supported revenue

Traditionally supported by apple cider sales, the Cider Production industry has diversified and expanded into a variety of different offerings, with fruit-flavoured ciders being the main impetus to industry growth in recent years. Cider sales have benefited from changing consumer tastes, with many drinkers developing a thirst for sweet ciders at the expense of beer. Associations with major sporting events like the 2012 Olympic Games and lucrative marketing campaigns have increased brand exposure for some of the industry's largest companies, allowing cidermakers to tap into emerging markets and supporting volume sales. Over the five-year period through 2017-18, industry revenue is forecast to increase at a compound annual rate of 7.2% to reach £1.1 billion...read more.

Industry Statistics & Market Size
Revenue
£1.1bn
Annual Growth 13-18
7.2%
Forecast Growth 18-23
Profit
Employment
3,093
Businesses
85

Industry Threats & Opportunities

  • Industry operators have benefited from increased brand awareness in recent years
  • Falling cider sales in the on-trade market have increased the industry's reliance on off-trade retailers
  • Operators are expected to invest further in expanding capacity to capitalise on strong export demand
  • Industry Report - Industry Locations Chapter

    Cider is commonly produced in close proximity to apple and pear orchards. The majority of cider producers use some of their own fruit, meaning cider breweries are located mainly in rural areas where conditions are suitable for fruit growing. According to the National Association of Cider Makers and HM Revenue and Customs (HMRC), there are over 500 cider producers operating in the United Kingdom, most of which are small-scale independent manufacturers. However, those producing a volume of under 70 hectolitres of cider per year do not need to register with HMRC. The Office for National Statistics and IBISWorld only recognise enterprise and establishments in the Cider Production industry as those registered with HMRC.The South WestThe South West accounts for 38.9% o...purchase to read more.

    Additional Insights for the Cider Production Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Cider Production Industry are

  • Having a wide and expanding product range
  • Economies of scale
  • Supply contracts in place for key inputs
  • IBISWorld analysts also discuss how external factors such as Demand from supermarkets and Alcohol consumption per capita in the Cider Production industry impact industry performance..

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    What's in this report

    What is the Cider Production Industry?

    Firms in this industry produce cider from cider apples and other ingredients. The industry also encompasses the production of pear cider and other fruit-flavoured ciders.

    Industry Products
  • Apple cider
  • White cider
  • Pear cider
  • Other fruit-flavoured cider
  • Industry Activities
  • Producing apple cider
  • Producing pear cider
  • Producing white cider
  • Producing other fruit-flavoured cider
  • Producing craft cider
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Demand from supermarkets
  • Alcohol consumption per capita
  • Average maximum temperature
  • Fruit and vegetable prices
  • Real household disposable income

  • Current Performance
  • Fizzing exports
  • Driving demand
  • Industry innovation
  • Bad cider-effects
  • Chart: Revenue Growth

  • Industry Outlook
  • Further investment
  • Future developments
  • Threatening demand
  • Table: Cider Production Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Cider Production Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Alcoholic Beverage Wholesaling
  • Supermarkets
  • Off-Licences
  • Hotels
  • Full-Service Restaurants
  • Pubs & Bars

  • Key Selling Industries
  • Fruit Growing
  • Hollow Glass Manufacturing
  • Plastic Packing Goods Manufacturing
  • Water Collection, Treatment & Supply

  • Products & Services
  • Apple cider
  • Other fruit-flavoured cider
  • Pear cider
  • White cider
  • Chart: Cider Production Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Off-trade
  • On-trade
  • Chart: Major Market Segmentation for the Cider Production Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Taxation
  • Purchases
  • Wages
  • Depreciation
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Cider Production

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Cider Production Industry

  • Industry Globalization
    Heineken UK Ltd, Aston Manor Ltd, Thatchers Cider Company Ltd, H Weston & Sons Ltd,
  • Table: Heineken UK Ltd - financial performance
  • Table: Aston Manor Ltd - financial performance
  • Table: Thatchers Cider Company Ltd - financial performance
  • Table: H Weston & Sons Ltd - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Cider Production Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Cider Production Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Exports (2009-2023)
  • Imports (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Hectolitre
  • A unit of volume equal to 100 litres.
  • Perry
  • Pear-flavoured cider made from perry pears.
  • Premiumisation
  • Attempting to enhance the perceived quality or uniqueness of a brand.
  • Scrumpy
  • A rough, strong, cloudy type of cider produced in the West Country.
  • White Cider
  • A strong, colourless cider usually made from cheaper dessert apples, apple concentrate and corn syrup.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Cider Production market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Cider Production:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Cider Production market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Cider Production, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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