Markets

Markets

We manage and report on our business by grouping our geographical markets into three segments: emerging, developing and established markets. These groupings are based on a wide range of criteria, including socio-economic similarities, GDP per capita, consumption of sparkling drinks per capita and the state of development of the local drinks market. 


Established Markets

14.0%

Currency neutral revenue change vs.2020

12.1%

Comparable EBIT margin vs. 2020

 

We operate in the following established markets: Austria, Cyprus, Greece, Italy, Northern Ireland, Republic of Ireland and Switzerland.

These countries share a tradition of political and economic stability and similar economic features, not least, high levels of disposable income per capita. This prosperity and economic security supports the affordability of our products, notably our single-serve packages.

Established countries generally show high levels of consumer sophistication. There are signs of activities concentrating in the retail sector – a critical indication for future channel development. A shift in demand towards domestic consumption, reflecting a reduction in disposable income, further supports this trend. In this context, activation at final points of sale is a key focus for our marketing and sales efforts.

established-markets-2021 established-markets-2021
94m

population in our established markets

7

countries

24%

sales volume from our established markets in 2021

      2021

2020

% change

Volume (million unit cases)

    590

537

9.9

Net sales revenue (€ million)

    2,479

2,175

14.0

Operating profit (EBIT) (€ million)

    286

203

40.5

Comparable EBIT (€ million)

    301

209

43.9

Total taxes1 (€ million)

    131

111

17.4

Population2 (million)

    94

94

-

GDP per capita (US$)

    44,414

39,552

12.4

Bottling plants (number)

    15

15

-

Employees (number)

    6,251

6,407

-2.4

Water footprint (billion litres)

    3.751

3.744

0.2

Carbon emissions (tonnes)

    65,577

67,450

-2.8

Safety rate (lost time accidents >1 day per 100 employees)

    0.44

0.55

-20.0

1. Total taxes include corporate income tax, withholding tax and deferred tax, as well as social security costs and other taxes that are reflected as operating expenses; as per IFRS accounts. 

2. Population source: International Monetary Fund, World Economic Outlook Database, October 2021.


Developing Markets

16.6%

Currency neutral revenue change vs. 2020

 

7.8%

Comparable EBIT margin vs. 2020

We operate in the following developing markets: Croatia, the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Slovakia and Slovenia.

While developing markets have market-oriented economies, they generally have lower disposable income per capita than our established markets. In addition, these countries can be exposed to periods of economic volatility. Entry to the European Union has resulted in increased political stability, as countries increasingly conform to the EU’s principles, objectives and regulations.  

developing-markets-2021 developing-markets-2021
76m

population in our developing markets

 

9

countries

 

17%

sales volume from developing markets in 2021

  2021

2020 

% change

Volume (million unit cases)

416

412

0.8

Net sales revenue (€ million)

1,366

1,171

16.6

Operating profit (EBIT) (€ million)

105

97

7.9

Comparable EBIT (€ million)

107

102

4.3

Total taxes(€ million)

46

63

-27.6

Population2 (million)

76

76

-

GDP per capita (US$)

19,622

17,494

12.0

Bottling plants (number)

9

9

-

Employees (number)

4,261

4,581

-7.0

Water footprint (billion litres)

3.214

3.159

1.7

Carbon emissions (tonnes)

45,633

44,927

1.6

Safety rate (lost time accidents >1 day per 100 employees)

0.47

0.33

42.4

1. Total taxes include corporate income tax, withholding tax and deferred tax, as well as social security costs and other taxes that are reflected as operating expenses; as per IFRS accounts. 

2. Population source: International Monetary Fund, World Economic Outlook Database, October 2021.


Emerging Markets

19.3%

Currency neutral revenue change vs. 2020

12.7%

Comparable EBIT margin vs. 2020

We operate in the following emerging markets: Armenia, Belarus, Bosnia & Herzegovina, Bulgaria, Egypt, Moldova, Montenegro, Nigeria, North Macedonia, Romania, the Russian Federation, Serbia (including the Republic of Kosovo) and Ukraine.

These countries share relatively similar political and economic volatility, with lower per capita GDP than our developing or established segments. As a result, consumer demand is especially price sensitive, making the affordability of Coca‑Cola HBC’s products even more important.  

We deliver our products with a strategy of specialised revenue growth management, packaging and promotional programmes – these are the considerations at the core of our response to the nuances of local economic conditions.

emerging-markets-2021 emerging-markets-2021
453m

population in our emerging markets

13

countries

58%

sales volumes from emerging markets in 2021

  2021

2020 

% change

Volume (million unit cases)

1,407

1,187

18.6

Net sales revenue (€ million)

3,324

2,786

19.3

Operating profit (EBIT) (€ million)

409

360

13.5

Comparable EBIT (€ million)

424

361

17.3

Total taxes1 (€ million)

189

169

12.2

Population2 (million)

453

448

1.1

GDP per capita (US$)

6,334

5,705

11.0

Bottling plants (number)

32

32

-

Employees (number)

16,700

16,734

-0.2

Water footprint (billion litres)

10.721

8.654

23.9

Carbon emissions (tonnes)

314,582

319,544

-1.6

Safety rate (lost time accidents >1 day per 100 employees)

0.14

0.11

27.3

1. Total taxes include corporate income tax, withholding tax and deferred tax, as well as social security costs and other taxes that are reflected as operating expenses; as per IFRS accounts. 

2. Population source: International Monetary Fund, World Economic Outlook Database, October 2021. Polulation includes N. Macedonia. Figures are rounded. Percentage changes are calcuated on precise numbers.