The company behind the world’s largest coconut water range is targeting major UK retailers as part of plans to build regional revenue to over £32m within five years, as it looks to capitalise on surging demand for the category.
Australian-based CocoCoast, which has a 17-strong portfolio spanning pure, flavoured and sparkling coconut waters, is in talks with key retail groups and is preparing to launch nationally within the coming weeks.
The company is also expanding its existing UK distribution network as it looks to increase availability across grocery, convenience, hospitality and independent retail channels. The products will be distributed by FMCG supply chain specialists Windfall Logistics, which has brands including Reese’s, Hershey’s and Jack Daniel’s as part of its portfolio.
The move comes as record-breaking summer temperatures and growing consumer interest in hydration drive demand for coconut water in Britain.
Data shows UK coconut water sales have risen 51% year on year over the latest 12 weeks and 37% across the full year, accelerating to 56% over the latest four weeks.
While the heat boosted sales over summer, the category is expected to keep growing strongly. The UK coconut water market is valued at around £350m this year and is forecast to nearly quadruple to around £1.3bn by 2033, representing annual growth of around 21%.
CocoCoast already sells around 50 million cans globally, equivalent to approximately 25 million litres, annually across 20 international markets, with sales growing 53% in the past year.
The independently owned beverage business is aiming to be stocked in more than 7,500 retail outlets across the UK and Europe , while expanding into more than 20 European markets. UK and European sales currently represent only a small proportion of the business.
CocoCoast co-founder Damian Russell says the UK has become an increasingly important market for the company’s international expansion.
“The heat clearly accelerated demand during the summer, but the full-year growth and longer-term forecasts suggest this is much bigger than a weather-driven spike.
“We have grown more than 50% in the past year and have a clear ambition to build a A$200m global business, so the question for us is where the next major growth markets are going to come from.
“The UK stands out because it has a category already growing rapidly, a strong longer-term outlook and consumers increasingly looking for more choice.
“A market growing at more than 20% a year creates room for new products and new consumers rather than brands simply competing over the same existing customer base,” he says.
Russell says the company has the world’s largest range of coconut waters, spanning pure, flavoured and sparkling variants, with flavours including mango, lychee and raspberry.
“Our experience shows the greater flavour choice can help recruit consumers who may be attracted to coconut water but have previously been put off by the taste of traditional products.”
Amazon will provide CocoCoast with national UK reach while the company expands its distribution network, develops discussions with major retailers and builds local repeat-purchase and rate-of-sale data.
The company is also looking to grow its wholesale reach across independent grocery, convenience and hospitality, providing additional routes to market alongside Amazon and direct retail discussions.
CocoCoast has also secured Non-UPF certification across its full 11-product portfolio, which it claims makes it the first coconut water range globally to achieve the certification.