UK sales of smoothies grew by 17 per cent in retail value to £69 million in 2003, according to consultants Zenith International, helped in no small part by their high unit price - an average of £3.70 per litre - justified by the high quality, premium status of the drink.
This helped offset a slight impact on volumes from last year's hot weather. "Smoothies are often consumed as a food replacement drink," said Zenith research director Gary Roethenbaugh. "Thus the exceptionally hot summer of 2003 had only a limited impact on smoothies [compared to other soft drinks categories which benefited significantly from it]. Parched consumers tended not to choose smoothies for refreshment, preferring instead water or other soft drinks."
But 2003 was also a year of adjustment, according to Roethenbaugh, as the smoothie market steadied itself following dramatic growth in its early adoption years (it was worth just £7 million in 1999, according to Zenith). But despite the rapid growth of the sector, it is still dominated by a collection of small, specialist businesses with targeted, niche offerings.
This is not to say that it has few growth prospects - far from it. "As a market founded on the attractions of health and wellbeing, smoothies are well placed for future growth," Roethenbaugh said.
"More than 20 per cent of UK adults are considered obese and the UK government is stressing the importance of five fruit and vegetable servings per day. Raising awareness of the health benefits of smoothies would not be inconsistent with the government's objectives. Smoothies deliver a convenient means of sustaining fruit intake, grounded on quality and taste."
Based on this assessment, Zenith forecasts a market value of over £150 million by 2008 - still small compared to the likes of bottled water or the mighty carbonate sector, but a significant figure when the nature of the market is taken into account.
For the key brand owners in this sector - companies such as PJ (Pete & Johnny), Innocent and thejuicecompany - are all small players, with larger organisations such as Sunjuice, Orchard House, Johnson's, Princes Soft Drinks and Gerber Foods Soft Drinks tending to be more active as suppliers of retailer own label products - companies.
"Big companies are at their most efficient with long production runs, while smoothies require constant adaptation to fruit freshness and short lead times," Roethenbaugh said, explaining why the smoothie market has continued to hold out against the power of the major soft drink players while others - such as adult soft drinks or bottled water - have not.
No doubt as a result of the particular production requirements of smoothies, the category remains niche. Fruit-only smoothies are the principal type, accounting for more than 80 per cent of volume in 2003, but dairy-based smoothies and a new wave of functional 'super smoothies', from brand leaders PJ (34 per cent of the market) and Innocent (19 per cent), are becoming increasingly popular, and offer even greater margin possibilities.
Supermarkets are responsible for over 60 per cent of volume distribution, and indeed own labels account for a substantial 28 per cent of the market, but most new products tend to prove themselves in smaller outlets such as coffee shops and delicatessens, the report suggests.
For details of how to order your copy of the 2004 Zenith Strategic Review of UK Smoothies, click here.