Decline in Soft Drink Sales Accelerates Despite Big Marketing Investments
Posted in: UncategorizedConsumers have been shunning soft drinks in favor of tea, energy drinks and bottled waters for years, but defected from the category at an even faster rate in 2013, according to new figures from Beverage Digest. That’s despite the efforts of Coca-Cola, PepsiCo and Dr Pepper Snapple Group to market lower-calorie sodas, like Pepsi Next and Dr Pepper Ten, as well as a variety of packaging options such as smaller cans.
In the last year, Coca-Cola has also responded to the obesity debate with a series of ads meant to encourage consumers to be active.
Carbonated soft drink volume declined 3% in 2013, compared to a 1.2% decline in 2012 and a 1% decline in 2011, according to Beverage Digest. The category has seen declines for the last nine years, despite the industry’s massive advertising and marketing outlays. Two years ago, PepsiCo committed to spend an additional $500 million to $600 million on its core brands, of which Pepsi is one. More recently, Coca-Cola committed to spending an additional $1 billion on media and brand-building efforts by 2016.
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