As consumers’ beverage choices have shifted, the carbonated soft drinks (CSD) market has taken one of the largest hits. For example, the compound annual growth rate (CAGR) for the U.S. CSD market declined 1.6 percent from the 2012-2017 timeframe, according to data in New York-based Beverage Marketing Corporation’s (BMC) report titled “Carbonated Soft Drinks in the U.S. through 2022.” The 2001-2006 timeframe was the last time the category’s CAGR was not in decline, at which point it was flat, BMC’s report states.
Despite performance challenges, forecasts suggest a deceleration of the contraction. BMC forecasts that for the 2017-2022 time period, the CSD market’s CAGR will be down 0.4 percent. Although CSDs are expected to still be in decline, this could be a sign of market improvements.