2023 State of the Industry | Sugar content challenges juice category

Beverage-makers innovate with sweetener solutions in new juice offerings

CapriSun Fruit Punch — *Image courtesy of Capri Sun*

Although the juice and juice drinks category present a health halo in that such products come from nature, experts note that, as consumers become increasingly concerned about high sugar content, this has impacted the overall category.

Gary Hemphill, managing director of research at Beverage Marketing Corporation (BMC), New York, explained in Beverage Industry’s December 2022 issue, that “sugar content is the juice category’s greatest challenge,” noting that sugar content is high in most of these products.

“This has negatively impacted consumption in recent years,” Hemphill said.

Caleb Bryant, associate director of food and drink at Mintel, Chicago, in Beverage Industry’s December 2022 issue, noted that 58% of consumers felt that the high sugar content of juice and juice drinks outweighs the benefits of the beverage.

Despite these challenges, consumers still continue to direct their dollars to various juice segments.

According to data from Chicago-based Circana, the shelf-stable bottled fruit drinks segment saw growth of 8% for the 52 weeks ending May 21. This put sales at $2.7 billion. However, unit sales were down 6.9% for the same time period.

Top refrigerated orange juices (individual brands)

		DOLLAR SALES	% CHANGE vs PRIOR YEAR	MARKET SHARE	% CHANGE vs PRIOR YEAR
1	Tropicana	$969,107,087	-2.5	29.4	-0.4
2	Simply	$887,167,332	-0.9	26.9	0.01
3	Private Label	$759,069,650	7.8	23	1.9
4	Florida's Natural	$315,699,196	-11.9	9.6	-1.2
5	Minute Maid	$115,177,846	-14.2	3.5	-0.5
	Category Total*	$3,300,773,063	-1.1	100	---

*Includes brands not listed
Source: Circana, Chicago. Total U.S. supermarkets, drug stores, gas and convenience stores, mass merchandisers, military commissaries, and select club and dollar retail chains for the 52 weeks ending May 21.

The Top 5 brands in this category, respectively, were Snapple, Hawaiian Punch, Bai, V8 and AriZona. Among those five, Hawaiian Punch saw the greatest percent change from past year, up 22.9% and sales reaching $264 million. Bai was down 13.1%.

In the area of refrigerated orange juice, the Top 5 brands were Tropicana, Simply, private label, Florida’s Natural and Minute Maid. The category saw sales of $3.3 billion in the 52 weeks ending May 21, but overall sales were down 1.1% compared with the same time period last year, Circana data shows. Private label was the only one in the Top 5 that wasn’t down in sales, with sales up 7.8% at $759 million.

Uncle Matt’s organic juice — *Image courtesy of Uncle Matt’s*

Companies such as Kraft Heinz Co.’s Capri Sun have addressed the concern of sugar content. Last year, the company rolled out its original juice drink pouches with nearly 40% less sugar, with an average of 8 grams of total sugars and 5 grams of added sugars. The company noted that formulators used monk fruit concentrate, which reduced the drink’s sugar content, but maintained the iconic taste.

Top shelf-stable bottled fruit drinks (individual brands)

		DOLLAR SALES	% CHANGE vs PRIOR YEAR	MARKET SHARE	% CHANGE vs PRIOR YEAR
1	Snapple	$379,231,520	8.8	14	0.1
2	Hawaiian Punch	$264,303,696	22.9	9.7	1.2
3	Bai	$258,021,097	-13.1	9.5	-2.3
4	V8	$187,741,009	-3.7	6.9	-0.8
5	Arizona	$154,338,281	6.4	5.7	-0.1
	Category Total*	$2,714,987,458	8	100	---

“Sugar, especially in the beverage category, is a major pain point for parents,” Erica Watkins, associate brand director for Capri Sun, said in a statement at the time of the launch. “As a category leader and kids’ No. 1 favorite juice drink, it was critical that the renovation meet our brand’s size and scale without compromising our iconic taste or our commitment to using all natural ingredients.”

Another brand that focuses on sugar content in juices is the Clermont, Fla.-based Uncle Matt’s Organic. The brand launched two shelf-stable offerings for kids: No Sugar Added Lemonade Juice Boxes and No Sugar Added Strawberry Lemonade Juice Boxes. The line contains zero added sugars, stevia sweeteners and plenty of daily vitamin doses.

Ocean Spray Immunity — *Image courtesy of Ocean Spray*

“So many offerings for kids are still loaded with sugar as well as artificial colors, flavors and ingredients,” said Susan McLean, vice president of marketing and innovation at Uncle Matt’s, in a statement at the time. “We are proud to launch an organic beverage option that was carefully crafted with vitamins and antioxidants for added functional and wellness benefits.”

BMC’s Hemphill noted in Beverage Industry’s December 2022 issue that beyond sugar-reduced juice and juice drinks hybrid beverages have become more popular, but hybrid juice products “haven’t significantly impacted performance of the category overall.”

“Juice is a great category for fortification and we’ve seen many examples of this in recent years,” Hemphill said. “Calcium, vitamin D and C, and even zinc have been popular with juice brands.”

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Chloe Alverson is Beverage Industry’s associate editor, writing and editing for the magazine about all sorts of beverages and companies. She earned a Bachelor of Arts in Journalism from Michigan State University and resides in Metro Detroit.