Although the carbonated soft drink (CSD) market penetrates approximately 90 percent of consumer households, the mature beverage category has struggled due to declining sales across nearly every segment.
Although carbonated soft drinks (CSDs) still is among the top performing beverage categories, more than a decade of volume declines has challenged the established category as it competes with better-for-you beverages and premium products.
As one of the largest independent Pepsi-Cola and Canada Dry bottlers in the United States, Pennsauken, N.J.-based The Honickman Group, not only is making a difference in the territories it serves on the East Coast — New York, New Jersey, Pennsylvania, Delaware, Maryland, Virginia and Washington, D.C. — but also in the broader beverage community.
Dr Pepper Snapple Group Inc. (DPS), Plano, Texas, reported third quarter net sales of $1.68 billion, a 3 percent increase on favorable product and package mix, a 1 percent increase in sales volumes and higher pricing. Net sales growth was reduced in the quarter by 1 percentage-point of unfavorable foreign currency translation.
As consumer demand continues to change, market research and analysts indicate that the U.S. market for carbonated soft drinks (CSDs) continues to struggle.
For the past several years, the beverage industry has faced an evolution in consumer demand. A consumer drive toward maintaining overall health and wellness has impacted several categories, particularly carbonated soft drinks (CSDs).
In 1947, six employees in a wooden World War II Army hangar in Mississippi began distributing Canada Dry products. Today, that small operation has grown into a three-generation, family-run PepsiCo Inc. franchise with 328 SKUs.
Although cola continues to dominate the volume sales for the packaged carbonated soft drink (CSD) market, the staple flavor has seen its competition rise in the ranks.