Soda Sales Fall for First Time in 20 Years

New York Times ^ | March 9, 2006 | MELANIE WARNER

[nickcarraway]

The next generation may not be the Pepsi generation — or the Coke generation, for that matter.

For years, soda has been the quintessential American drink, considered the perfect thirst quencher, morning pick-me-up or accompaniment to lunch or dinner.

But that is slowly changing.

As Americans look for greater variety in their drinks and strive for healthier diets, consumption of soda — with its 250 calories and 67 grams of sugar in a 20-ounce bottle — is slipping.

Data released yesterday by Beverage Digest, the industry trade publication, shows that for the first time in 20 years, the number of cases of soda sold in the United States declined. Case volume in 2005 was down 0.7 percent, to 10.2 billion cases.

Coke's flagship brand, Coca-Cola Classic, was down 2 percent, and original Pepsi from PepsiCo was down 3.2 percent.

In recent years, soda has come under increasing fire from critics who see it as little more than liquid candy and blame it for contributing to America's looming problem of childhood obesity. Results of a study that was released on Monday link soda to weight gain among teenagers.

While soft drinks are still the country's most heavily consumed beverage, the category is losing ground to bottled water, sports drinks like Gatorade and Powerade and energy drinks like Red Bull and Full Throttle. Last year's volume data for these drinks is not yet available, but John Sicher, publisher of Beverage Digest, said he expected that the growth in these three categories would be up by double digits.

"Traditional carbonated soft drinks have got a tough road ahead," Mr. Sicher said. "The migration to water and sports drinks and other noncarbonated drinks seems to be permanent."

In a research report yesterday, William Pecoriello, a beverage analyst at

[neodad]

IBBF! (In Before Bush's Fault)

[TXBubba]

I keep telling the guys at Coke to give us Diet Coke with Lime and Splenda. Nothing yet.

[fishtank]

I guess the fridges are going to get stinky...either that, or people aren't baking....

[billorites]

Nothing beats this stuff.

[FreedomFarmer]

Empty calories and no nutritional value. Rather like talking to a socialist.

[radiohead]

I don't care what they say - Diet Pepsi, breakfast of champions.

[alisasny]

For Lent I gave up soda and buying soda. I told my children I would not be buying any more soda. So far its working out well and I am drinking much more water and flavored water.

[adamsjas]

[GOP_Party_Animal]

Demand is slipping because people can't find this:

[discostu]

They saw the handwriting on this wall a long time ago, that's why the big soda companies have been expanding into non-soda beverages and even non-beverages. Check out these products lists, I don't think they're worried about soda's market share very much.

http://www2.coca-cola.com/brands/brandlist.html
http://www.pepsico.com/PEP_Company/BrandsCompanies/index.cfm

[Jemian]

Boy! Do I feel guilty. Around Valentine's Day a report came out which showed a link between aspartame and cancers such as leukemia and lymphoma. I immediately stopped with the Diet Coke (a little more than 2 liters a day). Now, this, coke has lost market share. It's my fault. It's all my fault.

[chpmass]

They've learned how to make suckers pay a dollar for a bottle of Dasani and/or Aquafina, which is a much more lucrative market marginwise than soda ever was.

[Global2010]

I am really happy with Diet Cherry Coke and it is hard to find now that they are pushing Diet Vanilla Cherry Coke.

Diet Cherry Pepsi is to sweet for my liking.

I do think they have Diet Lime Coke or is it that you don't have splenda.

I also love my Diet 7up the other non cola's leave an after taste.

Then there is Safeway Seltzer Lemon Lime which is no sweetener no sodium.

And for breakfast/lunch ROCK STAR diet
Gotta have the bubbles for the tummy.

[Kaylee Frye]

Diet Rite, baby! Still get my cola flavor, but no sugar or caffeine!

[Young Werther]

Every year before Super Bowl the soda manufacturers increase there prices. I've seen $3.68 for a 12 pack! They didn't charge that much when Coca Cola contained the essence of the coca plant! I realize the gasoline prices have hit food prices, ($2.00 for a loaf of bread!) but I'll drink tap water first.

Change the Lightbulbs and this cost will be brought back under control!

[rwfromkansas]

I find sports and energy drinks to not be tasty at all.

I try to drink as much water as I can, but I will always have pop as well.

I can't stand it when people call it soda...that reeks of New England elitism.

It is POP, dang it. :)

[rwfromkansas]

If flavored water okay?

[discostu]

Actually other companies spearheaded the bottled water movement, but Coke was smart enough to see that their success meant soda might not be a cash cow forever and started diversifying. Of course with their marketing and wholesale clout they pretty quickly killed most of the other water competition.

[rwfromkansas]

Yikes. Glad I don't drink aspertame...use splenda soft drinks (who knows...may be cancer risk there).