IBISWorld Industry Market Research: The U.S. Soda Production Industry is Expected to Earn Revenue of $42.8 billion in 2016

NEW YORK, Nov. 14, 2016 /PRNewswire/ -- Over the past five years, falling per capita soft drink consumption significantly affected the performance of the Soda Production industry. Demand for both regular and diet carbonated soft drinks has declined as more consumers turn to healthier beverages to quench their thirst. IBISWorld estimates industry revenue will decline at an annualized rate of 0.9% to $42.8 billion over the five years to 2016.

For the full report, visit IBISWorld's Soda Production in the US industry report page.

To mitigate losses from lower consumption, major producers have introduced new soda products. Two of the leading manufacturers, The Coca-Cola Company and PepsiCo, launched new mid-calorie soda products that appeal to consumers who dislike the taste of diet soda but do not want to consume the calories in regular soda. Strong brand loyalty and new artisanal products allowed producers to keep prices high while input costs fell, raising average industry profit. However, according to IBISWorld Industry Analyst Chrystalleni Stivaros, "strong media coverage on the adverse effects of sugary beverages ultimately burst producers' bubble and caused revenue to decline."

Over the five years to 2021, the industry's soda segment will experience a difficult operating environment as government campaigns promoting healthier habits cause consumers to purchase less soda. Health concerns are also expected to curb demand for energy drinks, causing this product segment to grow more conservatively than during the previous period.

Downstream industries impacted:

Soft Drink, Baked Goods & Other Grocery Wholesaling in the US  
Vending Machine Operators in the US

Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld 
Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189 

IBISWorld industry Report Key Topics

Industry Performance
Products & Markets
Globalization & Trade
Major Companies
Operating Conditions
Key Statistics

About IBISWorld Inc.
Recognized as the nation's most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. For more information, visit www.ibisworld.com or call 1-800-330-3772.

Contact Information
Kathryn White
Media Relations Specialist
[email protected] 
+1 917-267-0351 Ext: 351

Logo - http://photos.prnewswire.com/prnh/20161108/437083LOGO  

SOURCE IBISWorld Inc.

Related Links

http://www.ibisworld.com