With the introduction of the soft drinks sugar levy in April 2018, the majority of soft drinks producers reformulated the ingredients of their drinks ahead of the implementation of the tax, responding to the new requirements. This industry-wide reformulation was a key element, preventing a fall in market share for carbonates.
Consumer interest in health and wellness products is rapidly increasing in the UK. This is one of the major reasons for consumer preferences now changing from traditional cola carbonates to flavoured bottled water.
Premium carbonates continued to perform well during the review period. The recent boom in premium and craft spirits consumption has boosted adult soft drinks such as mixers.
Britvic Soft Drinks continued to grow and gain share in 2018. The company’s success is due to the strong performance of its Pepsi Max brand.
Although Britvic Soft Drinks’s sales are growing in both value and volume sales and the player is therefore becoming more competitive, Coca-Cola Enterprises remains the leader in carbonates. In 2018, it lost share as a consequence of the weak performance of its regular cola range and its Diet Coke brand.
Boosted by the gin boom, Fevertree Ltd continues to increase its sales in volume and value terms. This success can be explained by premiumisation and healthy drinking trends, which lead the growth of premium mixers such as the Fever-Tree brand.
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This industry report originates from Passport, our Soft Drinks market research database.