U.S. SODA CONSUMPTION FIZZLES

U.S. consumption of carbonated soft drinks fizzled in 2011 to its lowest level since 1996, as more health-conscious consumers opted for bottled waters, juice, teas and energy drinks over sugary soft drinks, according to a new market report from Beverage Digest. Despite declining consumption, retail sales of carbonated soft drinks rose 2% to $75.7 billion in 2011 due to the fact that manufacturers passed on higher raw materials cost to consumers at retail.

According to the report, the average U.S. consumer drank 714 8-ounce servings of carbonated soft drinks last year, down from 728 in 2010. Total consumption was 9.274 billion cases in 2011, down 1% from the previous year and the seventh consecutive year of decline.

The Big 3—Coke, PepsiCo and Dr Pepper Snapple—each lost volume in 2011. However, the energy drink market grew 16% in 2011, with Monster, Red Bull and Rockstar each posting double-digit volume growth and gained share.

Among the Top10 carbonated soft drinks brands, Coke has the No. 1 and No. 2 brands with Coke and Diet Coke; PepsiCo has the No. 3 and No. 4 brands with Pepsi and Mt. Dew