Nonalcoholic Beverage Manufacturing Industry Overview

Excerpt from Nonalcoholic Beverage Manufacturing Report

Companies in this industry produce soft drinks, bottled water, and other nonalcoholic beverages. Major companies include Britvic (UK), Coca-Cola (US), Cott (Canada), Dr Pepper Snapple Group (US), Nestlé (Switzerland), PepsiCo (US), and Red Bull (Austria).

Competitive Landscape

Demand for nonalcoholic beverages is driven by consumer tastes and demographics. The profitability of individual companies depends on effective marketing. Large companies have economies of scale in production and distribution. Small companies can compete by producing new products, catering to local tastes, or selling at lower prices. The industry is highly concentrated: the eight largest soft drink companies account for about 70 percent of the market and the eight largest bottled water companies account for about 85 percent of the market.

Products, Operations & Technology

Major products include soft drinks (about 85 percent of industry revenue) and bottled water (about 15 percent). Soft drinks include sodas (also referred to as carbonated soft drinks, or CSDs), as well as tea and coffee drinks, sports drinks, energy drinks, fruit and vegetable drinks, and artificially carbonated water.