|SIC Codes:||2043 2097 2086|
|NAICS Codes:||311920 312111 312113 312112|
Companies in this industry produce carbonated and noncarbonated soft drinks, bottled water, and ice. Major companies include Coca-Cola, Dr Pepper Snapple, and PepsiCo (all based in the US), along with Britvic (UK), Cott (Canada), Danone (France), Nestlé (Switzerland), Red Bull (Austria), and Suntory (Japan).
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 US industry is highly concentrated: the top 50 companies account for 90 percent of revenue.
Major products include soft drinks (about 85 percent of industry revenue), bottled water (about 10 percent), and manufactured ice (less than 2 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 (but not pure fruit and vegetable juices), and artificially carbonated water.Buy Now