An Overview of the Global Soft Drinks Market in 2017

the first important point to make about

the world of soft drinks in 2016 and

heading into 2017 is to despite the

volatility that we've been seeing in the

industry it has been a year of growth we

see 3% global volume growth and soft

drinks for 2016 and that's led mainly by

the bottled water category but also some

enhanced water categories coconut

another plant water did very well energy

drinks and high-value premium products

2016 and 2017 in the industry will not

be without big challenges for the soft

drinks industry and one of those perhaps

the biggest challenge is the prominence

of sugar and sugar reduction in the

diets of consumers now this is not just

at a developed market phenomenon

increasingly we're seeing regulatory

pressure cause the tax increases and

more attention being placed on sugar

when it comes to developing market

consumers as well so this is something

that's going to remain top of mind for

both brands governments and consumers in

2017 one category that's performed

particularly well in 2016 and we

anticipate will do very well in 2017 a

premium hydration products so that's

waters or enhanced waters with some

added value in terms of functionality

sports drinks continue to perform very

well functional waters products like

vitamin water have done extremely well

and all natural hydration products like

coconut water and other plant waters

were a big success story in 2016 and

heading into 2017 one category that is

forced to reinvent itself over the next

several years is going to be carbonate

for the sparkling category volumes are

down in many developed markets or the

value sales have managed to inch up

based mainly on smaller package sizes

and more premium products but we're

seeing more alternative sparkling

products products like Lacroix or

sparkling ice in the US there were big

success stories globally and we'll

anticipate more ways that brands can

bring out lower sugar or zero sugar

sparkling products in 2017 the energy

drinks category also remains a success

story although it has matured over the

last couple of years one aspect of you

drinks that is driving growth now is

innovation a new package sizes are

larger package sizes as well as flavors

and so we saw monster and Red Bull

bringing out new flavor extensions to

their existing portfolios and the

natural energy as well was a something

that we anticipate will be a consumer

interest over their forecast period

brewed beverages meaning RTD coffee and

RTD t demonstrated fairly strong growth

as well in 2016 heading into 2017 lower

sugar tees and premium all-natural tees

were a success story starbucks exhibited

double-digit value growth with its RTD

coffee products in 2016 and we would

anticipate more strong growth there as

well and then another aspect of brewed

beverages is cold brew coffee which is

increasingly making the transition from

a niche product into the mainstream and

then finally one big success story in

2016 has been super premium juices the

juice category is a whole particularly

hundred percent juice is not performed

as well as it has in the past however

the highest tier of single serve super

premium juices products like Odwalla and

maked and innocent in the UK these

continue to demonstrate strong growth

and we would expect this to be a real

point of innovation for manufacturers

over the next year