- Sales of carbonated soft drinks decreased and sales of sparkling water increased, based on Nielsen’s year-over-year beverage sales data for the four-week period ending on Nov. 5, Wells Fargo Securities reported, according to Bevnet.
- Carbonated soft drinks registered a 0.2% drop in dollar sales during this time, bolstered by an 0.8% price bump. Volume sales fell by 0.9 percent. The Coca-Cola Co., however, did reverse this trend, achieving a 1.1% increase in both dollar and volume sales.
- Flavored sparkling bottled water varieties were up 15.6% in dollar sales and 16.1% in volume sales, driven by big gains for National Beverage Corp.-owned LaCroix, (up 67.4%), Nestle Holdings (up 18.7%) and Polar Corp. (up 14.9%).
While soda sales continue their downward spiral, there are some brands that have kept their spritz. The report revealed strong performances by Sprite (up 6.1% in dollar sales) and Fanta (up 19.9%).
It’s no secret that both Sprite and Fanta have targeted millennials in their recent marketing campaigns, with the former focusing on digital technology such as 360 video content and integrated virtual reality, and the latter running a campaign inspiring young people to embrace the “playful, fun side of life.”
Leading sparkling water brands also target younger consumers; this demographic prefers sparkling water over plain water and the flavors help boost their popularity. Millennial interest is one of the reasons the sparkling water sub-segment of the global bottled water market has risen to above 20% in recent years.
Sparkling water can also provide a wide range of health benefits that soda can’t, such as improving digestion, and hydrating minerals and electrolytes. Studies also suggest that sparkling water may improve swallowing ability in both young and older adults.