Coca-Cola Nears +5.0% Category Share Gain in Flavored and Enhanced Bottled Water.
PepsiCo Takes RTD Tea Share as Arizona and KDP-Owned Snapple Slip.
Results for the first half of this year show dollar sales growth across all US non- carbonated beverage categories tracked by BD. Shelf-stable juice drinks was the only tracked category that did not also post volume sale growth (see table). Sports drinks performed strongest, generating +11.5% volume growth and +19.5% dollar growth. That category also posted an +8.0% pricing gain. The smallest category pricing increase was +3.7% (ready-to-drink teas; enhanced/flavored bottled water). For comparison, the Consumer Price Index for all consumer goods purchased in cities jumped +5.4% for the 12-months ending in July, compared to the same period a year ago. That matched the gain posted in June, which was the highest increase in 13 years. The index for “food at home” grew +2.6% in July. Federal Reserve Chairman Jerome Powell warned last month that there could be months of price inflation before the situation moderates. He attributed the increases in part to higher demand and supply constraints. Similar factors have contributed to higher beverage pricing, as manufacturers struggle to keep retail shelves stocked (see story page 2).
GREEN SHEET METHODOLOGY. The Green Sheet included with this newsletter details performance for select brands within the water, sports drinks, ready-to-drink tea, and shelf- stable juice categories. The multi-outlet data in the Green Sheet covers supermarkets, c-stores, drug chains, mass merchandisers including Walmart, club stores, dollar chains and the military channel. The data draws from two separate information sources. Data points were chosen to provide the best possible metrics for the brands, companies and categories for which data is provided.
SPORTS DRINKS GAIN. Gatorade Zero and BodyArmor drove sports drink category growth, with volume gains of +35% and +53% respectively and dollar gains of +44% and +49% (Green Sheet). Overall, market leader Gatorade (PepsiCo) lost volume and dollar share, as did Powerade (Coca-Cola). BodyArmor took share by both measures. Gatorade and Powerade, each facing product shortages, boosted pricing across the brands’ portfolios. BodyAmor pricing declined -4.0%.
VITAMINWATER PUSH. Vitaminwater posted strong volume and dollar sales growth for its regular and zero sugar versions and gained share of the enhanced/flavored water category. The brand posted pricing growth while also gaining volume and dollar share. Smartwater also gained by all measures. PowerWater, which grew volume and dollars by a triple-digit percentage, outperformed the brand’s much larger competitor, Propel, which grew +1.9% by volume and +6.3% by dollars. Overall, Coca-Cola’s brands gained almost +5.0 volume and dollar share points of the flavored and enhanced water category tracked by BD.
RTD TEA. PepsiCo took share of the ready-to-drink tea category led by both mainstream Lipton and the more premium Pure Leaf brand. Coca-Cola’s Gold Peak also gained share. Fuze, meanwhile, has been discontinued in the US. Arizona and Keurig Dr Pepper’s Snapple each lost volume and dollar share on higher pricing.
PLAIN WATER. Essentia and Fiji took share in the water category, growing volume +32.0% and +22.5% respectively. BlueTriton Brands, which was Nestlé Waters North America prior to an April private equity buyout, grew several key brands including Pure Life and Poland Spring.
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