In 2024, Coca-Cola was ranked as the ******* carbonated soft drink (CSD) company in the United States, with a volume share of **** percent. Ranked ******, PepsiCo garnered a volume share of **** percent that year. The carbonated soft drink industry Carbonated soft drinks are processed flavored beverages packaged in bottles and cans. Unlike alcoholic beverages, carbonated soft drinks have no age limit and are widely available to consumers in hypermarkets, supermarkets, convenience stores and other retail outlets. In order to appeal to the health conscious, soft drink brands have launched diet or no-sugar versions of their products. In 2018, nearly ** percent of American consumers aged between 30 and 49 years had had Coca-Cola Zero within the previous month. Some of the biggest companies in the world produce carbonated soft drinks: among them are Keurig Dr Pepper and PepsiCo, who had a global net revenue of **** and **** billion U.S. dollars, respectively. Carbonated soft drinks are segmented into various flavors such as lemon, cola, orange, and grape.

This timeline shows the market share of leading carbonated soft drink (CSD) companies in the United States from 2013 to 2024. Throughout this entire period, the Coca-Cola Company was the ******* CSD company. In 2024, Coca-Cola's carbonated soft drink market share amounted to roughly ** percent.  Carbonated soft drinks Carbonated soft drinks belong to the non-alcoholic beverage industry. Depending on the region, they are also well-known as soda, pop, or carbonated beverages, and cover drinks containing water, sugar or a type of artificial sweetener, and a flavoring agent. Those fizzy drinks are mostly available in regular and diet varieties. A broader definition of soft drinks may additionally include non-alcoholic ready-to-drink beverages such as juice, bottled water, functional drinks (sports and energy drinks), and coffee and tea (hot and iced).Multinational companies facing the high competition in the soft drink market comprise The Coca-Cola Corporation, Pepsi-Co. Inc. and Dr Pepper Snapple. In this segment, The Coca-Cola Corporation and PepsiCo have been long-term competitors for ages. PepsiCo always has to face the so-called ’Pepsi challenge’ as rivaling with Coca-Cola. The ‘Pepsi challenge’ originally was set up as a taste experiment. Consumers were invited to degust beverages out of two blank cups – one filled with Pepsi Cola and one containing Coca-Cola. Consumers were then asked to evaluate the taste of these two drinks and to make a choice which one of them they would prefer. The blind test let most Americans surprisingly learn that they would prefer Pepsi Cola over Coca-Cola, only guided by taste.

The Soft Drinks Market report segments the industry into Soft Drink Category (Carbonated Soft Drinks, Energy Drinks, Juices, RTD Coffee, RTD Tea, Sport Drinks), Packaging Type (Aseptic packages, Disposable Cups, Glass Bottles, Metal Can, PET Bottles), Distribution Channel (Off-trade, On-trade) and Region (Africa, Asia-Pacific, Europe, Middle East, North America, South America).

The Carbonated Soft Drinks Market report segments the industry into Soft Drink Type (Diet Cola, Fruit Flavored Carbonates, Standard Cola, Other Types), Packaging Type (Disposable Cups, Glass Bottles, Metal Can, PET Bottles), Distribution Channel (Off-trade, On-trade), and Region (Africa, Asia-Pacific, Europe, Middle East, North America, South America). Five-year historical data and market forecasts are included.

The Soft Drink Manufacturing industry is experiencing significant changes. As consumers prioritise their health and wellness, demand for traditional high-sugar soft drinks continues to decline, with demand shifting towards sugar-free, functional and natural alternatives. This trend is evident in the growing popularity of zero-sugar beverages, kombucha and flavoured water, while high-sugar CSDs face diminishing sales. Meanwhile, demand from supermarkets and grocery stores has faced challenges from expanding ranges of private-label soft drinks and health-conscious beverage alternatives. Private-label products, along with imported beverages, have intensified price competition, challenging domestic manufacturers’ market shares. Manufacturers have invested in automation and sustainability initiatives, which have helped streamline their operations and reduce costs. However, rising raw material prices and intense competition have continued to pressure profit. Mounting consumer demand for premium and functional beverages has led major brands like Coca-Cola and Asahi to diversify their portfolios with innovative products like prebiotic sodas and low-sugar options. Industry revenue is expected to have fallen at an annualised 1.9% over the five years through 2024-25 to $3.8 billion. This includes an anticipated dip of 2.9% in 2024-25 as rising health consciousness weighs on demand. Sustainability and operational efficiency are becoming critical factors as manufacturers seek to balance cost pressures with the need to deliver high-quality, innovative products that resonate with consumers' preferences. In the coming years, the industry’s landscape will shift as economic conditions improve and disposable incomes rise. Demand for premium, functional and health-focused beverages will continue to grow, expanding manufacturers' revenue opportunities. Health-conscious consumers will increasingly favour products with natural ingredients and added benefits, prompting companies to invest in research and development to reformulate existing products and launch new lines. Manufacturers will leverage advanced technologies, including AI and Internet of Things (IoT), to optimise production, enhance quality and engage consumers through personalised marketing campaigns. Also, the trend towards sustainability will intensify, with companies projected to adopt eco-friendly packaging and reduce their environmental footprint to meet regulatory requirements and consumer expectations. As competition from imports and private-label brands persists, domestic players will need to focus on innovation and operational efficiency to maintain profitability. By embracing these shifts, the industry will position itself for long-term growth and resilience in an increasingly competitive and health-driven market. Revenue is forecast to rebound at an annualised 0.4% over the five years through 2029-30 to $3.9 billion.

The global soft drinks market size reached USD 629.2 Billion in 2024. Looking forward, IMARC Group expects the market to reach USD 886.2 Billion by 2033, exhibiting a growth rate (CAGR) of 3.84% during 2025-2033. The market demand is experiencing moderate growth driven by the expanding middle-class population in emerging markets, rapid urbanization, on-the-go lifestyles, and expanding e-commerce and direct-to-consumer channels. Significant innovation and product diversification are also projected to fuel the market growth.

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the global, regional, and country levels for 2025-2033. Our report has categorized the market based on product and distribution channel.

Rising health consciousness is shaping the Soft Drink Production industry, with consumers increasingly reaching for diet or lower sugar soft drinks. Strong consumer interest, combined with regulatory pressure such as the 2018 Soft Drinks Industry Levy, has driven widespread reformulation as producers adapt their portfolios to meet both legislative requirements and evolving tastes. Soft drink sales are booming in the on-trade segment as consumers increasingly shift away from alcohol, boosting demand for soft drinks. Producers have struggled with escalating input costs, particularly sugar prices, which peaked in August 2024 due to shifting trade dynamics. Soft Drink Production revenue is expected to swell at a compound annual rate of 0.7% to £8.7 billion over the five years through 2025-26, with revenue expected to climb by 1.5% in the current year. The shift away from alcohol to soft drinks continues to drive industry revenue, creating opportunities for players to market themselves as premium soft drink producers. Producers are expanding their low-calorie ranges with adventurous flavour profiles to boost appeal to health-conscious consumers seeking novel drink experiences, like IRN-BRU’s launch of a Raspberry Ripple low-calorie variant in March 2024. Surging input costs, including a sharp rise in aluminium prices in March 2025, have squeezed profitability, keeping it below pre-pandemic levels. Larger Soft Drink Producers have been able to leverage strong brand loyalty to pass on these costs through higher prices and shrinking product sizes, though smaller producers struggled. Major players are also using their scale to form strategic partnerships to refresh brand image and boost appeal among younger generations, like Coca-Cola’s partnership with the Premier League. Industry revenue is forecast to climb at a compound annual rate of 3.7% to £10.4 billion over the five years through 2030-31. Flavour innovation will remain key as producers align with the growing demand for healthier soft drinks. The premium push is set to continue, with brands positioning themselves as alcohol-free beverages that still offer a sense of indulgence. Larger players are expected to use their scale to pass on rising input costs and acquire smaller, nutritional soft drink brands to strengthen their wellness credentials. UK Soft Drink Producers will face mounting environmental pressure as the nation progresses towards net zero, compounded by regulations like the Extended Producer Responsibility scheme launched on 1 January 2025. This will force producers to innovate to remain compliant and attract eco-conscious consumers in the coming years.

The two leading carbonated beverage companies are the Coca-Cola Company and PepsiCo Incorporated. In 2015, Coca-Cola Co. controlled just under ** percent of the global carbonated beverage market, while PepsiCo controlled just over ** percent of the market. Coca-Cola - the market leader Coca-Cola's market share demonstrates their dominance in the soft drink industry. The company also produces a wide range of other beverages to meet consumer’s needs. Other product ranges include juices, tea, coffee, water, and sports drinks. In Latin America, tea and coffee was Coca-Cola's fastest growing product category, whilst soft drinks were growing fastest in Asia Pacific. Soft drinks market in the U.S. Between 2018 and 2019, the volume of carbonated soft drinks sold in the United States decreased, while sales of value-added water increased by over ***** percent; demonstrating a shift in beverage preferences among Americans. That being stated, carbonated soft drinks still have the highest sales volume of any liquid refreshment beverage in the United States, at over ***** billion 192-oz cases.

Global carbonated soft drinks market was valued at US$ 467.2 Million in 2024 and is set to reach around US$ 821.75 Million by 2034 at a CAGR of about 5.4%.

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Soft Drinks Market Size 2025-2029

The soft drinks market size is forecast to increase by USD 982.4 billion, at a CAGR of 12.6% between 2024 and 2029.

The market is characterized by three key drivers: the hectic lifestyle leading to the need for instant energy, the increasing demand for craft soft drinks, and the challenges posed by rising obesity rates and related health issues. The contemporary consumer base, particularly in urban areas, is increasingly time-starved and seeks convenient energy boosters. Soft drinks, with their quick energy delivery, cater to this need effectively. Moreover, the emergence of craft soft drinks, with their unique flavors and artisanal appeal, has added a new dimension to the market. Consumers are no longer content with mass-produced, homogeneous offerings; they seek diverse, authentic, and high-quality beverage options. This trend is particularly prominent among millennials and Gen Z consumers, who are more likely to experiment with new flavors and brands. However, the market also faces significant challenges. The growing awareness of the health risks associated with excessive sugar consumption has led to increased scrutiny of the industry. Obesity rates, particularly among children, continue to rise, fueling concerns about the long-term health consequences of soft drink consumption. Governments and health organizations are responding with stricter regulations and public health campaigns, which could impact market growth. Companies must navigate these challenges by offering healthier alternatives, such as low-sugar or zero-sugar options, and by engaging in transparent marketing practices. By staying attuned to these market dynamics, companies can capitalize on the opportunities presented by the evolving soft drinks landscape while mitigating potential risks.

What will be the Size of the Soft Drinks Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
Request Free SampleThe market continues to evolve, with dynamic market dynamics shaping its various sectors. Production capacity expands to meet consumer demand for an array of beverage offerings, from gourmet sodas and fruit juices to sports drinks and functional beverages. Taste perception remains a key driver, with flavor profiles constantly evolving to cater to changing preferences. Filtration systems and water treatment technologies ensure product quality, while manufacturing processes are optimized for energy efficiency. Health and wellness trends influence the market, leading to an increase in sugar-free options, organic choices, and natural ingredients. Vending machines and fountain dispensers are integrated into convenience stores and retail environments, providing consumers with easy access to their preferred beverages. Beverage dispensing systems, including draft systems and cold chain technologies, ensure product freshness and consistency. Artificial sweeteners and flavoring extracts are used to create low-calorie and sugar-free options, catering to consumer preferences for healthier alternatives. Quality control measures are implemented to maintain product integrity, while supply chain management and distribution channels are optimized for efficiency. Social media marketing and digital marketing strategies are employed to reach consumers effectively. Environmental impact is a growing concern, leading to innovations in water conservation and sustainable packaging formats. Product innovation continues to drive the market, with new offerings in specialty sodas, craft sodas, and functional beverages. Pricing strategies are adjusted to remain competitive, reflecting the ongoing unfolding of market activities and evolving patterns.

How is this Soft Drinks Industry segmented?

The soft drinks industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments. ProductCarbonated soft drinksJuices and juice concentratesBottled waterRTD tea and coffeeOthersDistribution ChannelOfflineOnlineGeographyNorth AmericaUSCanadaEuropeFranceGermanyItalyUKAPACChinaIndiaJapanSouth KoreaRest of World (ROW).

By Product Insights

The carbonated soft drinks segment is estimated to witness significant growth during the forecast period.The carbonated the market is undergoing a notable evolution, shaped by shifting consumer preferences and a growing focus on health and wellness. Traditional sales have plateaued, but the sector continues to expand through the introduction of innovative, healthier alternatives. Major players, such as PepsiCo and Coca-Cola, are adapting to this trend by reformulating their products with reduced sugar content and natural ingredients. This shift is most prominent in

Carbonated Soft Drink Market Size, Share & Trends Analysis Report by Flavour (Cola, Citrus, and Others), By Distribution Channel (Hypermarkets & Supermarkets, Convenience stores & Gas Stations, Food Services Outlets, Online Stores, and Others), and By Region - Market Scope, Global Growth Opportunities, Threats & Industry Research Forecast, 2021-2028

Global Soft Drinks Market is projected to witness lucrative growth by reaching up to USD 756.7 billion by 2030.

Global Soft Drinks market size is expected to reach $598.26 billion by 2029 at 5%, increased demand for food and beverages fuels growth in the soft drink market

In 2024, PepsiCo's U.S. market share in carbonated soft drinks was 23.8 percent. PepsiCo is an American food and beverage corporation, based in Purchase, NY. Famous company brands are Pepsi and Mountain Dew. Other soft drink industry market shares may be found here. PepsiCo. PepsiCo, Inc. is an American multinational food, snack, and beverage corporation. Their most renowned product is their Pepsi soft drink, which was developed 1898 by Caleb Bradham. The company was founded in 1902 by Bradham himself and experienced financial success up to World War I. As a result of sugar rationing during the war, Bradham declared bankruptcy. In 1923, the Pepsi secret recipe and company trademark was purchased by Charles Guth of the Craven Holding Corporation. Guth was president of Loft Incorporated, a candy manufacturer that ran 155 stores across the United States. Loft was responsible for the reformulation and promotion of Pepsi. After a lengthy court battle between Guth and Loft Inc., Pepsi was absorbed into Loft, and re-branded as Pepsi-Cola Company (PepsiCo) in 1935. Since then, PepsiCo has introduced other drink brands, as well as snack foods. PepsiCo has established itself as ****** most popular soft drink company in the United States.

The global soft drinks market is a dynamic and competitive landscape, characterized by a substantial market size and consistent growth. While precise figures for market size and CAGR are not provided, based on industry reports and the listed major players, we can reasonably estimate the 2025 market size to be around $500 billion USD, with a compound annual growth rate (CAGR) of approximately 3-5% projected for the 2025-2033 forecast period. This growth is driven by several factors, including increasing disposable incomes in emerging economies, changing consumer preferences towards diverse flavors and functional beverages, and the continuous innovation in product offerings such as healthier alternatives and premium options. Key trends include the rising demand for natural and organic ingredients, the increasing popularity of functional beverages (energy drinks, sports drinks, etc.), and the growing focus on sustainable packaging. However, several restraints exist, including increasing health concerns related to sugar consumption, stricter regulations on sugary drinks, and fluctuating raw material prices. The market is segmented by various product types, including carbonated soft drinks (CSDs), non-carbonated soft drinks (NCDs), bottled water, and functional beverages. The competitive landscape is dominated by multinational corporations like Coca-Cola, PepsiCo, and Nestle, but also includes regional and smaller players catering to niche markets. The regional distribution likely mirrors global population distribution, with North America, Europe, and Asia-Pacific representing significant market shares. The continued success in the sector depends on adapting to evolving consumer preferences, fostering innovation to meet health-conscious demand, and establishing sustainable and responsible practices throughout the production and distribution chain. Future growth will likely be driven by premiumization, functional benefits, and an increasing emphasis on sustainability.

Carbonated soft drink market accounted for a valuation of USD 221.8 billion in 2020 & is expected to register a CAGR of 4.9%. The availability of carbonated soft drinks in a wide variety of fruit flavors has boosted their demand among consumers.

Ready-to-drink (RTD) tea dominated the soft drinks market in Japan in 2024, with around ** percent of sales shared between black tea and other tea drinks. The Japanese non-alcoholic beverages market presents a broad portfolio of liquid refreshment beverages, which are purchasable not only via general store and non-store channels but also at over *** million vending machines installed in Japan. Tea to go in Japan Tea is a popular beverage drank in Japan, with the brewed beverage being considered a healthy alternative to mineral water and carbonates in the non-alcoholic beverage market. While the hot drink used to be prepared with dried tea leaves and freshly boiled water in the past, the market has shifted to a timesaving and convenience-centered strategy to make the beverage available at any time. Bottled RTD teas include a variety of standard teas like green or black tea as well as infusions of roasted barley, herbal teas, and grain mixes. With new, limited releases and renewals of existing products entering the Japanese market regularly, the segment is steadily impeding the growth of rivaling soft drink segments. Variety in manufacturing The Japanese non-alcoholic beverage industry is characterized by a variety of manufacturers with different strategies to approach the consumer market. While large holding companies originating from the alcoholic beverages segment are competing with a multifaceted product portfolio to cover numerous segments of the soft drinks market, other manufacturers are building their portfolios around one segment. Ito En, Ltd. has successfully established itself as a leader for RTD green tea products with a third of the market share, whereas Yakult Honsha is leading the probiotic milk drinks segment. As startups are entering the market with innovative refreshers addressing current trends and a social media-focused marketing strategy, established manufacturers are varying their assortment with seasonal flavors to win over new consumers.

The report covers Global Soft Drink Concentrates Brands and is segmented by Type (Carbonated Drinks and Non-Carbonated Drinks); by Distribution Channel (Supermarkets/Hypermarkets, Convenience Stores, Online Retail Stores, and Other Distribution Channels); and by Geography (North America, Europe, Asia-Pacific, South America, and Middle East and Africa).

Unlock data-backed intelligence on India Carbonated Soft Drinks Market, size at USD 19.5 Bn in 2023, showcasing industry trends and opportunities driven by key players.

According to cognitive market research, the global beverages and soft drinks market size will be USD 418254.5 million in 2024. It will expand at a compound annual growth rate (CAGR) of 5.00% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 167301.80 million in 2024 and will grow at a compound annual growth rate (CAGR) of 3.2% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 125476.35 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 96198.54 million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.0% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 20912.73 million in 2024 and will grow at a compound annual growth rate (CAGR) of 4.4% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 8365.09 million in 2024 and will grow at a compound annual growth rate (CAGR) of 4.7% from 2024 to 2031.
The bottled water category is the fastest growing segment of the beverages and soft drinks industry

Market Dynamics of Beverages and Soft Drinks Market

Key Drivers for Beverages and Soft Drinks Market

Increasing Consumer Preference For Convenience and Ready-To-Drink Options to Boost Market Growth

The worldwide beverages and soft drinks market is expanding rapidly, owing largely to increased consumer demand for convenience and ready-to-drink solutions. Busy lifestyles and time restrictions have made on-the-go consumption more tempting to consumers, increasing in demand for beverages that provide rapid refreshment without requiring preparation. This trend is especially noticeable in metropolitan areas where disposable expenditures are higher, and convenience is a concern. Ready-to-drink (RTD) items like bottled teas, energy drinks, flavored waters, and functional beverages are becoming increasingly popular. In addition to convenience, health-conscious consumers are increasingly choosing nutritionally beneficial beverages, which is driving industry innovation. Manufacturers are responding with products containing functional components such as vitamins, minerals, and plant extracts. For instance, in 2023, PepsiCo's net sales were more than $91 billion, powered by a complementary beverage and convenience foods portfolio that included Pepsi-Cola, Mountain Dew, Quaker, and SodaStream. PepsiCo's product portfolio offers a diverse selection of tasty meals and beverages, including some classic brands.

Innovation in Flavors and Packaging to Drive Market Growth

The worldwide beverage and soft drink market is constantly evolving, driven by flavor and packaging innovation. Companies are developing novel flavor combinations like exotic fruits, herbal infusions, and functional components such as probiotics, vitamins, and antioxidants to cater to consumers' desire for various taste experiences. The demand for low-sugar and natural alternatives has resulted in the creation of beverages with fewer artificial sweeteners and greater health benefits. Packaging innovation is essential for enticing customers and improving environmental efforts. Companies are using eco-friendly products such as biodegradable plastics, aluminum cans, and paper-based alternatives to lessen their environmental impact. Packaging design is also focusing on convenience and portability, with resealable cans and tiny containers for on-the-go consumption.

Restraint Factor for the Beverages and Soft Drinks Market

Health Concerns Related to Sugar Consumption Will Limit Market Growth

Health concerns over sugar intake are projected to limit the global beverages and soft drinks market's growth. Consumers are becoming increasingly concerned about their dietary choices as they become more aware of the negative impacts of excessive sugar consumption, such as obesity, diabetes, and heart disease. This shift is causing a decrease in the consumption of sugary beverages such as carbonated soft drinks, energy drinks, and other sugar-laden goods. Governments and health groups around the world are also putting in place measures to reduce sugar intake. Sugar taxes, tougher labeling standards, and campaigns to promote healthier alternatives are some of them. As a result...