U.S. Soft Drink Market Size Worth $388.4 Billion by 2025 | CAGR: 5.1%

The U.S. soft drinks market size is anticipated to reach USD 388.4 billion by 2025, according to a study conducted by Grand View Research, Inc., progressing at a CAGR of 5.1% during the forecast period. Growing population is providing a fillip to the food and beverage sector, which in turn is propelling the U.S. soft drink market. Furthermore, easy availability and low price of soft drinks are benefiting the growth of the market. Recently, significant growth has been observed in the RTD tea drinks segment of the market, owing to soaring health concerns among consumers and increasing demand for premium products.

However, strengthening presence of low-quality fake products is a major challenge for market players. Counterfeit soft drinks lead to huge losses of established players. Additionally, increasing health issues such as obesity, cardiovascular diseases, and others due to high sugar content in drinks are hindering the growth of the market. Some of the prominent soft drink players are The Coca-Cola Company; PepsiCo, Inc.; Dr Pepper Snapple Group; Nestlé; and Red Bull GmbH.

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Further key findings from the study suggest:

• The U.S. soft drinks market is projected to post a CAGR of 5.1% over the forecast period

• The carbonated drinks segment dominated the U.S. soft drinks market in 2016 and is expected to dominate over the forecast years. The segment is likely to reach USD 134.4 billion by 2025. The growth of the segment can be attributed to their inexpensive price and easy availability. However, increasing health concerns among consumers are poised to hamper growth prospects.

• The RTD tea drinks segment is estimated to witness the fastest growth over the forecast period, owing to shift of consumers towards sugar-free, naturally made beverages, and healthier drinks.

• The prominent players in the market include The Coca-Cola Company; PepsiCo, Inc.; Dr Pepper Snapple Group; Nestlé; and Red Bull GmbH.

Grand View Research has segmented the U.S. soft drink market based on product type:

Soft Drinks Product Type Outlook (Revenue, USD Billion, 2014 - 2025)

• Carbonated Drinks

• Packaged Water

• Fruit Beverages

• Iced/RTD Tea Drinks

• Energy Drinks

• Sports Drinks

• Others