The development status of the soda water industry: the overall market size has surged, and there are many types of brands(2)

"The soda category increased by 2.5 billion U.S. dollars in 2020, 1.1 billion U.S. dollars in 2019, and 300 million U.S. dollars in 2018. So, although the growth rate of this type of product has declined, the absolute dollar growth rate is still strong. "In a short period of time, hard soda has consolidated its position as a major category and continues to grow.

"A few years ago, hard soda water showed strong penetration when it was first launched. Over time, through a large number of repeated purchases, they also showed strong penetration." Kaleigh Theriault, Account Manager, NielsenIQ Beverage Alcohol, New York Say.

In the 52 weeks ending May 22, the penetration rate of hard soda was 13.2%, an increase of 3.7% over the same period last year. Among those who buy hard soda, nearly 60% will buy hard soda twice or more in a year.

Experts point out that flavored malt beverages (FMBs) such as hard soda are driving the growth of the beer market, and the beer market has a very small growth rate. In the booming FMB field, new product development and innovation are also very strong.

"Today, there are nearly 700 malt soda brands on the market, which reflects the number of companies investing in this field. Hard soda has achieved year-on-year growth in the past 3-4 years, so traditionally large beer companies cannot ignore this. A market change. In addition, hard sodas are versatile, they can provide interesting flavors and ingredients, and cater to health trends through low-calorie, low-sugar, and low-carbohydrate properties."

The hottest category on the beer market

Brian Sudano, managing partner of Beverage Marketing Corporation (BMC) in New York, pointed out that although hard soda has a short history, it is still growing at a very high base by 40% to 50%.

He explained: “Hard soda accounts for about 8% of the beer market, which makes it still the hottest category in the beer market. Although its percentage has slowed down compared to the past three years, its absolute growth figure The same as last year. Since the mid-1990s, the FMB market has promoted the growth of beer in different periods. Since 2008, this category has been driving the development of beer, with an increase of more than 300% from 2008 to 2020. "

In the category centered on hard sodas, IRI data shows that White Claw, Truly and Bud Light sodas are among the top three. In the 52 weeks ending June 13, the sales of multi-stores and convenience stores were respectively It is US$2 billion, US$1.1 billion and US$425 million.

In the same period, the year-on-year growth rates of these brands were 35.6%, 90.3% and 221.8%. The sales base of the brand Vizzy Hard Seltzer under Mosen Consheng is small, but it has increased by 705.9% year-on-year, with sales reaching 113 million U.S. dollars.

Experts said: "This summer, people's enthusiasm for hard sodas shows no signs of slowing down. As more and more brands launch their own hard soda products, consumers looking for refreshing drinks have more than ever. choose."

The sales of hard soda in convenience stores are also on the rise. A report by the National Retail Solutions (NRS) in Newark, New Jersey stated that, compared with the first quarter of 2020, the sales of hard soda in the first quarter of 2021 increased by 50%, while the sales of traditional beer increased by 5.6 %.

Experts pointed out: "This has always been a fairly common phenomenon. Among all the market segments of the store, the sales of hard soda have increased the most. In small stores with limited shelf space, the growth of hard soda has compressed some non-alcoholic beverages. Market share, such as soft drinks, juice drinks, liquid teas and sports drinks, sales of these products have declined."