John Sicher
John Sicher
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But soft drinks sales overall are holding up well. If you're looking at the first-quarter U.S. volume growth this year for both Coca-Cola and PepsiCo, it's important to consider that other factors were at play including bad weather and anti-U.S. sentiment around the world.
bad both consider drinks factors growth holding including looking overall sales sentiment soft volume weather year
But soft drinks sales overall are holding up well, ... If you're looking at the first-quarter U.S. volume growth this year for both Coca-Cola and PepsiCo, it's important to consider that other factors were at play including bad weather and anti-U.S. sentiment around the world.
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Summer is the highest-volume period of the year for the beverage industry. But it's not just the new products that will get the attention. The promotions and advertising are also very important for both companies.
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I think the industry basically, in removing them from schools and keeping in their other beverages, has made a positive move, both for American children and also, the industry has served itself well.
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Though not specifically part of management succession, this move, like Mary Minnick's promotion last year, elevates another strong executive and makes them both people to watch.
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Between Coke and Pepsi, Coke's innovation pipeline was stronger in carbonated soft drinks. That made the difference. But fundamentally, both these companies need to be moving in the noncarbonated direction.
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We estimate that the diet category could actually surpass the regular soda category in about 12 to 15 years,
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Results are starting to improve, but the company is still a work in progress.
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People in general are responding to beverage products with health and wellness benefits. The trend is unmistakable and is going to gain traction in the years to come.
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Texas certainly has a cachet in other parts of the country.
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I think people have a growing interest in beverages which are lighter and have actual or perceived functional benefit. I think we've seen a decline in regular soft drinks for some time.
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I think certainly there's a certain set of American consumers interested in healthy beverages. Water is certainly a healthy beverage. There has been a great deal of bottled water, a huge proliferation in the last four or five years since it was bottled in convenience packaging.
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Traditional carbonated soft drinks have got a tough road ahead. The migration to water and sports drinks and other noncarbonated drinks seems to be permanent.
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Wal-Mart's growth and power is changing how consumers buy products and how beverage companies sell products. The lawsuit is about Coke and its bottlers trying to come to terms with that.