20 Countries With The Highest Soda Consumption
In this article, we will be covering the 20 countries with the highest soda consumption. If you want to see the top ones, skip the detailed analysis and head straight to the 5 Countries With The Highest Soda Consumption.
The thirst for soda, transcending geographical borders and cultural differences, knows no bounds. As one of the most widely consumed beverages globally, soda has become ubiquitous in modern lifestyles. From its effervescent bubbles to a seemingly endless array of flavors, soda has captivated the palates of millions. Yet, while soda consumption can be found worldwide, certain countries have insatiable cravings for this sugary indulgence. For example, Coca-Cola is the most consumed soft drink in almost every country, but its consumption is the highest in Mexico, Brazil, and the United States, according to the data collected by Gitnux.
According to Time Magazine, soft drinks alone contribute to a massive expenditure of $65 billion in the United States, with the average American household annually spending an estimated $850 on these carbonated beverages.
Examining the Global Market for Carbonated Beverages
The global market for carbonated beverages is highly competitive, with major players such as The Coca-Cola Company (NYSE:KO), PepsiCo, Inc. (NASDAQ:PEP), and Dr. Pepper Snapple Group dominating the market. The global carbonated drinks market is projected to reach $320.1 billion by 2028, growing at a CAGR of 4.7% from 2021 to 2028.
The demand for carbonated beverages is driven by various factors such as taste, convenience, and marketing. However, the industry faces challenges due to increasing health concerns among consumers and the rise of alternative beverage options. As a result, companies are introducing new products with lower sugar content and investing in marketing campaigns that promote healthier lifestyles. Despite these challenges, the global market for carbonated beverages is expected to continue growing in the coming years.
Investment Opportunities in High-Soda-Consuming Markets
Investment opportunities in high-soda-consuming markets are worth considering, as the industry is experiencing steady growth. If you're interested in investing in soda companies themselves, it's essential to conduct a thorough analysis of the financials and market position of each company.
For example, The Coca-Cola Company (NYSE:KO), one of the largest soda companies in the world, had a revenue of $43 billion in 2022, with a net income of $9.5 billion. Similarly, PepsiCo, Inc. (NASDAQ:PEP), another major player in the soda industry, had a revenue of $86.39 billion in the same year, with a net income of $8.91 billion.
Investing in companies producing soda-making equipment and supplies is another option. For example, SodaStream, a company that produces at-home soda-making machines, has experienced steady growth in recent years. In 2017, the company reported a revenue of $543.37 million.
Finally, investing in companies that produce healthier alternatives to soda may also be a wise choice. For example, LaCroix, a famous sparkling water brand, has seen significant growth recently, with a revenue of $563.45 million in 2021 (€500m). Similarly, companies that produce natural fruit juice brands, such as Naked Juice and Odwalla, may also be well-positioned for growth as consumers become more health-conscious.
Pixabay/Public Domain
Our Methodology
Our methodology for ranking the countries with the highest soda consumption per capita involved collecting data from reliable sources such as Trade Exports, and 2021 Ahfes Project report, among others. We've also taken help from aggregators like Statista for our research. We've ranked countries on per capita annual soda consumption based on data available from 2017-2022 for different countries.
It is important to note that in cases where soda consumption was presented in 8-ounce servings, we diligently converted the figures into liters for consistency and comparability across countries.
Here is our list of countries with the highest soda consumption:
20. Indonesia
Soda Consumption Per Capita (2019): 23 liters
Indonesia's soft drink market is vibrant, with projected revenue of US$16.17 billion in 2023 and an annual growth rate (CAGR) of 4.37% from 2023-2027, reflecting changing consumer preferences and increasing disposable incomes, offering opportunities for domestic and international beverage companies to innovate and meet the growing demand. Indonesia's soft-drink consumption per capita is 23 liters.
19. Japan
Soda Consumption Per Capita (2021): 30 liters
Tea-based beverages like green tea have always been trendy in Japan but ready-to-drink options have surpassed traditional tea preparations. Retail stores and vending machines provide easy access to a wide range of soft drinks, with bottled options preferred, making Japan one of the countries with highest soda consumption in the world. Manufacturers cater to health-conscious consumers with sugar-free and fortified options, expanding into the health food market. The Japanese soft drink market is expected to grow with projected revenue of $27.14 billion in 2023 with an annual growth rate (CAGR) of 2.87% from 2023-2027.
18. Spain
Soda Consumption Per Capita (2021): 39.2 liters
Spain's soft-drink consumption showcases diverse carbonated beverages, prominently featuring renowned brands like Coca-Cola and PepsiCo, Inc. (NASDAQ:PEP). Cultural inclinations, tourism, and social gatherings are pivotal in driving demand. Health-conscious alternatives have also gained traction. The anticipated trajectory indicates a projected surge in soft drink consumption in Spain, reaching 22.4 billion liters by 2026, with an annual growth rate of 0.7%. Notably, demand has consistently risen by 2% annually since 2013.
17. Italy
Soda Consumption Per Capita (2019): 50.1 liters
In Italy, per capita soft drink consumption declined from 63.8 liters to 50.1 liters in 2019. The country consumed approximately 3.1 billion liters of soft drinks in 2017. Low or no-calorie soft drinks accounted for a 9% market share, a slight increase from 2016. The Italian soft drinks market generated $13.7 billion in revenue in 2021, but with a negative growth rate of -1.8%. Market consumption volumes reached 15,370.8 million liters in 2021, experiencing a slight decline of -0.2% during the same period.
16. Canada
Soda Consumption Per Capita (2021): 50.8 liters
Soft drinks in Canada have a diverse and historical background, originating as medicinal elixirs in the 19th century. The industry has grown significantly, with best-selling flavored soft drinks generating around 1.4 billion Canadian dollars in sales annually. Renowned brands like Pepsi and Coca-Cola dominate the market, while Canadian favorites like Canada Dry and Crush also have a strong demand.
In Canada, soft drink consumption per capita has experienced a decline due to concerns about obesity and sugar intake. The consumption rate has dropped from 82.93 liters in 2010 to 50.88 liters in 2021. Despite this decrease, the projected revenue for Canada's soft drinks segment in 2023 is estimated to reach US$14.69 billion.
15. Brazil
Soda Consumption Per Capita (2021): 59.5 liters
Brazil's per capita soft drink consumption reached around 59.5 liters in 2021, slightly increasing from the previous year. The Brazilian soft drinks market generated significant revenue of $26 billion in 2021, with a positive compound annual growth rate (CAGR) of 3.7% from 2016 to 2021. Market consumption volumes grew to 33,077.7 million liters in 2021, reflecting a CAGR of 0.9%, as reported by Report Linker. Coca-Cola emerged as the top brand purchased in Brazil in 2019, followed by Maratá, highlighting strong consumer preference.
14. France
Soda Consumption Per Capita (2019): 62.4 liters
France's soft drink consumption is projected to grow steadily, reaching 23.7 billion liters by 2026 overall. Demand has been increasing at 0.3% annually since 2020. Orangina is a famous French soda known for its light carbonation and unique blend of lemon, mandarin, grape, and grapefruit juice. Other well-known brands in France include Auvergant, offering a variety of flavors, and Breizh, with options like orange, peach, and cola.
13. Russia
Soda Consumption Per Capita (2019): 66.43 liters
Russia's soft drink market was thriving, but popular global brands like The Coca-Cola Company (NYSE:KO) halted production and sales of their sodas in the country after Russian invasion of Ukraine. Three-quarters of Russians purchased Coca-Cola's carbonated soft drinks and lemonades in 2020, while Rich Juice, owned by Coca-Cola HBC, was a favored juice brand. Major soda companies leaving Russia created a vacuum for local players to fill up.
Russia's soft drink segment is projected to reach US$2.41 billion in revenue in 2023, with an expected annual growth rate (CAGR) of 4.37% from 2023-2027. The country's soft drinks segment is set for continued expansion, driven by market demand.
12. Bolivia
Soda Consumption Per Capita (2017): 89 liters
In Bolivia, soft drink consumption is notably high, particularly among the youth. Despite concerns about health implications, the popularity of soft drinks continues to surge. Coca-Cola maintains a dominant presence in the market, exhibiting high consumer reach and frequent purchases per household.
The Bolivian soft drinks eCommerce market is expected to experience significant growth, with an estimated value of US$35.1 million by 2023, capturing a substantial market share. Furthermore, the market is projected to exhibit a compound annual growth rate (CAGR) of 16.7% from 2023 to 2027, reaching an estimated volume of US$64.9 million by 2027.
11. Saudi Arabia
Soda Consumption Per Capita (2017): 89 liters
Soft drink consumption in Saudi Arabia has significantly increased, reaching 89 liters per capita in 2017. This growth is driven by factors such as high consumer spending, a warm climate, and the prohibition of alcoholic beverages in the country. The government has requested The Coca-Cola Company (NYSE:KO) and PepsiCo, Inc. (NASDAQ:PEP) to include health warnings on their products due to concerns about consumption levels.
The soft drinks market in Saudi Arabia is projected to generate revenue of US$6.75 billion in 2023, with an expected annual growth rate (CAGR) of 6.04% from 2023-2027, reflecting the strong demand and positive outlook for the industry in the Saudi Arabian market.
10. Norway
Soda Consumption Per Capita (2017): 98 liters
Soft drink consumption in Norway has seen significant growth, but concerns about its impact on adolescent mental health have arisen. The country ranks high in global soft drink consumption, with a per capita intake of around 98 liters. Coca-Cola and PepsiCo are leading brands in the market, offering a variety of carbonated beverages, including flavored options.
According to UNESDA, over 60% of soft drinks sold in Norway in 2020 were sugar-free, reflecting a preference for healthier choices. The non-alcoholic drinks market in Norway is projected to reach revenue of US$3.31 billion in 2023.
9. United Kingdom
Soda Consumption Per Capita (2021): 105 liters
Coca-Cola is the most recognized soft drink brand in the UK, with a remarkable 97% recognition rate among internet respondents. Sprite, Pepsi, and Fanta share the second spot, having also gained considerable awareness. Conversely, Bottlegreen lags, with less than half of online respondents recognizing the brand.
Regarding finances, the soft drinks segment in the UK is expected to generate significant revenue of US$37.37 billion in 2023, with a steady annual growth rate (CAGR) of 1.99% from 2023-2027, indicating positive prospects for industry expansion in the UK.
8. Uruguay
Soda Consumption Per Capita (2017): 113 liters
Soda sales surged in Uruguay, with per capita consumption reaching approximately 113 liters in 2017. However, this trend has resulted in health issues, including bone and dental problems. As the economy stabilizes, people are allocating more of their income to purchasing soda drinks. The country's soft drinks market is projected to earn US$1,062.00 million in 2023, with an expected annual growth rate (CAGR) of 3.66% from CAGR 2023-2027.
7. Germany
Soda Consumption Per Capita (2022): 120 liters
Germany has seen a significant increase in soda consumption, with a per capita intake of 120 liters annually. The popularity of caffeine-oriented drinks drives the market and features brands like Fanta, Sprite, Delta, Mezzo Mix, and Coca-Cola. However, Germany's soft drink industry's future is still being determined due to government efforts to address health concerns and an aging population.
Coca-Cola is the dominant brand nationwide, except in Thuringia, where Vita-Cola holds the top position. Germany's soft drinks segment is expected to generate US$30.06 billion in 2023, with a modest annual growth rate (CAGR) of 1.84% from 2023-2027.
6. Mexico
Soda Consumption Per Capita (2017): 137 liters
Mexico ranks sixth in our list for being one of the highest soda-consuming countries, with a per capita intake of approximately 137 liters in 2017. Despite concerns about health issues, such as obesity, the consumption of carbonated drinks continues to grow. The government has implemented a soda tax to reduce sales to address this. However, the soft drinks market is expected to generate revenue of US$19.48 billion in 2023, with an annual growth rate of 3.05%.
Click to continue reading and see the 5 Countries With The Highest Soda Consumption.
Suggested Articles:
Disclosure. None: 20 Countries With The Highest Soda Consumption is originally published on Insider Monkey.