Business Environment Profiles - United States
Published: 07 October 2024
Per capita soft drink consumption
42 Gallons
-0.5 %
Per capita soft drink consumption represents the amount of carbonated soft drinks consumed by the average American per year. Data is calculated from consumption statistics from the US Department of Agriculture and Beverage Digest.
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After peaking in the late 1990s, per capita soft drink consumption has fallen every year since. The reasons behind the fall are twofold: an increase in health consciousness and an increase in price. Carbonated soft drinks provide little nutritional value, though many of these drinks provide an entire recommended daily sugar intake in one 12-ounce can. As obesity and diabetes have spread throughout the United States, health problems associated with high-sugar carbonated beverages have become more publicized by health groups. In addition, sugar and sweetener substitutes used in diet soft drinks have also been linked to various health problems, limiting consumer demand for soft drinks.
Furthermore, the input prices for carbonated soft drinks have increased in recent decades. For instance, relatively high oil prices have driven up demand for fuel alternatives, like ethanol. In turn, ethanol is primarily made using corn and sugar, so rising demand for ethanol has caused the prices of corn and sugar products, such as high fructose corn syrup, to increase as well. Since products, such as high fructose corn syrup, are some of the primary ingredients in soft drinks, these trends have also resulted in rising prices for many carbonated soft drinks, limiting consumption. Additionally, the increasing popularity of carbonated water beverages such as LaCroix have reduced craving for soda products. Despite these developments, Grandview Research reports that consumers still have shown that they prioritize convenience as a main habit, purchasing grab-and-go products which commonly include soft drinks. Though soda consumption remains relatively stead, per capita soft drink consumption is still estimated to slightly decline at an annualized rate of 0.5% over the five years to 2025 to 42.2 gallons per person.
Moving forward, increased awareness regarding the negative health outcomes associated with soft d...
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