Saturday, July 5, 2014

May The One With More Bubbles And Less Sugar Win.

A hot summer day, and literally everybody has a craving for an ice cold soft drink that can not only quench the drinker’s thirst but also leave them feeling light, breezy and active enough to take on the world. Not only summers, but all year round soft drinks are used in parties, to refresh guests, and sometimes just for enjoyment, the primary reasons for the extremely successful existence of the soft drinks/ beverages industry. The industry is not that old as about fifty years ago, soft drinks as we know them today, were not very popular. However, any normal teenager of today would find it hard to spend a day without having at least one bottle of soft drink.
 
The soft drinks industry has undergone several developments, most of them driven by health issues of the consumer population. These days, the craze for healthy, low fat products is more than ever, compelling the soft drinks industries to tweak around with the formulas of their drinks and introduce new low fat, low calorie, and low sugar products. Since consumers have taken to preferring more natural drinks, the use of additives by the soft drinks industry has also changed and it also affect restaurant industry sales as well, the best example of which is Dunkin brands. dnkn stock price today has revealed a positive results with a share price of US $46.07. Artificial sweeteners are now used instead of the real thing. Despite health warnings that these artificial sweeteners are harmful, people continue to use these revamped soft drinks, more because of the social stigma that the consumption of soft drinks has become. 

Casting a glance upon the overall positions of different soft drink companies, it instantly becomes clear that the undisputed players of the ultimate catfight are Pepsi and Coca Cola. Both companies have left no stone unturned to impress the consumer, be it by the use of catchy advertisements, introduction of new flavors and fancier bottles, or offering amazing discounts and lucky draw gifts. Summer is the best time of the year for the soft drinks industry, when sales reach the sky. The soft drink industry has a total share of more than 46.8% in the International stock market.  The Coca Cola Company itself has been reported to have the largest soft drink sales of up to $22 billion annually, selling more than 400 products in 200 nations worldwide. Pepsi follows closely behind, with annual sales of more than $18 billion. These two giants of the soft drinks industry also possess the biggest shares in the stock market. Coca Cola controls the market share, holding 43.1% of it, and Pepsi holds 31.7% of the market share. The net profit margins of these companies have also increased considerably. A key factor of the success of any company is the size of the organization as large distributors have the ability to get permission to be the exclusive supplier of particular colleges, universities or eating-places.

The overall scenario of the success of the soft drinks industry has always been changing. The competition among various companies is the ultimate drive for the success of on and failure of the other. But it is up to the consumer to decide which product, and company deserves to get their hard earned money.


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