In 2024, the beverage industry witnessed dynamic shifts across categories, with some segments experiencing robust growth and others facing significant challenges. Data from NielsenIQ, analyzed by Goldman Sachs, highlights notable performance trends for energy drinks, bottled water, sparkling flavored water, coconut water, carbonated soft drinks (CSDs), sports drinks, and ready-to-drink (RTD) coffee.

Carbonated Soft Drinks (CSDs): Moderate Growth Amid Price Hikes

CSDs managed slight growth despite rising prices.

• Coca-Cola: Achieved a 0.7% annual volume increase with a 4.5% price hike, driven by a 3.1% rise in low/no-calorie offerings.
• PepsiCo: Saw a 2.6% volume decline with a 4.1% price increase; low/no-calorie drinks dipped by 0.7%.
• Keurig Dr Pepper (KDP): Volume grew marginally by 0.1%, supported by a 4.6% price increase.
• Private Label: Outperformed during the holidays, growing 15.9% in volume over four weeks due to a 5.9% price cut.

Modern soda brands like Poppi (+185.5%) and Olipop (+96.2%) showed explosive annual growth, while traditional brands such as Faygo and Zevia delivered modest gains.

Energy Drinks: Mixed Outcomes

Energy drink volumes rose 2.6% annually with a modest 1.2% price increase. However, performance varied by brand:

• Monster Energy: Experienced a 0.2% annual dip despite strong showings from sub-brands like Nitro (+94.8%) and Reign Storm (+44.3%).
• Bang Energy: Despite a late-year rebound (+16%), annual volume plummeted by 21.6%.
• Red Bull: Lost 1.2% annually despite a strong 6.7% price increase, with its Winter editions driving growth.
• Celsius: Continued its growth trajectory (+32.3%) with a 5.2% price drop, reaching $2.08 billion in annual sales.
• C4 Energy: Gained 24.6% annually, supported by a steep price drop.

Emerging brands like Alani Nu (+63.6%) and Ghost Energy (+15.5%) gained traction, while legacy players like 5-Hour Energy saw volume declines.

Sports Drinks: A Difficult Year

The sports drink category contracted by 3.6% annually, with average prices climbing by 3.1%.

• Gatorade (PepsiCo): Dropped 5.2% in volume for the year.
• Powerade/BodyArmor (Coca-Cola): Declined 3.3%, with no individual brand data reported.
• Electrolit (KDP): Stood out with a 22.4% annual increase, driven by strong pricing strategies.

Prime Hydration saw dramatic declines, with annual volume falling 22.4% despite price cuts.

Bottled Water: Steady Growth Led by Private Label

The bottled water segment grew 2.5% annually, aided by a 1% price decrease.

• Private Label: Volume rose 4.6%.
• Blue Triton: Delivered a 3.1% increase with lower pricing.
• Danone: Led with a 7.5% growth rate but faced late-year declines.
• Coca-Cola and PepsiCo struggled, with annual volumes falling 10.2% and 8.5%, respectively.

Hint Water (+1.9%) and Liquid Death Sparkling Water (+21.9%) were bright spots.

Sparkling Water: Continued Sparkle

The sparkling flavored water category expanded by 3.8% annually with a 4.2% price increase.

• Liquid Death: Sparkling water volume surged 21.9%.
• Spindrift: Grew 22% annually.
• Waterloo: Increased by 26.2%, aided by competitive pricing.
• La Croix and Sparkling Ice faced challenges, with slight annual declines.

RTD Coffee: Challenges Amid Pricing Pressure

Liquid coffee volumes fell 6.7% annually, with average prices climbing by 2.6%.

• Danone’s Stok: Outperformed with a 16.4% volume increase despite price reductions.
• Coca-Cola Coffee: Dropped 17.6%.
• Kitu Life Super Coffee: Suffered a sharp 27.3% volume decline.

Coconut Water: A Hot Category

Coconut water emerged as a winner, with 16.2% annual growth and a 1.1% price dip.

• Vita Coco: Posted a 9.8% annual volume increase.
• Harmless Harvest: Grew 13.5% with stable pricing.
• Goya: Excelled with 24.5% growth.

The beverage industry in 2024 showcased a dynamic landscape. Categories like coconut water, modern sodas, and energy drinks led growth, while traditional sports drinks and RTD coffee faced headwinds. Pricing strategies played a crucial role across all segments, influencing both consumer behavior and market outcomes.

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