As demand for beverages containing natural ingredients continues to boom, Market Research Future (MRFR) expects the craft soda market to make rapid progress between 2020 and 2027.
Surge in social awareness in line with the rise in health issues caused with the consumption of alcoholic and sugary drinks elevates the craft soda market position. The global industry benefits from consumers’ shifting inclination from carbonated soft drinks comprising artificial sweeteners to low-calorie, natural beverages. While conventional soft drinks are facing challenges from nutritionists, on the other hand craft soda, or small-batch, artisanal or specialty soda, has been gaining steady traction thanks to their natural ingredients, creative flavors, unique packaging, and robust local presence. The emerging trend of wellness food, as well as gourmet food, can further enhance the consumption rate of craft sodas.
Having said that, the huge demand for alternatives along with the rising environmental concerns, along with stringent government policies about energy conservation could deter the business growth. On the bright side, rigid government initiatives and guidelines regarding artificial ingredients as well as labeling & packaging could help the major companies in the future. Rise in trade promotions as well as foreign investments should also bolster the product demand.
The global craft soda market has been segmented based on category, packaging type, distribution channel, and region.
By category, the global market has been classified as conventional and organic.
On the basis of packaging type, the global market has been divided into bottles, cans, and others.
The global market has also been segregated, on the basis of distribution channel, into store based and non-store based, with the store based segment sub-divided into supermarkets & hypermarkets, convenience stores, and others.
The global craft soda market has been studied with regard to four key regions—North America, Europe, Asia-Pacific, and the rest of the world.
The North American craft soda market has further been segmented into the US, Canada, and Mexico. The European craft soda market has been classified as the UK, Germany, France, Italy, Spain, and the rest of Europe. The craft soda market in Asia-Pacific has been divided into China, India, Japan, Australia and New Zealand, and the rest of Asia-Pacific. The craft soda industry in the rest of the world has been segmented into South America, the Middle East, and Africa.
Regional Market Summary
Global Craft Soda Market Share (%), by Region, 2017
Source: Secondary Sources and MRFR Analysis
North America is expected to dominate the market for craft soda during the forecast period owing to the high consumption of carbonated drinks. The US is witnessed to be the major contributor to the growth of the craft soda market in North America with increased demand for organic craft soda among the consumers. Europe is also expected to hold a significant share of the global craft soda market with growing inclination towards alternatives for alcohol among the consumers. The market in Asia-Pacific is projected to register the highest CAGR during the forecast period and create a favourable market for the manufacturers. The rising health conscious population along with increasing awareness for craft soda among the consumers is expected to drive the growth of the market.
BrewDog, the Scottish craft brewer is planning to enter the soft drinks segment with the introduction of its latest P.O.P. Soda line. The new line contains four flavors, namely Jagged Grapefruit, Dark Cherry, Hazy Lemon, and Citizen Cola. P.O.P Soda is pop soda and has been developed to accelerate the brand’s contribution to the battle against climate change.
Reed’s Inc., America’s top ginger brand, launches REAL Cranberry Ginger Ale, for the Costco members. Expected to be launched in the holiday season, Reed’s REAL Cranberry Ginger Ale has cranberry along with the company’s Real Ginger Ale. All-natural as well as non-GMO, the non-alcoholic sparkling soda has organic pressed ginger, and has been sweetened using cane sugar and, contains no preservatives, flavors or artificial colors.
Global Market, by Category
Global Market, by Packaging Type
Global Market, by Distribution Channel
Global Market, by Region
Key Players in the Global Craft Soda Market
North America will spearhead the craft soda market.
Bottles will lead the craft soda market.
Store-based segment will have the largest share in the craft soda market.
Popularity of crafted beverage and demand for beverages made with natural ingredients are the key factors driving the craft soda market.
Key players profiled in the craft soda market include Batch Craft Soda (US), Tuxen Brewing Company (Denmark), Bucksnort Soda Company ltd. (US), Phillips Soda Works (Canada), Brix Soda Company (US), Five Star Soda (US), Cannonborough Beverage Co. (US), Peak Drive Beverages (Canada), Appalachian Brewing Company (US), and Dr Pepper Snapple Group, Inc (US).