Soft Drink Manufacturing in Australia - Industry Research Report

The hard truth: Growing health consciousness is reducing demand for high-sugar drinks

Soft drink manufacturers are facing challenging conditions. Changing consumer preferences are shifting demand away from beverages that are perceived unhealthy. Additionally, intense price competition among the major manufacturers and private-label competitors is negatively affecting profitability. However, these trends have been partially offset by the growing popularity of high-value sports, energy and other drinks, and an increasing focus on diet, low-sugar and sugar-free drinks. Soft drink manufacturers' revenue is set to fall at an annualised 2.5% over the five years through 2022-23, to an estimated $3.8 billion. This includes a forecast fall of 2.3% in 2022-23 as pricing pressures and weaker incomes constrain demand.

Industry firms primarily produce canned or bottled soft drinks (carbonated and non-carbonated), sport drinks and energy drinks. The industry does not include the production of bottled water, fruit juice drinks or fruit drinks.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.