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The Genie's Left The Bottle Will new low-carb, low-sugar sodas add sales fizz to an industry gone flat?(INDUSTRY SNAPSHOT)
Byline: PATRICK SEITZ
Soft drink giants Coke and Pepsi hope to fatten their sales this summer with the launch of dueling mid-calorie products. Coca-Cola C2 and Pepsi Edge are poised to cash in on the low-sugar, low-carbohydrate diet craze.
Carbonated soft drink sales have stagnated in recent years, rising just 0.4% in the U.S. last year. The big question is whether the new drinks will be enough to move the needle for Coca-Cola and PepsiCo, as well as their bottling partners.
Coca-Cola C2 and Pepsi Edge are expected to hit stores in mid-June.
"They promise half the calories and no taste compromise. And if they work, they could be very significant," said John Sicher, publisher of Beverage Digest. "They're the correct products for the time we live in, given consumer trends."
Coca-Cola C2 and Pepsi Edge could increase overall sales for carbonated soft drinks by 1-2%, says Robert Van Brugge, an analyst with Sanford C. Bernstein. Given that the industry already ships about 10 billion cases a year in the U.S. alone, that's a significant number, he says.
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