Driven in part by manufacturer price increases and decreased promotional activity, dollar sales growth remains strong across non-alcoholic beverages, according to the latest analysis of Nielsen data by Goldman Sachs Equity Research.
Over the two-week period ending on December 18, all-channel non-alcoholic beverage dollar sales were up 16.5% year-over-year; on a two-year stack basis, sales increased 26.1%.
CSDs
Overall, volume has held steady – falling 1.5% in the 12-weeks versus 1.3% in the two-weeks – in the face of double-digit price hikes (+15.2% over the two-week period). Coca-Cola saw dollar sales rise 15.2% in the two-weeks while experiencing the smallest volume drop amongst the big players, down just 0.2% over the same period, even as average price jumped 15.5% during that window. In comparison, PepsiCo reported an 11.4% rise in sales against volume declines of 4.3% (accelerating from -2.6% over the 12-weeks) and a price increase of 16.5%. Keurig Dr Pepper (KDP) was the only major CSD maker to record an increase in volume in the two-weeks, rising 1.8%, with average pricing ticking up to 13% during the period but still hovering around +7.6% for the 52-weeks. Sales increased 15% over the two-weeks, up from 12.7% in the 12-week period.
Energy Drinks
Compared to other categories, energy drinks have remained relatively stable as dollar sales (+17%) and volumes (+11.5%) accelerated modestly and pricing held firm at +4.9% over the two-weeks (+4.4% over the 12-weeks). Amongst the major players, Red Bull saw the biggest volume increase during the window at +20.4%, with average prices staying flat and dollar sales rising 20.6% (+19.9% over the four-weeks). Monster reported dollar sales rising 12.1% (flat over the four-weeks) against volume gains of 7.5% and a 4.3% rise in average pricing. Meanwhile, Celsius continues to accelerate its triple-digit growth in dollar sales (+241% over the two-weeks and +237% over the four-weeks), with volume jumping 222% and price gains up to +5.6%. Also notable: fast-rising startup Zoa (distributed by Molson Coors) reporting $18.6 million in dollar sales less than a year after making its debut.
Sports Drinks
While dollar sales growth was flat over the two-week period through December 18, +25.6% is not a bad place to be. The category also managed to grow overall volume by almost 10% during the window, even as the average price climbed 14.9%. BODYARMOR continues to put up the most prodigious numbers – sales rose 57.1% in the two-weeks (+53.7% in the 12-weeks), with volume soaring 61.7% against a nearly 3% drop in average price. The Coke-owned brand’s chief competitor, Pepsi’s Gatorade, saw dollar sales grow 17.3% (down from +18.4% in the four-weeks) and volume climb 2.7%, against an average price increase of 14.2%.
Bottled Water
Dollar sales (+22.7%), volume (+9.6%) and average pricing (+11.9%) were up across the board in bottled water over the two-week period ending on December 18. Outside of private label, Blue Triton has consolidated its position as the second largest operator in the category: sales were up 19.9% (compared to +14.6% over the 12-weeks) even as volume (+10.6%) and price (down slightly at +8.4%). Pepsi reported dollar sales growth of 26.5%, a 13.9% jump in volume and a 11% increase in average pricing. KDP saw sales climb 22.4%, volume rise 15.1% and pricing rise 6.5% (was 4.5% over the 12-weeks). Like CSDs, average price across the category has nearly doubled over the 52-weeks.
RTD Tea
Increased pricing in the category (+6.7%) outpaced volume gains (+1.5%) over the two-week period, which saw dollar sales accelerate to 8.2% growth. Pepsi’s Lipton brand products reported a 11.8% price increase to offset a 2.9% decline in volume; AriZona experienced a similar result, with price up 8.5% against nearly a 1% drop in volume. Meanwhile, Milo’s Tea continued to witness an acceleration in volume to 45.9% during the two-weeks, with price rising 7.4% during that time.