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History of the Soft Drinks Industry Essay

Those too old and re putting their health at risk by drinking hard drinks can enjoy soft drinks and no one would think any less of them. In short, sodas have a mass appeal. They carry an image with them; an image of a person with a comfortable lifestyle. This report will take a look at the soft drink industry as a whole and particular industry leaders, brief history and description of the industry; will show industry characteristics, trends, changes, and competitive factors; will give recommendations for the companies within the industry.

My experience of the consumer and the seller of the oft drinks, allowed me to say, that the soft drinks industry deserves attention. It is one of the biggest, fast growing, perspective, and profitable industries in the world. It takes a big place in our life as consumers. Soft drinks, and such big companies as Coca – Cola or PepsiCo, are widely spread everywhere and available in any country in the world.

I decided to choose the soft drinks industry, because it illustrates the great production and distribution; and important business innovations, such as product development, franchising, and mass marketing, as well as the evolution of consumer tastes and cultural

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trends. History of the soft drinks industry. The soft drink industry began in the mid-asses with the creation of syrup that was mixed with carbonated water and served at drug store lunch counters. During the early years, soft drinks were sold only in stores that could provide fountain service. Increasing distribution was tied to building additional syrup manufacturing plants.

With the advent of bottling machinery, soft drinks began to be distributed beyond the town drug store. The first bottled soda water or soft drink in the United States was produced in 1835. These drinks were called soft drinks, only to separate them from art alcoholic drinks. This drinks do not contain alcohol and broadly specifying this beverages, includes a variety of regular carbonated soft drinks, diet and caffeine free drinks, bottled water Juices, Juice drinks, sport drink and even ready to drink tea or coffee packs. So we can say that soft drinks mean carbonated drinks. Charles Adherent invented “DRP Pepper” in Waco, Taxes in 1885.

DRP. John S. Phenomenon invented “Coca – Cola” in Atlanta, Georgia in 1886. Caleb Abraham invented “Pepsi – Cola” in 1892, and so on. Bigger and smaller companies appear on a soft drink market since he greatest profitability (advantage) and cheap manufacturing of this industry was discovered. Today, soft drink is more favorite refreshment drink in the United States then tea, coffee, Juice and etc. Industry is very big, very visible, highly concentrated, and appears to have been very profitable. The leaders of the Soft Drink Industry are the Coca-Cola Company, PepsiCo, Academy Sweepers/DRP.

Pepper Snapped, Coot Corp.. , and National Beverage Corp.. There is also noticeable Asian and European influence on a world market of the soft drinks. Leading companies have prominent presence in the soft drink industry. This industry is well established already, and it would be difficult for any company to enter or exit successfully. According to the Coca- Cola annual report (2009), it has the most soft drink sales with 24. 4 billion dollars. The Coca-Cola product line has several popular soft drinks including Coca-Cola, Diet Coke, Fan, Bar’s, and Sprite, selling over 400 drink brands in about 200 countries.

PepsiCo is the next top competitor with soft drink sales grossing 21 billion dollars for the two beverage subsidiaries, PepsiCo Beverages North America and PepsiCo International (annual report PepsiCo Inc. , 2009). PepsiCo soft drink product line includes Pepsi, Mountain Dew, and Slice which make up more than one quarter of its sales. Academy Sweepers/DRP. Pepper Snapped had soft drink sales of 6 billion dollars with a product line consisting of soft drinks such as A;W Root Beer, Canada Dry, and DRP. Pepper (annual report Academy Sweepers/DRP. Pepper Snapped, 2009).

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