Most major beverage categories are mature and rely primarily on population growth, leaving marketers with the challenge of bringing something new to the table. Opportunities abound for companies that invest in new product innovations, ingredient upgrades, and sustainable packaging. Suppliers succeed when using different marketing tactics to appeal to changing consumer preferences, including the wellness, functional, and plant-based areas but also limited-edition flavor trends to bring new experiences to consumers.
While Inflation-fueled price growth has moderated, prices remain higher than before 2020. Still, prices have more recently been impacted by changing tariffs on imported beverages, ingredients, and packaging. Consumers have continued to seek value, whether that means in comparison to the price of dining out or in comparison to routine grocery items, with private label options continuing to outperform national brands.
Historical and projected retail sales are presented in additional detail for beverages within these primary categories -- carbonated soft drinks, energy and sports drinks, bottled water (plain and enhanced), dairy beverages, dairy alternatives, juices, coffee, and tea. Additionally, the report has dozens of tables showcasing data-driven insights on consumer habits and psychographics, and numerous figures and images highlighting product and marketing trend examples. This report also goes in-depth on changing consumer habits that continue to affect the beverage market.
With a focus on growth opportunities and “what’s next” – along with bringing decades of food and beverage market perspective and analysis to the table – US Beverage Market Outlook 2025: Functionality & Indulgence With Pricing & Better-For-You Trends is packed with actionable insights about consumer trends, behavior, and motivations. This report delivers predictions and recommendations designed to guide retailers, service providers, wholesalers, beverage suppliers and bottlers, packaging firms, and investors in making business decisions about the beverage market.
- Executive Summary
- Beverage Trends
- Scope
- Methodology
- Recent Historical Trends
- Rising Prices: From Supply Chain Crunches to Inflation
- Many Consumers Are Concerned about Inflation and Rising Food Prices
- Table Consumer Concerns about Rising Food Prices, 2023 - 2025 (% of consumers)
- Table Month-to-Month Changes in Consumer Price Index (CPI) for All Food Items, 2022 – 2025 (percent change)
- Tariffs to Further Inflate US Food and Beverage Prices
- Rising Prices Impact Consumer Behavior
- Cutting Back on Household Expenses
- Table Consumer Spending on "Extras", 2023 – 2025 (percent of consumers)
- SNAP Recipients Especially Hurt by Inflation; Changes Will Harm Beverages
- The Vast Majority of Consumers Have Noticed the Rising Cost of Food, and Many Are Changing Their Purchasing Decisions
- Private Labels Are More Desirable as Prices Rise
- Table Selected Private Label Department Dollar Sales Growth, 2021, 2022, 2023, 2024 (percent change)
- Table Consumption Rates in Last 6 Months for Selected Store Brand Beverages, 2014-2024 (percent of US households)
- Consumers Find Price More Important for Food Purchase Decisions in 2024
- Home Cooking Remains High to Combat Expensive Eating Out and Takeout
- Table Home Cooking Behaviors, Agree Completely, 2014 – 2024 (% of US adults)
- Many Consumers Are Concerned about Inflation and Rising Food Prices
- Stress Levels and Impact on Food/Beverage Consumption
- Snacking Trends
- Frequency of Snacking
- Table Frequency of Snacking Habits on a Typical Weekday, 2024-2025 (percent of consumers)
- Snacking Demographics
- Table Always or Usually Eating Breakfast or Snacking More Than Once a Day by Demographic, 2024 (percent of consumers)
- Reasons for Snacking
- Table Reasons for Snacking, 2024 & 2025 (percent of consumers)
- Frequency of Snacking
- Healthy Consumption
- Healthy Food
- Reduced or Zero Sugar
- Processed Foods
- MAHA'S Fight Against Ultra-Processed Foods
- Diet and Eating Patterns
- Weight-loss Drugs
- Increasing Legalization and Social Acceptance of Cannabis
- Non-Alcoholic Alternatives to Alcoholic Beverages
- The "Sober Curious" Movement: A Catalyst for Change
- Rising Prices: From Supply Chain Crunches to Inflation
- Overview
- Beverage Retail Sales Forecast
- Future Outperformers: Energy & Sports Drinks, Bottled Water, and Coffee
- Table US Retail Dollar Sales by Top Beverage Categories, 2019, 2024 - 2029P (million dollars and percent)
- Table US Retail Dollar Sales by Top Beverage Categories, 2019-2024 (million dollars and percent change)
- Table US Retail Dollar and Volume Sales by Top Beverage Categories, 2019-2024 (percent change)
- Table Annual Price Changes by Top Beverage Categories, 2020-2024 (percent change)
- Future Outperformers: Energy & Sports Drinks, Bottled Water, and Coffee
- Distribution Trends
- E-Commerce Sales Still Strong
- Table Purchased Groceries Over Internet in Last 30 Days, 2014 – 2024 (percent of US adults)
- Convenience Stores Struggling
- Table Packaged Beverage Sales in Convenience Stores 2020-2024 (percent change)
- Table Dollar Sales Changes of Packaged Beverage Categories in Convenience Stores 2023-2024 (percent change)
- E-Commerce Sales Still Strong
- Beverage Retail Sales Forecast
- Carbonated Soft Drinks
- Sales Outlook
- Market Over $72 Billion in 2029
- Table Carbonated Beverage Retail Sales, 2019-2029 (million dollars, million 1.5-gallon equivalents, and percent change)
- Category Sales
- Table Carbonated Beverage Retail Sales by Category, 2019-2024, 2029 (million dollars and percent)
- Market Over $72 Billion in 2029
- Consumer Insights
- Diet Soda Consumption Still Relatively Strong
- Table Consumption Rates for Carbonated Beverages, 2014-2024 (percent of adults)
- Plastic Bottle Consumption Generally Declines
- Table Consumption Rates for Carbonated Beverages by Packaging Form, 2014-2024 (percent of adults that drink carbonated beverages)
- Diet Cola Drinkers Consume More Than Regular Cola Drinkers
- Table Glasses of Selected Carbonated Beverages Consumed in Last 7 Days, 2014-2024 (percent of adults that drinks regular and diet colas)
- Selected Differences Among Coca-Cola, Coke Zero Sugar, and Diet Coke Drinkers
- Table Demographic Characteristics of Coke Classic, Coke Zero Sugar, and Diet Coke Drinkers, 2024 (Index)
- Diet Soda Consumption Still Relatively Strong
- Key Opportunities
- Functional Sodas
- Sensory Delight
- Comfort & Nostalgia
- CBD-Infused
- Sales Outlook
- Energy and Sports Drinks
- Sales Outlook
- Market to Reach Nearly $52 Billion in 2029
- Table Energy and Sports Drinks Retail Sales, 2019-2029 (million dollars, million ounces, and percent change)
- Category and Segment Sales
- Table Energy and Sports Drinks Retail Sales: By Segment, 2019-2024, 2029 (million dollars and percent)
- Market to Reach Nearly $52 Billion in 2029
- Consumer Insights
- Penetration Remains Low for Energy Drinks Especially
- Table Consumption Rates for Energy Drinks/Shots and Sports Drinks, 2014-2024 (percent of adults)
- Drinks Dominate, Shots a Declining Niche
- Table Forms of Energy Drinks/Shots Consumed, 2014-2024 (percent of adults that drinks energy drinks/shots)
- Energy Drinkers Tend to Consume More Units
- Table Number of Energy Drinks/Shots and Sports Drinks Consumed in Last 30 Days, 2024 (percent of adults that drinks energy drinks/shots and sports drinks)
- Penetration Remains Low for Energy Drinks Especially
- Key Opportunities
- Functional
- Rapid Hydration
- Sensory Delight
- Sales Outlook
- Bottled and Enhanced Waters
- Sales Outlook
- Market to Approach $36 Billion in 2029
- Table Bottled and Enhanced Water Retail Sales, 2019-2029 (million dollars, million gallons, and percent change)
- Segment Sales
- Table Bottled and Enhanced Water Retail Sales: By Segment, 2019-2024, 2029 (million dollars and percent)
- Market to Approach $36 Billion in 2029
- Consumer Insights
- Consumers Prefer Still Water Unflavored, Sparkling Water/Seltzer Flavored
- Table Consumption Rates for Bottled Water, 2021-2024 (percent of households)
- Water Drinkers Consume Far More Still than Sparkling or Seltzer
- Table Drinks/Glasses of Bottled Water in Last 7 Days, 2020-2024 (percent of households that drink bottled water and sparkling water/seltzer)
- Water Filter Ownership Remains High
- Table Water Filter Ownership, 2014-2024 (percent of households)
- Gains Continue for Hard Seltzer Despite Slowdown
- Table Consumption Rates for Flavored Alcoholic Beverages/Coolers, 2014-2024 (percent of adults)
- Consumers Prefer Still Water Unflavored, Sparkling Water/Seltzer Flavored
- Key Opportunities
- Functional Waters
- Sensory Delight
- Sober Curious
- CBD-Infused
- Hard Seltzers/Waters
- Responsible NPD
- Sales Outlook
- Dairy and Dairy Alternative Beverages
- Sales Outlook
- Total Market to Reach Nearly $35 Billion in 2029
- Table Dairy and Dairy Alternative Beverages Retail Sales, 2019-2029 (million dollars and percent change)
- Volume Sales
- Table Dairy and Dairy Alternative Beverages Market Retail Volume Sales, 2019-2029 (million pints and percent change)
- Category and Segment Sales
- Table Dairy and Dairy Alternative Beverages Retail Sales: By Category and Segment, 2019-2024, 2029 (million dollars and percent)
- Total Market to Reach Nearly $35 Billion in 2029
- Consumer Insights
- Dairy Milk Consumption Steady; Milk Alternatives Decreasing
- Table Consumption Rates for Dairy and Dairy Alternative Beverages, 2014-2024 (percent of households)
- Milk Drinkers Prefer 2% and Whole by a Wide Margin
- Table Kind of Milk Consumed in Last 6 Months, 2014-2024 (percent of households that drink fresh milk)
- Organic Milk Remains a Growing Niche
- Table Type of Milk Consumed in Last 6 Months, 2014-2024 (percent of households that drink milk)
- Plastic Jugs Most Popular by Far
- Table Milk Package Used in Last 6 Months, 2014-2024 (percent of households that drink dairy milk)
- Almond Milk Dominant But Declining
- Table Type of Non-Dairy Milk Alternatives Consumed in Last 6 Months, 2016-2024 (percent of households that drink non-dairy milk alternatives)
- Dairy Milk Consumption Steady; Milk Alternatives Decreasing
- Key Opportunities
- Functional
- Alternatives with Real Dairy Attributes
- Animal-Free Dairy
- Kid-Focused
- Sensory Delight
- Responsible NPD
- Sales Outlook
- Juices
- Sales Outlook
- Market at $22 Billion in 2029
- Table Juice Retail Sales, 2019-2029 (million dollars, million ounces, and percent change)
- Category Sales
- Table Juice Market Retail Dollar Sales: By Category, 2019-2024, 2029 (million dollars and percent)
- Market at $22 Billion in 2029
- Consumer Insights
- Other Fruit Juice/Drink Consumption Stronger Than OJ
- Table Consumption Rates for Juices by Product, 2014-2024 (percent of US households)
- Glass Bottles Experience Biggest Gains
- Table Package Type of Orange Juice Consumed in Last 6 Months, 2014-2024 (percent of households that drink orange juice)
- OJ Drinkers Don't Consume Much Daily
- Table Glasses of Orange Juice Drunk by Household on Average Day, 2014-2024 (percent of households that drink orange juice)
- Apple and Cranberry Still Favorites
- Table Flavors of Other Fruit Juices/Drinks Consumed Most Often, 2014-2024 (percent of households that drink other fruit juices/drinks)
- Other Fruit Juice/Drinks Consumers Don't Drink Much Daily
- Table Glasses of Other Fruit Juices/Drinks Drunk by Household on Average Day, 2014-2024 (percent of US households that drink other fruit juices/drinks)
- Other Fruit Juice/Drink Consumption Stronger Than OJ
- Key Opportunities
- Healthier-For-You
- Healthier-For-Kids
- Mindful Indulgence
- Sensory Delight
- Hard Juices
- Sales Outlook
- Coffee and Ready-to-Drink Coffee
- Sales Outlook
- Market to Approach $24 Billion in 2029
- Table Coffee Retail Sales, 2019-2029 (million dollars, million ounces, and percent change)
- Category/Segment Sales
- Table Coffee Retail Sales: By Category and Segment, 2019-2024, 2029 (million dollars and percent)
- Market to Approach $24 Billion in 2029
- Consumer Insights
- Both Ground and RTD Coffee Consumption Faltering in Last Few Years
- Table Consumption Rates for Coffee Segments, 2014-2024 (percent of households)
- Loose Grinds Still More Preferred but Pods Have Closed Gap
- Table Forms of Ground Coffee Used Most Often, 2014-2024 (percent of households that drink ground coffee)
- Unflavored Overwhelmingly Preferred for Ground and Whole Bean Coffee
- Table Flavor of Ground Coffee Drunk Most Often, 2014-2024 (percent of households that drink ground and whole bean coffee)
- Most Households Drink 2 or Fewer Cups of Ground Coffee Per Day
- Table Cups of Ground Coffee (Regular or Decaf) Consumed Per Average Day, 2014-2024 (percent of households that drink ground coffee)
- Customized and Specialty Drinks Drive Some Coffee Appliance Sales
- Table Coffee Appliances Bought in Last 12 Months, 2014-2024 (percent of households)
- Both Ground and RTD Coffee Consumption Faltering in Last Few Years
- Key Opportunities
- Functional Coffees
- Mindful Indulgence
- Sensory Delight
- Comfort & Nostalgia
- Convenient Customization
- Hard Coffee
- Responsible NPD
- CBD-Infused
- Sales Outlook
- Tea and Ready-to-Drink Tea
- Sales Outlook
- Market Over $11 Billion in 2029
- Table Tea and RTD Tea Retail Sales, 2019-2029 (million dollars, million ounces, and percent change)
- Category and Segment Sales
- Table Tea and RTD Tea Retail Sales: By Category and Segment, 2019-2024, 2029 (million dollars and percent)
- Market Over $11 Billion in 2029
- Consumer Insights
- Tea Bags Still Most Popular Despite Declines
- Table Consumption Rates for Tea, 2014-2024 (percent of households)
- Decaf Gains Traction, But Tea Drinkers Overwhelmingly Prefer Caffeinated
- Table Type of Tea Consumed in Last 6 Months, 2014-2024 (percent of households that drink tea bags/packages)
- Regular Size Bags Overwhelmingly Preferred Format
- Table Form of Tea Consumed in Last 6 Months, 2014-2024 (percent of households that drink tea bags/packages)
- Regular Tea Still Most Popular But Losing Share to Other Varieties
- Table Flavor of Tea Consumed in Last 6 Months, 2014-2024 (percent of households that drink tea bags/packages)
- Most Hot Tea Drinkers Drink 2 or Fewer Cups Daily
- Table Cups of Tea Drunk by Household on Average Day, 2014-2024 (percent of households that drink tea bags/packages)
- Flavored RTD Iced Tea Consumed by Nearly Triple the Households That Drink Unflavored
- Table Type of RTD Iced Tea/Kombucha Drunk Most Often, 2014-2024 (percent of adults that drink RTD iced tea/kombucha)
- Relatively High Percentage of Households Drink 8+ RTD Teas Weekly
- Table Drinks/Glasses of RTD Tea/Kombucha Drunk by Household in Last 7 Days, 2014-2024 (percent of households that drink RTD tea/kombucha)
- Tea Bags Still Most Popular Despite Declines
- Key Opportunities
- Functional
- Sensory Delight
- Comfort & Nostalgia
- Influencer Inspired
- Responsible NPD
- Sober Curious
- Hard Teas
- CBD-Infused
- Sales Outlook
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