Thursday
October
30
2014
11:21 pm
Weather

  Home
  Local News
  State / National / World
  Sports
  Opinion / Letters
  Business
  Arts / Entertainment
  Lifestyle
  Obituaries
  Calendar
  Submit Event
  Comics / Games
  Classifieds
  DJ Designers
  Archives
  Advertise With Us
  About Us
 
 
 
 

Check out our archive of Dining Guides - Yum!

Soda wars turn to another front — sparkling waters
April 02, 2014, 05:00 AM By Candice Choi The Associated

NEW YORK — The soda wars appear to be shifting to another corner of the beverage industry — sparkling, flavored waters.

A report released Monday shows U.S. soda sales fell at an accelerated pace last year, extending a streak of declines that began in 2005. But Americans are apparently developing a taste for another type of sweet, carbonated beverage.

Last year, a small brand called Sparkling Ice saw sales more than double to $302.4 million from the previous year, according to IRI, a Chicago-based market research firm. While still a tiny fraction of the broader soda industry, it represents striking growth from 2009, when sales were just $2.7 million. And it’s just one of the factors chipping away at the dominance of traditional sodas like Coke and Pepsi, particularly in the diet category.

Sparkling Ice drinks, which are labeled as “Naturally Flavored Sparkling Mountain Spring Water,” come in a variety of fruity flavors and are made with the artificial sweetener sucralose, better known by the brand name Splenda.

Its success hasn’t escaped the attention of Coca-Cola Co. and PepsiCo Inc.

Coca-Cola introduced a line called Fruitwater last year that bears many resemblances to Sparkling Ice, including packaging in tall, clear bottles. A few months later, PepsiCo followed suit with Aquafina FlavorSplash, which also comes in a variety of fruity flavors.

The success of Sparkling Ice, which has zero calories, may also be among the reasons diet sodas are suffering steeper declines than their full-calorie counterparts. Last year, Diet Coke’s sales volume declined 6.8 percent and Diet Pepsi’s declined 6.9 percent, according to Beverage Digest. Industry executives have blamed the declines on people’s worries over artificial sweeteners. But Sparkling Ice is made with artificial sweeteners, as are Coca-Cola’s Fruitwater and PepsiCo’s FlavorSplash.

Exactly what differentiates the carbonated, flavored waters from soda isn’t clear.

Theresa Eisenman, a spokeswoman for the U.S. Food and Drug Administration, said the agency doesn’t have a “standard of identity” for what defines a soda or a cola. But Kevin Klock, CEO of Sparkling Ice parent company TalkingRain, described the drinks as having a lighter taste than sodas, which he said are more syrupy.

Sparkling Ice was created in 1992, but the push to make it a national brand began in 2010, Klock said. He said that the brand’s popularity is in part due to the failure of big soda makers to come out with new flavors over the years.

“We’re looking for that consumer who’s been looking to leave carbonated soft drinks but finds water boring,” he said.

When asked if TalkingRain’s goal was to eventually be acquired by a bigger company, Klock said the company is focused on its growth rather than an “exit strategy.”

But he added: “If someone offered a billion dollars, we probably wouldn’t say no.”

———

Follow Candice Choi at www.twitter.com/candicechoi

 

 

Tags: sparkling, sales, which, drinks, carbonated, flavors,


Other stories from today:

 

 
Print this Page Print this Page  |  Bookmark and Share
<< Back
 
Return To Archives
 
  


 
 
 
Daily Journal Quick Poll
 
Now that the Giants have won three World Series titles in five years, would you say they are a dynasty?

Absolutely, yes
I would think so
Maybe one more would make them a dynasty
I don't like the word dynasty
Madison Bumgarner is a dynasty!

 

 
 
 
 
 
 
Multiple officers injured during World Series victory celebrations
Multiple San Francisco police officers were injured while attempting to disperse crowds and extingui..
Protesters storm Burkina Faso parliament, set fire
OUAGADOUGOU, Burkina Faso — Protesters stormed Burkina Faso's parliament Thursday, dragging furnit..
Maine nurse defies Ebola quarantine with bike ride
FORT KENT, Maine — A nurse who vowed to defy Maine's voluntary quarantine for health care workers ..
More >>  
 
 
  
 
  
 
©2014 San Mateo Daily Journal
San Mateo County employment ads