Softdrinks History
Agri-Food Trade Service
Softdrinks Industry: Another Side of a Filipino's Beverage Life1
2009
Ditas R. Macabasco
Agribusiness Specialist
Center for Food and Agri Business
University of Asia and the Pacific
Softdrinks, also known as carbonated drinks, cola, soda or pop, is one of the most consumed beverages in the country. Prior to the introduction of bottled water, ready-to-drink teas, ready-to-drink fruit juices, and other functional drinks, it was the usual choice of Filipino consumers in many parts of the country.
Industry Definition
A pending bill in Congress (House Bill 5039) defined carbonated drinks as “aerated potable water, whether or not it contains added sugar or other flavor sweeteners, and non-alcoholic beverages which are charged under pressure with carbon dioxide gas and are sold in bottles and other air-tight containers.”
Just like other beverages, softdrinks are a popular thirst quencher in the country.
Market
Total household spending on non-alcoholic beverages reached P33.3 billion in 2006 based on the latest Family Income and Expenditure Survey of the National Statistics Office. The figure was higher by 2.9% per year from P30.6 billion in 2003. In inflation-adjusted terms, expenditure grew by 7.4% per annum during the period. The bulk of the spending may be attributed to softdrinks.
Meanwhile, the total size of the softdrinks market in the country was estimated at 8,591 million liters in 2007, with projected growth of 7.6% in 2008 to 9,241 million liters (www.euromonitor.com).
The Players
The softdrinks industry in the country consists of a handful of players. The market leader is Coca Cola, followed by Pepsi. The other smaller players include Virgin Cola, Zesto, and RC Cola.
Coca Cola Bottlers Philippines Inc. (CCBPI) is now 100%-owned by The Coca Cola Company. The latter bought the entire 65% stake of San Miguel Corporation (SMC) in CCBPI in 2007 for US$590 million. The acquisition includes low-end softdrinks
Softdrinks Industry: Another Side of a Filipino's Beverage Life1
2009
Ditas R. Macabasco
Agribusiness Specialist
Center for Food and Agri Business
University of Asia and the Pacific
Softdrinks, also known as carbonated drinks, cola, soda or pop, is one of the most consumed beverages in the country. Prior to the introduction of bottled water, ready-to-drink teas, ready-to-drink fruit juices, and other functional drinks, it was the usual choice of Filipino consumers in many parts of the country.
Industry Definition
A pending bill in Congress (House Bill 5039) defined carbonated drinks as “aerated potable water, whether or not it contains added sugar or other flavor sweeteners, and non-alcoholic beverages which are charged under pressure with carbon dioxide gas and are sold in bottles and other air-tight containers.”
Just like other beverages, softdrinks are a popular thirst quencher in the country.
Market
Total household spending on non-alcoholic beverages reached P33.3 billion in 2006 based on the latest Family Income and Expenditure Survey of the National Statistics Office. The figure was higher by 2.9% per year from P30.6 billion in 2003. In inflation-adjusted terms, expenditure grew by 7.4% per annum during the period. The bulk of the spending may be attributed to softdrinks.
Meanwhile, the total size of the softdrinks market in the country was estimated at 8,591 million liters in 2007, with projected growth of 7.6% in 2008 to 9,241 million liters (www.euromonitor.com).
The Players
The softdrinks industry in the country consists of a handful of players. The market leader is Coca Cola, followed by Pepsi. The other smaller players include Virgin Cola, Zesto, and RC Cola.
Coca Cola Bottlers Philippines Inc. (CCBPI) is now 100%-owned by The Coca Cola Company. The latter bought the entire 65% stake of San Miguel Corporation (SMC) in CCBPI in 2007 for US$590 million. The acquisition includes low-end softdrinks