Soft drinks in 2024: The big picture
Despite remaining above pre-pandemic levels in 2024, off-trade volume sales of soft drinks in Chile continue to gradually fall. Although general high inflation in Chile is starting to fade in 2024, the local economy continues to face a challenging scenario that has taken its toll on the performance of several consumer goods categories, including soft drinks.
2024 key trends
Wellness remains a key trend in 2024, with local consumers increasingly seeking beverages made with natural ingredients and offering health benefits. Reduced sugar variants are outperforming regular options across most categories, reflecting the strong consumer demand for perceived healthier choices.
Competitive landscape
The competitive landscape of soft drinks is characterised by significant substitution effects in major categories, as well as a shift away from premiumisation efforts due to the economic stagnation experienced in 2024. Some of the largest categories have seen changes in competition, with reduced disposable incomes significantly impacting demand for juice.
Retailing developments
In 2024, distribution trends across most soft drinks categories have remained relatively stable, with no major shifts observed. However, given the challenging economic conditions, consumers are increasingly turning to more cost-effective outlets, leading to a marginal decline in off-trade volume share for small local grocers and convenience stores.
Foodservice vs retail split
Foodservice plays a limited role in the development of soft drinks in Chile, as products offered in these establishments often provide little specific value compared to retail alternatives, making consumers less willing to pay the premium associated with pricing via this channel.
What next for soft drinks?
Looking ahead, soft drinks in Chile is expected to experience modest growth over the forecast period, as the industry navigates an uncertain economic scenario influenced by meagre GDP growth expectations and a political landscape with shifting priorities. While these factors may impact consumer spending, wellness and functionality are set to remain key drivers of growth, adding significant value to soft drinks.
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Overview:
Understand the latest market trends and future growth opportunities for the Soft Drinks industry in Chile with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
Data and analysis in this report provides further detailed coverage dedicated to the following key categories, where applicable:
- Bottled Water
- Carbonates
- Concentrates
- Juice
- RTD Coffee
- RTD Tea
- Energy Drinks
- Sports Drinks
- Asian Speciality Drinks
If you're in the Soft Drinks industry in Chile, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
The Soft Drinks in Chile report includes:
- Analysis of key supply-side and demand trends
- Detailed segmentation of international and local products
- Historic volume and value sizes, company and brand market shares
- Five year forecasts of market trends and market growth
- Robust and transparent research methodology, conducted in-country
This report answers:
- What is the market size of Soft Drinks in Chile?
- To what extent are health considerations impacting consumption of Soft Drinks in Chile?
- How are changing social attitudes and legislation (eg sugar tax) reshaping demand and consumption?
- How are changing demographics (for example, an ageing or predominantly young population) determining consumption of Soft Drinks in Chile?
- Which are the leading brands in Soft Drinks in Chile?
- What potential exists for multinational or domestic soft drinks companies to expand in Chile?
- How are products distributed in Soft Drinks in Chile?
- How is the rise of e-commerce changing the retail and competitive landscape?
- How have home seclusion and social distancing measures following COVID-19 impacted sales of Soft Drinks?
- How are sustainability issues, such as environmentally-friendly packaging, legislation on recyclability, or the amount of plastic in bottles, impacting the soft drinks industry?
- Where is future growth expected to be most dynamic?
Soft Drinks in Chile
Soft drinks in 2024: The big picture
2024 key trends
Competitive landscape
Retailing developments
Foodservice vs retail split
What next for soft drinks?
Fountain sales in Chile
DISCLAIMER
Bottled Water in Chile
KEY DATA FINDINGS
Moderate price rise and health trends drive performance of bottled water
Consumers’ sophistication levels around bottled water continue to rise
Children and female consumers push demand for flavoured bottled water
Bulk sales of bottled water expected to experience further dynamic growth
Major concentrates and juice brands are set to ramp up efforts in flavoured water
Water purifiers and filters to gain further momentum as a sustainable and cost-effective solution to bottled water
Carbonates in Chile
KEY DATA FINDINGS
Challenging year for carbonates due to stagnant salaries and persistent category inflation
Major players rely on nostalgia and partnerships to seek differentiation
Persistent mixology trend supports demand for tonic water/mixers/other bitters
Leveraging culture, gaming and art to create interest and excitement
Sustainability as a key focus area
Healthy lifestyle trends place momentum in doubt
Concentrates in Chile
KEY DATA FINDINGS
Marginal improvement for concentrates amid weak economic context
Zuko dominates powder concentrates, but Vivo and Livean aim to compete with “healthier” alternatives
Purchasing decisions mainly driven by price and availability
Overall size of concentrates is set to shrink in the longer term
Emerging functionality-driven initiatives could offer potential
Vegetable-based options will retain limited presence in Chile
Concentrates Conversions
Juice in Chile
KEY DATA FINDINGS
Price hikes and health concerns hinder performance of nectars
High prices of oranges negatively impact demand for juice
Premium brands identify potential in individual Tetra Pak formats
Indefinite freeze on implementation of new tax on soft drinks could provide relief to nectars
Latent health trend likely to regain relevance once economic situation improves
Sustainability as one of the top pillars for juice brands to attract consumers
RTD Coffee in Chile
KEY DATA FINDINGS
RTD coffee is declining niche as it struggles to align with Chileans’ preferences
Energy drinks outcompete RTD coffee in both availability and functionality
Low availability in mainstream channels and high price limit RTD coffee sales
More stable performance as RTD coffee will be supported by loyal niche of consumers
Flavour diversity and higher caffeine content could help RTD coffee reach a wider audience
Leveraging emerging functional trends to boost RTD coffee’s appeal
RTD Tea in Chile
KEY DATA FINDINGS
Warmer climate favours RTD tea and its ability to sustain growth
Kombucha remains dynamic performer as local competition increases
Category remains dominated by lemon and peach flavours of RTD tea
Niche of reduced sugar still RTD tea set to further expand
Kombucha set for further double-digit growth
On-trade’s penetration will rise, but remain small and confined to specialist coffee and tea shops
Energy Drinks in Chile
KEY DATA FINDINGS
Energy drinks remains most dynamic performer in 2024
Score drives category growth by expanding consumer base to lower-income segments
Chileans have a preference for fruity and tropical flavours of energy drinks
Functionality is next major value driver in energy drinks
Mixology trend could support stronger on-trade growth of energy drinks
Small local grocers set to remain dominant channel despite diversification efforts
Sports Drinks in Chile
KEY DATA FINDINGS
Wellness trends and increasing array of alternatives help sustain high sales of sports drinks in Chile
Brands continue to focus on large formats and discount strategies to sustain demand amidst lower disposable incomes
Indefinite freeze on the implementation of new tax on non-alcoholic beverages provides relief to sports drinks
Rising offer of oral rehydration solutions set to increase competition with traditional sports drinks
Future growth of reduced sugar alternatives will be driven by health trends
Emerging role of sports drinks as a solution to hangovers set to boost online growth alongside alcoholic beverages
The following categories and subcategories are included:
Soft Drinks
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- Carbonated Natural Mineral Bottled Water
- Carbonated Spring Bottled Water
- Carbonated Purified Bottled Water
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- Still Flavoured Bottled Water
- Sparkling Flavoured Bottled Water
- Functional Bottled Water
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- Still Natural Mineral Bottled Water
- Still Spring Bottled Water
- Still Purified Bottled Water
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- Regular Carbonates
- Reduced Sugar Carbonates
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- Regular Cola Carbonates
- Reduced Sugar Cola Carbonates
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- Regular Non-Cola Carbonates
- Reduced Sugar Non-Cola Carbonates
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- Regular Lemonade/Lime
- Reduced Sugar Lemonade/Lime
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- Regular Tonic Water/Mixers/Other Bitters
- Reduced Sugar Tonic Water/Mixers/Other Bitters
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- Regular Orange Carbonates
- Reduced Sugar Orange Carbonates
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- Regular Other Non-Cola Carbonates
- Reduced Sugar Other Non-Cola Carbonates
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- Liquid Concentrates
- Powder Concentrates
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- Not from Concentrate 100% Juice
- Reconstituted 100% Juice
- Coconut and Other Plant Waters
- Juice Drinks (up to 24% Juice)
- Nectars
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- RTD Coffee
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- Carbonated RTD Tea and Kombucha
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- Regular Still RTD Tea
- Reduced Sugar Still RTD Tea
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- Regular Energy Drinks
- Reduced Sugar Energy Drinks
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- Regular Sports Drinks
- Reduced Sugar Sports Drinks
- Asian Speciality Drinks
Soft Drinks
This is the aggregation of the following categories; Carbonates, Fruit/vegetable juice, Bottled water, Functional drinks, Concentrates, RTD tea, RTD coffee and Asian speciality drinks.
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This report originates from Passport, our Soft Drinks research and analysis database.
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