Soft Drinks - Central America

The Soft Drinks market in Central America is witnessing significant growth and development in recent years. Customer preferences in the region show a strong inclination towards carbonated soft drinks, bottled water, and fruit-based beverages. Carbonated soft drinks continue to dominate the market, with a wide range of flavors and brands available to consumers. Bottled water is also gaining popularity, driven by increasing health consciousness and concerns about water quality. Fruit-based beverages, such as juices and smoothies, are favored for their natural and refreshing qualities. Trends in the market indicate a shift towards healthier and more natural options. As consumers become more health-conscious, there is a growing demand for low-sugar and sugar-free soft drinks, as well as beverages made from natural ingredients. This trend is driven by a desire for healthier lifestyles and a preference for products that are perceived as more natural and less processed. In response to this demand, soft drink manufacturers are introducing new products with reduced sugar content and natural flavors. Local special circumstances in Central America also contribute to the development of the Soft Drinks market. The region's warm climate and high humidity levels create a favorable environment for the consumption of refreshing beverages. Additionally, the tourism industry plays a significant role in driving the demand for soft drinks, as tourists often seek out local and regional beverages as part of their travel experience. Underlying macroeconomic factors, such as population growth and rising disposable incomes, are key drivers of the Soft Drinks market in Central America. With a growing population and an expanding middle class, there is an increasing consumer base for soft drink products. Rising disposable incomes also enable consumers to spend more on discretionary items, including beverages. Furthermore, urbanization and changing lifestyles contribute to the growth of the market, as consumers seek convenience and on-the-go options. In conclusion, the Soft Drinks market in Central America is experiencing growth and development due to customer preferences for carbonated soft drinks, bottled water, and fruit-based beverages. The market is also influenced by trends towards healthier and more natural options, local special circumstances such as the region's climate and tourism industry, and underlying macroeconomic factors like population growth and rising disposable incomes.

Data coverage:

The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:

Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on Non-Alcoholic Drinks, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Non-Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.