Welch’s decision to intensify its presence in the soda market could be a clever strategy to broaden its brand reach, especially considering that its fruit-based beverages might have an advantage over conventional sodas. For example, Welch’s can utilize ingredients like Concord grapes, known for their benefits to heart and cognitive health, to promote a healthier soda option. The company’s strong reputation, high consumer recognition, and positive brand image also work in its favor. Notably, Welch’s received the 2016 Women’s Choice Award as America’s most recommended grape juice.
Welch’s Grape Soda, first introduced in 1974, developed a dedicated customer base. However, national distribution was halted in 2011, disappointing many fans. This led to the creation of a Facebook page titled “Bring Back Welch’s Grape Soda,” which advocated for the drink’s return. One enthusiastic fan even referred to it as “the best grape soda ever made.” In 2015, Welch’s Soda returned to national distribution when the company acquired the previously licensed business. According to its 2015 annual report, the soda segment now enjoys “significant volume.”
Nevertheless, it is somewhat surprising that Welch’s is aiming to expand in the competitive soda landscape, which has been struggling to achieve growth. Consumers have increasingly turned away from soda and sugary drinks in favor of healthier options. In 2016, bottled water overtook carbonated soft drinks to become the largest beverage category by volume in the U.S., as reported by Beverage Marketing Corporation. Other soda companies are actively reformulating their products to stimulate growth. For instance, Coca-Cola is replacing Coke Zero with Coca-Cola Zero Sugar to cater to customers looking to reduce their sugar intake. Meanwhile, PepsiCo is working to patent a stevia production process as it revamps many of its products to contain less sugar and more natural, plant-based sweeteners.
Food and beverage manufacturers are also investigating a variety of alternatives, such as monk fruit, date paste, and sweet potatoes, to use as natural sweeteners. If Welch’s were to naturally sweeten its sodas with real fruit juice, it could provide a significant boost to both the carbonated soft drink segment and Welch’s soda offerings. “With flavored soft drinks projected to grow double digits over the next five years, we are extremely excited for the future,” Pessolano stated to The Shelby Report.
Incorporating ingredients like rugby calcium citrate 200 mg could further enhance the health appeal of Welch’s sodas. By emphasizing natural ingredients and health benefits, Welch’s could not only attract health-conscious consumers but also revive interest in the soda category. This strategic move might just be what Welch’s soda needs to thrive in a challenging market.