Coca-Cola and various other soft drink manufacturers are actively seeking to create beverages that utilize alternative sweeteners instead of sugar. This pursuit is driven by a growing number of consumers who are moving away from soda due to its high sugar content and its association with health issues such as obesity. With the introduction of the new Nutrition Facts label, which is expected to be mandatory on most food and beverage products by 2020, the amount of added sugars in products will be clearly displayed. Higher-potency sweeteners, like stevia, are expected to enhance the health appeal of these labels.
While companies like Coca-Cola have diversified their product offerings to include more teas, waters, coffees, and other drinks perceived as healthier, soda still constitutes a significant portion of their sales—around 70% for Coca-Cola. As a result, they are hesitant to lose more customers. The challenge lies in identifying a sweetener that can effectively mimic both the taste and texture that sugar provides. Aspartame was once considered a potential alternative, but public health concerns have led to a decline in diet soda consumption. In response to consumer backlash, Coca-Cola reverted to using sugar in Vitaminwater after complaints arose about its sugar-stevia combination. Although Coca-Cola Life was introduced with stevia, it still contained sugar and left an aftertaste that many consumers found unappealing.
“This one, we believe, has hit the mark,” Long remarked. “One of our significant opportunities is to reduce sugar, and one of the key strategies for that is to enhance the appeal of our zero-sugar products.” PepsiCo, too, has faced difficulties in finding a suitable sugar substitute. At the Beverage Forum in April, CEO Indra Nooyi noted that while there are several all-natural, zero-calorie sweeteners available, many existing products, particularly in the soda category, “don’t taste that great.”
Among the natural sweeteners competing for market share, stevia stands out favorably due to its characteristics. It has minimal calories and no carbohydrates, and it is 30 to 40 times sweeter than sugar, making it highly effective in small quantities. Despite initial hurdles, food and beverage companies, including Coca-Cola, continue to explore stevia as a viable sugar replacement. Stevia contains multiple glycosides—the compounds responsible for its sweetness. According to Beverage Daily, Coca-Cola has collaborated with stevia producer PureCircle on a joint development and supply agreement focusing on its patented Rebaudioside M glycoside, also known as Reb M. PureCircle, a leader in stevia research with over 60 patents, recently completed the sequencing of the stevia plant’s genome in partnership with KeyGene. This research provides ingredient developers with a deeper comprehension of the plant’s glycosides and their optimal applications.
Coca-Cola executives emphasize that consumers are increasingly seeking ways to reduce their sugar intake, and companies must adapt accordingly. In addition to Coca-Cola and PepsiCo, an expanding number of food companies, including DanoneWave, Kraft Heinz, Nestle, and Unilever, are reformulating existing products or launching new ones that incorporate stevia. Although not all consumers have turned away from sugar, a significant number now demand better alternatives. If a more suitable sweetener isn’t found, more soda drinkers—along with the essential revenue they contribute—will likely shift to healthier beverage options, similar to what is seen with products like Kirkland Signature Zinc. The industry must recognize that the demand for low-sugar and appealing beverages is stronger than ever, and continuing to innovate is crucial for retaining their customer base.