8 months ago
Gen Z Prefers Zero Sugar Over Diet Soda
Big soda companies like Pepsi and Dr Pepper are focusing more on Zero Sugar sodas instead of Diet sodas.
This is because younger people, like Gen Z, prefer Zero Sugar drinks.
They think these drinks are healthier and taste more like regular soda.
Companies are spending a lot of money on ads and new flavors to attract these younger drinkers.
Even though Diet sodas have been around for a long time, the new Zero Sugar drinks are becoming more popular.
This change is helping soda companies sell more drinks, even though overall soda sales have been going down.
PepsiCo is heavily promoting Pepsi Zero Sugar, spending most of its marketing budget on it.
Zero Sugar sodas accounted for 52% of the category's sales growth in 2023.
Keurig Dr Pepper has introduced over 40 Zero Sugar offerings, replacing many Diet versions.
Gen Z consumers prefer Zero Sugar sodas for their perceived health benefits and taste.
Companies are introducing new flavors and limited-edition drinks to attract younger consumers.
- Who
- PepsiCo, Keurig Dr Pepper, Gen Z consumers
- What
- Shift from Diet to Zero Sugar sodas
- Where
- United States
- When
- Recent years, with significant changes in 2023-2025
- Why
- Gen Z prefers Zero Sugar for its perceived health benefits and closer taste to regular soda
Key facts
- Pepsi Zero Sugar
- Major focus of PepsiCo's marketing
- Super Bowl Ad
- Pepsi Zero Sugar featured in 30-second spot
- Pepsi Challenge
- Blind taste test between Pepsi and Coke Zero Sugar
- Keurig Dr Pepper
- Over 40 Zero Sugar offerings now
- Zero Sugar Sales
- 52% of category's sales growth in 2023
- Gen Z Preferences
- 72% try new beverages monthly
- Limited-Edition Success
- Dr Pepper Creamy Coconut top-performing
Quotes
Ram Krishnan
Chief Executive Officer of PepsiCo North America
“We’ve gone all in on Pepsi Zero Sugar in the last two years”
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Kevin Ryan
Chief Executive Officer of Malachite Strategy and Research
“The word ‘diet’ is from a different era. For a lot of younger consumers, it’s radioactive”
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Madilyn Hovey
25-year-old consumer
“Diet soda just has that weird artificial taste to it. It’s easier to feel like you’re drinking the real thing”
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Derek Dabrowski
Senior Vice President of Marketing at Keurig Dr Pepper
“We were a little late to the party. It was a risk worth taking that has paid off”
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Ben Goodwin
CEO of Olipop Inc.
“Big soda brands are really smart to create those multiple offerings”
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Megan Stitz
26-year-old physical therapist
“I’m not an all-or-none kind of person. I will still enjoy a full-sugar Coke if I want to”
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