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Why trend towards smaller households offers opportunity for new pack sizes in soft drinks - analysis

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In Japan, The Coca-Cola Co has introduced two new pack sizes to adapt to evolving demographic trends in the country.

The 35cl and 70cl PET bottles for brand Coke complement Coca-Cola Japan's existing portfolio, which includes 50cl and 1.5-litre PET bottles, 19cl glass bottles, 28cl aluminium bottles and 35cl and 50cl cans. According to the unit, the appropriate packaging type and size is vital for optimising the consumption experience of carbonated soft drinks (CSDs) in terms of temperature, carbonation levels and the number of serving portions of the drink.

The two recently-launched packs also chime with the trend of shrinking household sizes in Japan, a result of falling birth rates and the country's rapid ageing of its population.

The 35cl and 70cl bottles are suitable for the surging number of single-person and two-to-three-member households. While the 35cl pack is suitable for individuals, the 70cl bottle has been designed to be shared among small families and friend circles for whom the 1.5-litre bottle is too large to finish in a single sitting.

Through its approach, Coca-Cola Japan will also tap into consumer demand for increased personalisation, a trend that has been accelerated by COVID-19. According to GlobalData's '2020 Market Pulse Survey', published in September, 68% of Japanese consumers now believe that products personalised to their needs and personality are 'as important', 'more important' or 'top priority' when purchasing food and drinks.

Coca-Cola's packaging diversification reflects a broader trend among CSD brand owners to shift to smaller pack sizes as a means of working around health and affordability concerns of consumers, thereby driving their top-line growth.


Expert Analysis

Carbonates (Soft drinks) Market in Japan - Outlook to 2023: Market Size, Growth and Forecast Analytics

Carbonates (Soft drinks) Market in Japan - Outlook to 2023: Market Size, Growth and Forecast Analytics

Carbonates (Soft drinks) Market in Japan - Outlook to 2023: Market Size, Growth and Forecast Analytics is a broad level market review of Carbonates market in Japan.

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