For years, sugar reduction has been the dominant strategy in carbonated soft drinks.
Sugar-free formulations, supported by regulation and health messaging, have become a core part of product ranges. Yet consumer attitudes towards sweetness are becoming more nuanced, suggesting that sugar-free alone is unlikely to drive future category growth.
Instead, consumers are increasingly distinguishing between how much sugar is used and where it comes from, with ingredient familiarity playing a growing role in perceptions of taste and quality.
Artificial sweeteners face a perception challenge
While sugar‑free carbonated soft drinks account for a rising share of new launches globally, consumer confidence is uneven. In the UK, Mintel research shows that 53 percent of Gen Z and younger Millennials view soft drinks made with artificial sweeteners as less healthy than those containing sugar, while only 9 percent of German consumers say artificial sweeteners (e.g. aspartame) taste good.
The implication for brands is clear: sugar reduction remains important, but ingredient perception matters just as much as nutrition metrics.
Taste still drives the category
Despite shifting health narratives, taste remains the dominant purchase driver for carbonated soft drinks. In the US, Mintel research shows that 67 percent of consumers rank ‘tastes great’ as their top purchasing consideration, far ahead of price or health benefits.
What’s changing, however, is how sweetness is delivered. Added sugars from natural sources, such as fruit juice and honey, benefit from a “natural halo”, with consumers associating them with cleaner taste and simpler formulations than artificial sweeteners.
For brands, this reinforces the importance of assortment balance — ensuring that flavour-forward options coexist alongside zero-sugar SKUs, rather than treating sugar reduction as a one-way journey.
Carbonated soft drink brands can reframe added sugar as a source of natural appeal, a taste advantage, and a strategic edge for challenger players.
Read more from Tan Heng Hong, Associate Principal, Food & Drink, Mintel in the latest issue here
