Sales of Taxed Sugary Drinks Dip Further as Consumers Alter Spending amid Price Hikes
While sales of sugar-sweetened beverages have been weakening in the past years, the accelerated rate of decline in sales in February or a month after the implementation of excise taxes reflects consumers’ typical reaction after a price increase.
Nielsen Retail Index data shows more pronounced sales declines in sari-sari stores, with all five sugar-taxed beverage categories showing faster sales decline of an average of 8.7% in February 2018 vs 4.4% in February 2017. Powdered juice and powdered tea are showing double digit declines at 15.4% (vs. 1.7% in February 2017) and 18.1% (vs. 3.4% same period last year), respectively. Carbonated soft drinks sales decline also accelerated from 4.1% last year to 7.0 % in February 2018. Nielsen – Read more…