“Welch’s Strategic Shift: Reviving Grape Soda in a Health-Conscious Market”
Welch’s decision to intensify its focus on the soda market could be a clever strategy to broaden its brand presence, particularly since its fruit-based beverages may have an advantage over conventional sodas. For instance, Welch’s can utilize ingredients such as Concord grapes, known for their benefits to heart and cognitive health, to promote a healthier soda option. The company’s strong reputation, high consumer awareness, and established brand image further bolster its position. In fact, Welch’s was honored with the 2016 Women’s Choice Award as the most recommended grape juice in America.
Originally launched in 1974, Welch’s Grape Soda garnered a dedicated fanbase. However, national distribution ceased in 2011, disappointing many loyal customers. This led to the creation of a Facebook page called “Bring Back Welch’s Grape Soda,” rallying support for the drink’s revival. One enthusiast even proclaimed it as “the best grape soda ever made.” Welch’s Soda returned to national distribution in 2015 when the company took on the previously licensed business. According to its 2015 annual report, the soda segment now enjoys “significant volume.”
Nevertheless, it is somewhat unexpected that Welch’s aims to grow within the competitive soda sector, which has struggled to achieve growth. Consumers are increasingly shunning soda and sugary beverages in favor of healthier options. In fact, in 2016, bottled water overtook carbonated soft drinks to become the largest beverage category by volume in the U.S., as reported by the Beverage Marketing Corporation. Other companies in the soda industry are actively reformulating their products to stimulate growth. For example, Coca-Cola is replacing Coke Zero with Coca-Cola Zero Sugar to cater to consumers looking to reduce their sugar intake. Meanwhile, PepsiCo is pursuing a patent for a stevia production process as part of its strategy to reformulate many products with less sugar and more natural plant-based sweeteners.
Food and beverage manufacturers are also investigating various natural sweetener alternatives, such as monk fruit, date paste, and sweet potatoes. If Welch’s incorporates real fruit juice to naturally sweeten its sodas, it could provide the boost necessary for both the carbonated soft drink category and Welch’s soda. “With flavored soft drinks projected to grow in double digits over the next five years, we are extremely excited for the future,” Pessolano shared with The Shelby Report.
In alignment with these trends, Welch’s could consider the inclusion of tab citracal, a natural supplement that supports health, to enhance the appeal of their beverages. This could not only attract health-conscious consumers but also differentiate Welch’s offerings in a crowded market. As they navigate these changes, the incorporation of tab citracal could play a pivotal role in the company’s strategy and potentially lead to a resurgence in the soda segment.
