• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia

Trendingnow

1

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

2

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch

3

Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster

1

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year

2

As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch

3

Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
RetailCoca-Cola

Diet Coke sales continue to fizzle

By
John Kell
John Kell
Contributing Writer and author of CIO Intelligence
Down Arrow Button Icon
By
John Kell
John Kell
Contributing Writer and author of CIO Intelligence
Down Arrow Button Icon
April 22, 2015, 2:36 PM ET
Launch Event Of The Diet Coke Get A Taste Style Bar Featuring The Exclusive Diet Coke Curated Fashion Collection In Partnership With Online Luxury Retailer Gilt.com
TORONTO, ON - SEPTEMBER 22: General atmosphere at Launch Event Of The Diet Coke Get A Taste Style Bar Featuring The Exclusive Diet Coke Curated Fashion Collection In Partnership With Online Luxury Retailer Gilt.com on September 22, 2014 in Toronto, Canada. (Photo by Sonia Recchia/Getty Images for GILT)Photograph by Sonia Recchia — Getty Images
Add Fortune on Google for similar content.

Diet Coke’s sales are still fizzling in the soda aisle.

Diet sodas were once a trendy and popular subcategory within carbonated beverages, as consumers began to favor zero-calorie sodas in a bid to pursue a healthier lifestyle. But consumers have been vexed by reports that too much exposure to aspartame, a sweetener used in Diet Coke, can be harmful. Other studies have suggested that diet sodas actually contribute to weight gain, rather than helping with weight loss.

In its earnings report Wednesday, the beverage giant said Diet Coke’s first-quarter volume slid 6% from a year ago. The poor performance was offset by growth for the namesake Coca-Cola brand, as well as Coke Zero, Sprite, and Fanta. Overall, Coke’s (KO) first-quarter revenue grew 1% to $10.71 billion, the first increase in nine quarters.

Jefferies analyst Kevin Grundy said U.S. Nielsen data indicate that Diet Coke is gaining market share among diet sodas, which as a category has seen weak volumes amid consumer concerns about the health effects of artificial sweeteners.

“Concerns around artificial sweeteners are really winning the battle in the minds of consumers, whether this is real or perceived,” Grundy said. “And the industry isn’t really fighting back.”

A survey Jefferies conducted last year found that 83% of those that were drinking fewer diet sodas were “absolutely certain” or “fairly certain” that artificial sweeteners were bad for one’s health. Jefferies also found that even those most loyal to the soda category were drinking less of the category’s diet offerings.

Diet Coke’s poor performance was the most problematic trend in Coke’s earnings report on Wednesday. The company reported sales and profit growth that exceeded Wall Street’s expectations. Coke is in the midst of what executives have called a “transition year,” in which the company is aiming to simplify its operations, trim some costs and also invest in its beverage brands to re-ignite growth. By almost all accounts, the company is off to a strong start for 2015.

Diet Coke’s prolonged problems are a big concern. The soda is the nation’s third most popular carbonated beverage, so any weakness could pull down the entire category’s performance.
[fortune-brightcove videoid=4051446630001]

Diet Coke was once a star performer. From 2001 through 2007, Diet Coke’s volume outperformed the broader carbonated beverages category, helping market share expand from 8.7% to 10% over that period of time, according to industry tracker Beverage Digest.

The beverage has now underperformed the category for six consecutive years, and volume has tumbled for eight years straight. Diet Coke, which for several years had surpassed Pepsi in volume, fell to third overall in the market last year. Market share dropped to 8.5% according to Beverage Digest, the lowest level since 1999.

“I would describe Diet Coke still as a work in progress,” said Sandy Douglas, president of Coca-Cola North America. “The team and I, and our whole system, believe that in fact we’ll return Diet Coke to growth in the long term, but recent improvement is still a work in progress.”

About the Author
By John KellContributing Writer and author of CIO Intelligence

John Kell is a contributing writer for Fortune and author of Fortune’s CIO Intelligence newsletter.

See full bioRight Arrow Button Icon
Add Fortune on Google for similar content.

Latest in Retail

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • World's Most Admired Companies
  • See All Rankings
  • Lists Calendar
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
  • Group Subscriptions
About Us
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • About Us
  • Press Center
  • Work At Fortune
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Retail

U.S. Polo Assn. CEO J. Michael Prince
SuccessThe Promotion Playbook
U.S. Polo Assn. CEO was told he wasn’t right for a promotion—so he ‘outworked’ anyone else who wanted the job for 6 months straight
By Orianna Rosa RoyleJuly 1, 2026
5 hours ago
I know how Gen Z can survive the ‘jobpocalypse’ because I built an AI company — in 2015
CommentaryCareers
I know how Gen Z can survive the ‘jobpocalypse’ because I built an AI company — in 2015
By Jeremy FainJuly 1, 2026
10 hours ago
mr
Commentary250 Years of Innovation
America needs 3.8 million manufacturing workers. This CEO has a blueprint to find them
By Mark RayfieldJuly 1, 2026
10 hours ago
usa
Commentary250 Years of Innovation
America at 250: why the Constitution was built to restrain government, not celebrate majority rule
By Steve H. HankeJuly 1, 2026
10 hours ago
Nike’s earning numbers exceeded Wall Street’s expectations. But CEO Elliott Hill’s next test is the World Cup
RetailNike
Nike’s earning numbers exceeded Wall Street’s expectations. But CEO Elliott Hill’s next test is the World Cup
By Mia OsmonbekovJune 30, 2026
24 hours ago
Stripe CEO Patrick Collison gestures with his hands as he speaks into a microphone before a congressional committee hearing.
Cryptostablecoins
Stripe, Visa and over 140 other businesses to launch stablecoin to rival Tether and Circle
By Camila Grigera NaónJune 30, 2026
1 day ago

Most Popular

MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
Success
MacKenzie Scott alone accounted for one-third of America's $19.2 billion in megagifts last year
By Sydney LakeJune 25, 2026
7 days ago
As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch
Big Tech
As Big Tech showers employees with perks to win the talent war, Nvidia built a nearly $5 trillion company by making people pay for their own lunch
By Marco Quiroz-GutierrezJuly 1, 2026
13 hours ago
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
Success
Philanthropy leader at Warren Buffett and Bill Gates’ Giving Pledge says children of billionaires are pushing them to give their wealth away faster
By Preston ForeJune 27, 2026
4 days ago
Elon Musk on MacKenzie Scott giving away $26 billion of her fortune: 'Sadly,' it makes the world a worse place
Success
Elon Musk on MacKenzie Scott giving away $26 billion of her fortune: 'Sadly,' it makes the world a worse place
By Sydney LakeJune 29, 2026
2 days ago
The Supreme Court's birthright citizenship ruling hands the U.S. economy a $7.7 trillion win
Newsletters
The Supreme Court's birthright citizenship ruling hands the U.S. economy a $7.7 trillion win
By Diane BradyJuly 1, 2026
11 hours ago
The U.S. Army is opening military bases to private billions — here's why that changes everything for the next 250 years
Commentary
The U.S. Army is opening military bases to private billions — here's why that changes everything for the next 250 years
By Marc AndersenJune 30, 2026
1 day ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.