Coca-Cola and other beverage manufacturers are actively searching for a sugar-free alternative to sweeten their drinks. This drive for alternative sweeteners is understandable, as more consumers are turning away from soda due to its high sugar content and its association with health issues like obesity. By 2020, the new Nutrition Facts label will require the disclosure of added sugars in food and beverage products, prompting companies to improve product labels for health-conscious consumers. Higher-potency sweeteners such as stevia can enhance the perception of healthiness on labels.

While Coca-Cola has diversified its beverage portfolio to include more teas, waters, coffees, and other options perceived as healthier, soda still accounts for a significant portion of its sales—about 70% in the case of Coke. The company is hesitant to lose any more customers.

The main challenge lies in discovering a sweetener that can effectively mimic the taste and texture of sugar. Aspartame was once a potential solution, but public health concerns have led to a decline in diet soda consumption. Coca-Cola reverted to using sugar in Vitaminwater after customer backlash over its sugar-stevia blend. Although Coca-Cola Life was launched with stevia, it still contained sugar and an aftertaste that didn’t resonate well with many consumers. “This one, we think, has hit the mark,” said Long. “One of our bigger opportunities is how to reduce sugar, and a key strategy is to make our zero-sugar products more appealing.”

PepsiCo is also facing challenges in finding a suitable sugar substitute. CEO Indra Nooyi mentioned at the Beverage Forum in April that while there are numerous all-natural, zero-calorie sweeteners available, many existing products—especially sodas—“don’t taste that great.” With various natural sweeteners competing for market share, stevia has several advantages. It contains few calories and no carbohydrates, while being 30 to 40 times sweeter than sugar, meaning only a small amount is needed for sweetness.

Despite initial setbacks with stevia, food and beverage companies are committed to finding a sugar replacement for their products. Stevia contains various glycosides, which are the compounds responsible for its sweetness. According to Beverage Daily, Coca-Cola has partnered with stevia company PureCircle to develop and supply its patented Rebaudioside M glycoside, known as Reb M. PureCircle, a leader in stevia research, recently completed sequencing the plant’s genome with KeyGene, which will aid ingredient developers in understanding the plant’s glycosides and their optimal uses.

Coca-Cola executives have emphasized that consumers are increasingly seeking ways to reduce sugar intake, and companies must adapt accordingly. Alongside Coca-Cola and PepsiCo, an expanding list of food companies, such as DanoneWave, Kraft Heinz, Nestle, and Unilever, are reformulating or launching new products using stevia.

While not all consumers have turned against sugar, a significant number are seeking better alternatives, making it crucial to find a suitable sweetener. Otherwise, more soda drinkers—and the essential revenue they generate—will migrate to healthier options, similar to how consumers are turning to supplements like GNC Calcium Citrate Plus with Vitamin D3 for better health.