South America Sports Drinks Market Size and Share

South America Sports Drinks Market (2025 - 2030)
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South America Sports Drinks Market Analysis by Mordor Intelligence

The South America sports drink market size is projected to be valued at USD 2.81 billion in 2025 and is expected to grow to USD 4.52 billion by 2030, registering a CAGR of 9.94%. This growth is driven by increasing awareness about fitness, evolving food regulations, and consistent sponsorship of regional sports events, which together create a favorable environment for revenue expansion. Leading global beverage companies are focusing on introducing localized flavors, reformulating products with clearer labeling, and leveraging digital marketing strategies to build brand loyalty, particularly among younger, tech-savvy consumers in South America. The market is also benefiting from the rising popularity of e-sports, greater participation in endurance races, and experimentation with premium ingredients, which are helping to diversify product offerings. However, stricter policies aimed at reducing sugar consumption are slowing down volume growth. At the same time, these policies are pushing brands to develop zero-sugar product variants, which typically have higher profit margins and are contributing to an increase in average selling prices. 

Key Report Takeaways

  • By product type, isotonic drinks held 84.29% of the South America sports drink market share in 2024; hypertonic/hypotonic drinks are projected to register the fastest CAGR at 5.72% to 2030.
  • By packaging, PET bottles accounted for 76.44% of the South America sports drink market size in 2024; pouches and sachets are set to grow at a 5.01% CAGR through 2030.
  • By distribution channel, off-trade outlets captured 73.55% revenue in 2024, while on-trade is forecast to rise at a 5.11% CAGR.
  • By geography, Brazil led with 29.37% revenue share in 2024; Argentina is expected to post a 10.74% CAGR through 2030.

Segment Analysis

By Product Type: Isotonic Dominance Faces Functional Disruption

In 2024, isotonic drinks claimed an 84.29% share of the South American sports drink market, reinforcing their status as the leading and most trusted choice for hydration. Their efficacy in replacing electrolytes appeals to a diverse audience, spanning from casual fitness buffs to elite athletes. The established benefits of isotonic formulations foster robust brand loyalty and a prominent retail presence, positioning them as the primary choice for many consumers in the category.

Yet, the segment witnessing the swiftest growth is the hypertonic and hypotonic drinks, anticipated to surge at a 5.72% CAGR by 2030. Athletes are gravitating towards these specialized options, seeking more customized hydration solutions. Seizing this momentum, premium brands are rolling out high-value products enriched with functional benefits like botanical extracts and amino acids. This strategy not only caters to specific performance demands but also bolsters revenue through smaller, high-margin offerings. With a rising emphasis on clean and effective sports nutrition, brands are broadening their horizons, moving beyond traditional isotonic offerings to diversify and elevate their product portfolios.

South America Sports Drinks Market: Market Share by Product Type
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By Packaging Type: PET Bottles Lead Amid Sustainability Pressures

In 2024, PET bottles clinched a commanding 76.44% share of the South American sports drink market. Their dominance stems from affordability, efficient production, and seamless integration with cold-chain logistics. The 500 ml PET format, widely embraced for its convenience, continues to be a staple in retail. Yet, manufacturers face hurdles with new MERCOSUR regulations pushing for greater recycled material usage. This shift demands innovation to ensure durability and safety, especially for carbonated drinks, all while meeting sustainability targets.

Aluminum cans, holding a 5.01% market share in 2024, are rapidly ascending as the packaging segment with the swiftest growth. Their allure lies in full recyclability, freshness preservation, and a premium shelf presence, resonating with urban and eco-aware consumers. As the appetite for sustainable, high-quality packaging swells, cans are now favored for both single-serve and multi-pack offerings. Adapting to shifting consumption trends, brands are broadening their packaging horizons to incorporate cans alongside PET, striking a balance between diverse consumer preferences and a commitment to premium, eco-friendly branding.

By Distribution Channel: Off-Trade Dominance Challenged by Convenience Evolution

In 2024, off-trade channels dominated South America's sports drink market, capturing 73.55% of the revenue. Supermarkets, hypermarkets, and convenience stores play a pivotal role, offering wide availability, attractive pricing, and high-volume promotions, especially during major events like football tournaments. By cross-merchandising with complementary products like snacks, these retailers enhance visibility and spur impulse purchases. Larger PET bottles, favored for their cost efficiency and convenience, dominate this channel, making it the go-to for families and bulk buyers.

On the other hand, the on-trade segment, which includes hotels, restaurants, cafés, and the broader foodservice sector, is set to expand at a 5.11% CAGR through 2030. This growth is fueled by urbanization, an uptick in dining out, and the premium placement of sports drinks on menus or as grab-and-go items in cafés and quick-service restaurants. On-trade venues cater to consumers seeking immediate refreshment during social outings, after meals, or during leisure activities. Here, the preference leans towards chilled cans and sleek pouches, prized for their freshness, portability, and premium feel. Moreover, foodservice outlets offer brands marketing perks like exclusive placements, flavor sampling, and co-branding, making this channel vital for brand equity and launching new products.

South America Sports Drinks Market: Market Share by Distribution Channel
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Geography Analysis

Brazil retained 29.37% revenue share in 2024, powered by a 215 million-strong population, entrenched football culture, and a modern retail footprint extending into mid-tier cities. The Ministry of Sports estimates that sporting activities contribute USD 35.2 billion annually to national GDP, underlining a broad consumer base willing to pay for performance beverages. Fitness chain expansion into the northeast and centre-west ensures new points of sale beyond traditional Rio and São Paulo cores, widening the funnel for brand activation. The South America sports drink market finds its highest SKU proliferation in Brazilian outlets, from mainstream isotonic bottles to boutique plant-based electrolyte shots.

Argentina represents the fastest development arc with a forecast 10.74% CAGR through 2030. Revised front-of-pack rules enacted in 2024 mandate black octagonal seals on high-sugar products, nudging reformulation toward monk fruit and stevia alternatives. Economic volatility favours local bottling to mitigate import costs, prompting multinationals to co-pack with domestic fillers. Football’s cultural dominance offers recurring promotional peaks, amplified recently by Lionel Messi’s proprietary brand roll-out. 

Chile, Colombia, and Peru collectively underline a second tier of opportunity where urbanisation, rising disposable income, and wellness programmes converge. Chile’s “Crecer en Movimiento” initiative channels public funds into youth athletics, cultivating early-stage brand affinity. Colombia’s cycle-centric cities of Bogotá and Medellín stage mass sport events that drive training-related beverage demand. Peru’s tourism-fuelled trail-running scene offers seasonal volume lifts in the Andes region. 

Competitive Landscape

The South American sports drink market maintains a moderate concentration level, with major multinational companies and their regional subsidiaries holding significant market positions. PepsiCo's Gatorade leverages its established brand history, extensive production network across multiple countries, and sports club sponsorships to secure prominent retail placement. Coca-Cola's POWERADE utilizes joint bottling agreements to ensure broad distribution through convenience stores and vending machines.

Technology integration has emerged as a competitive advantage in the market. Major brands now offer mobile applications that deliver personalized hydration guidance based on workout data, integrating beverages into digital wellness platforms. The market is showing an increasing focus on packaging development, including augmented-reality labels that provide workout instructions through mobile scanning.

Local manufacturers are gaining market share by developing products tailored to regional preferences and utilizing established distribution networks. These companies compete through competitive pricing strategies and by offering unique flavor profiles that appeal to local tastes. Additionally, they maintain strong relationships with regional retailers and distributors, enabling them to effectively challenge the market position of multinational brands in specific geographic areas.

South America Sports Drinks Industry Leaders

  1. PepsiCo Inc.

  2. The Coca-Cola Company

  3. AJE Group

  4. Grupo Petrópolis

  5. Electrolit USA

  6. *Disclaimer: Major Players sorted in no particular order
Pepsico, Coca Cola Company, AJE Group, Britvic PLC, Otsuka Pharmaceutical Co
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Recent Industry Developments

  • March 2025: Plezi Nutrition introduced "Plezi Hydration," a revamped sports drink. Debuting in three enticing flavors, Lemon Lime, Tropical Punch, and Orange Mango Twist, the drink is marketed as a healthier, low-sugar, and low-sodium alternative to conventional sports beverages.
  • June 2024: Coca‑Cola’s POWERADE became the Official Worldwide Partner of the 2024 Copa América, securing on-pitch visibility, sideline hydration for players, and in-venue brand integration, solidifying its elite competitive associations in South America.

Table of Contents for South America Sports Drinks Industry Report

1. INTRODUCTION

  • 1.1 Study Assumptions and Market Definition
  • 1.2 Scope of the Study

2. RESEARCH METHODOLOGY

3. EXECUTIVE SUMMARY

4. MARKET LANDSCAPE

  • 4.1 Market Overview
  • 4.2 Market Drivers
    • 4.2.1 Adoption of sports drinks among gym-goers and fitness enthusiasts
    • 4.2.2 Rise in endurance event across the country
    • 4.2.3 Product innovation with functional additives
    • 4.2.4 Brand endorsements by sports celebrities fuel demand
    • 4.2.5 Demand for functional beverages
    • 4.2.6 Convenience and on-the-go consumption
  • 4.3 Market Restraints
    • 4.3.1 Rising concerns over adulteration and mislabeling in the market
    • 4.3.2 Stringent regulations shape industry standards
    • 4.3.3 Health concerns over sugar and artificial ingredients
    • 4.3.4 Rising competition from alternatives
  • 4.4 Supply Chain Analysis
  • 4.5 Regulatory Outlook
  • 4.6 Porter's Five Forces
    • 4.6.1 Threat of New Entrants
    • 4.6.2 Bargaining Power of Buyers/Consumers
    • 4.6.3 Bargaining Power of Suppliers
    • 4.6.4 Threat of Substitute Products
    • 4.6.5 Intensity of Competitive Rivalry

5. MARKET SIZE AND GROWTH FORECASTS (VALUE)

  • 5.1 By Product Type
    • 5.1.1 Isotonic
    • 5.1.2 Hypertonic/Hypotonic
  • 5.2 By Packaging Type
    • 5.2.1 PET Bottles
    • 5.2.2 Cans
    • 5.2.3 Others
  • 5.3 By Distribution Channel
    • 5.3.1 On-trade
    • 5.3.2 Off-Trade
    • 5.3.2.1 Supermarkets/Hypermarkets
    • 5.3.2.2 Pharmacy/Health Stores
    • 5.3.2.3 Online Retail Stores
    • 5.3.2.4 Other Distribution Channels
  • 5.4 By Geography
    • 5.4.1 Brazil
    • 5.4.2 Argentina
    • 5.4.3 Chile
    • 5.4.4 Colombia
    • 5.4.5 Peru
    • 5.4.6 Rest of South America

6. COMPETITIVE LANDSCAPE

  • 6.1 Market Concentration
  • 6.2 Strategic Moves
  • 6.3 Market Ranking Analysis
  • 6.4 Company Profiles (includes Global-level Overview, Market-level Overview, Core Segments, Financials (if available), Strategic Information, Market Rank/Share, Products and Services, Recent Developments)
    • 6.4.1 PepsiCo Inc.
    • 6.4.2 The Coca-Cola Company
    • 6.4.3 AJE Group
    • 6.4.4 Grupo Petropolis
    • 6.4.5 Electrolit USA
    • 6.4.6 Genomma Lab Internacional
    • 6.4.7 Nitrix Brasil Ltda
    • 6.4.8 Positive Company Group
    • 6.4.9 A-Game Hydration Beverage, Inc.
    • 6.4.10 Prime Hydration LLC
    • 6.4.11 Mas+ Next Generation Beverage Co.
    • 6.4.12 The Kraft Heinz Company
    • 6.4.13 Agua Nuestra
    • 6.4.14 Four Sport
    • 6.4.15 Refrescos del Centro SA
    • 6.4.16 Fabrica de Licores y Alcoholes de Antioquia
    • 6.4.17 D1 S.A.S
    • 6.4.18 ProScience (Sports & Science Lab SAS)
    • 6.4.19 Kent Precision Foods Group, Inc.
    • 6.4.20 Global Quality Foods (GuaraMEGA)

7. MARKET OPPORTUNITIES AND FUTURE OUTLOOK

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South America Sports Drinks Market Report Scope

South America Sports Drinks Market is segmented by packaging and distribution channel. On the basis of packaging, the market is segmented into PET bottles, cans, and others. On the basis of distribution channel, the market is segmented into Supermarkets/Hypermarkets, Convenience Stores, Online Retail Stores and Other distribution channels.

By Product Type
Isotonic
Hypertonic/Hypotonic
By Packaging Type
PET Bottles
Cans
Others
By Distribution Channel
On-trade
Off-Trade Supermarkets/Hypermarkets
Pharmacy/Health Stores
Online Retail Stores
Other Distribution Channels
By Geography
Brazil
Argentina
Chile
Colombia
Peru
Rest of South America
By Product Type Isotonic
Hypertonic/Hypotonic
By Packaging Type PET Bottles
Cans
Others
By Distribution Channel On-trade
Off-Trade Supermarkets/Hypermarkets
Pharmacy/Health Stores
Online Retail Stores
Other Distribution Channels
By Geography Brazil
Argentina
Chile
Colombia
Peru
Rest of South America
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Key Questions Answered in the Report

What is the current value of the South America sports drink market?

The South America sports drink market stands at USD 2.81 billion in 2025 and is projected to reach USD 4.52 billion by 2030.

Which country leads the region in sales?

Brazil commands the largest share at 29.37% of 2024 revenue.

What segment of products dominates the category?

Isotonic formulations held an 84.29% share in 2024, far outweighing hypertonic and hypotonic drinks.

Which distribution channel is expanding the fastest?

On-trade venues such as gyms, stadium kiosks and vending machines are forecast to grow at a 5.11% CAGR through 2030.

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