The second-quarter results are in for Coca-Cola (NYSE: KO) and (NASDAQ: PEP), two of the most important consumer staples makers on the planet. These giant soda companies witnessed similar weakness in one very important market. Here's a look at what happened and why investors need to worry a bit.

Both PepsiCo and Coca-Cola are U.S. companies. PepsiCo generates around 57% of its top line from its home market. Coca-Cola is more globally diversified, with North America accounting for 36.6% of its revenue, but that is roughly twice the size of any other geographic region within the company. Simply put, what happens in the United States matters a great deal to both of these consumer staples giants.

In the second quarter of 2024, both companies experienced weakness in their most important market. Coca-Cola's organic sales rose 10% in North America, which is good, but that was driven by price increases. Volume dropped 1%. To be fair, that's not a shocking development given price increases. However, it hints that customers may not be as willing to pay up for a Coke right now.

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Source Fool.com