Coca-Cola Stock Surges After Diet Coke Reboot

Coca-Cola Stock Surges After Diet Coke Reboot

At the beginning of the year, the soda giant Coca-Cola rolled out four new Diet Coke flavors-Diet Coke Ginger Lime, Diet Coke Feisty Cherry, Diet Coke Zesty Blood Orange, and Diet Coke Twisted Mango. 

The company also revamped the cans with a new fresh and trendy design and tested over 30 new Diet Coke flavor recipes to find flavors that would appeal specifically to millennials. 

“We cast a very broad flavor net after looking at what Millennials are eating and drinking and what food and beverage trends and insights told us,” said Melissa Schwartz, Diet Coke Senior Brand Manager. “We tried everything from spicy notes to exotic superfruits from around the world. We even hosted a mixology session in Atlanta where we invited fans to ideate, create and taste Diet Coke flavors we were considering.”

Evidently, this has payed off. 

Today, the brand announced its quarterly results and its overall revenue beat expectations by $300 million.

"The company said the launch of its popular low-calorie Diet Coke in sleeker tins and flavors including ginger-lime and feisty cherry drove Diet Coke volumes up 3 percent, marking a return to growth for the brand in North America," writes "Reuters." "Overall, volumes rose 3 percent, with growth in both sodas and teas and coffees driving much of the gains. Organic sales, that exclude gains from acquisitions or divestitures, rose 5 percent in the first quarter."

Read More

Will These Two New Fruity Coca-Cola Soda Flavors Attract the Attention of Millennials?

Will These Two New Fruity Coca-Cola Soda Flavors Attract the Attention of Millennials?

While the war on sugary beverages battles on as organizations lobby for sugar taxes in certain areas of the country, big soda brands are adapting by investing in healthier beverages like flavored sparkling waters and craft sodas.

At the end of last year, we pulled data from Foodable Labs to see what beverages millennials were drinking.

In the last half of 2016, 46.9% of millennials were drinking craft beer, 9.2% were drinking craft soda and 11.8% were still drinking major soda brands.

But in the areas with soda taxes being implemented, the percentage of major soda brand drinkers was much less. In Boulder only 3.4% of millennials were drinking major soda brands and in San Francisco it was 7.4%, versus the 11.8% of Millennials in the rest of the country.

So it’s no wonder that big soda brands are developing innovative craft products to stay competitive.

Although soda companies are launching or investing in these healthier innovative beverages, Coca-Cola isn’t giving-up on sugary beverages just yet and is focusing on building its specialty cane sugar soda portfolio in 2018. The company saw 8% growth in the specialty soda category in 2016.

Read More

Will Coca-Cola Finally Make This Monster Investment?

Will Coca-Cola Finally Make This Monster Investment?

The beverage mogul Coca-Cola may be on a verge of a monster deal­– in two ways than one.

The soda company already owns 16.7% of the energy drink brand Monster and it looks like it is the right time to buy beverage company.

With the favorable market conditions, an industry banker told the publication “The Deal” that an acquisition "would be the logical next step for both companies."

Considering there aren’t many other companies in the position to invest in a beverage company of Monster’s size, Coca-Cola is one of the most logical suitors.

Coca-Cola has a massive market cap of 195.22 billion, while Monster is at $31.86 billion. PepsiCo is another potential suitor, but it’s much more unlikely since Coca-Cola has already had a head start. Just a few years ago, Coca-Cola purchased a 16.7% stake of Monster.

"It seems Monster has made its bed and decided Coca-Cola is the way to go," said “The Deal’s” mysterious source.

Read More

PepsiCo Introduces New Premium Water to the Market

Lifewtr labels | P epsiCo

Lifewtr labels | PepsiCo

The soda giant has announced via press release and at the Beverage Digest Future Smarts Conference in New York yesterday that it will be debuting its new premium water brand called Lifewtr in February.

The water will be a direct competitor to Coca-cola's Smartwater.

So what makes this water different than the many bottled waters on the market? 

Well, like Smartwater, it is "pH balanced with electrolytes added for taste," according to yesterday's press release.

But how is PepsiCo differentiating its new water product from others? With artist-driven marketing. 

It's packaging will feature different rotating designs by emerging artists. Multiple times during the year, the labels will feature a new series of three designs. The artists will be from all industries including fine arts, fashion, design, photography and others.

"Our Lifewtr artists will turn the traditional bottle label into a unique masterpiece that speaks to the creativity -- and source of creation -- linked to the brand's core," said Brad Jakeman, president of PepsiCo's global beverage group, in the press release. "Lifewtr is a huge priority for us and an exciting global big bet, and we've worked hard to make a premium bottled water experience that combines the right mix of a clean, pure taste with eye-catching packaging and an authentic connection to the consumer."

The first artists featured will be muralist MOMO, artists Craig & Karl and another artist Jason Woodside. 

The water will be available in two sizes. The 700ml will be priced at $2.06 and the 1L will be priced at $2.70. 

PepsiCo is already in the bottled water business with SoBo Lifewater, which is a flavored beverage. To not confuse consumers, the beverage mogul plans to rebrand and relaunch SoBe Lifewater without the Lifewater name. 

Do you think this bottled water brand will be successful in the already saturated market? And what will Coca-cola's next move be to try to get ahead of the competition? Read more

Soda Companies Aim to Cut Consumer Calorie Consumption

Consumers are now more health-conscious when it comes to their meal selection, but this is also affecting the beverages they are choosing. Fast casuals, like Rubio's, are offering all-natural sodas to appeal more to the consumer's concerns. But what are the beverage moguls Coca-Cola and PepsiCo going to do to counteract this?

Well, apparently they will be promoting lower calorie drinks and water. About 1/3 of added sugars in American diets come from soda, according to the government. These companies are aiming to cut the beverage calories in the America diet by 20%. Does this mean– we should expect all-natural and healthy sodas being produced and manufactured by these companies? Read More