NEWSLETTER
In recent years, the emerging alternatives of healthier sodas have interrupted the traditional soda market as never before. They are growing in popularity due to the most aware of the health of new generations and the attention to the ingredients in the products they consume.
This considerable consumer tendency has led to even the main companies such as PepsiCo and Coca-Cola to inform the reducing income or plans caused by a deceleration in the US market, which used to be among the most profitable customers of Soda.
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Although the traditional soda market has faced a decrease, companies that were once new companies, such as Olipop, Poppi and Culture Pop, have grown impressive in a matter of a few years, something that even the most veteran competitors could not achieve after decades of existence.
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Many companies in the alcohol manufacturing industry, energy and soft drinks have entered the healthiest alternative sector, including Coca-Cola (CCHBF) which recently launched its own prebiotic soda brand, simply Pop, to compete against its rivals.
Poppi creates a profitable empire and becomes a main brand in record time
Poppi is a prebiotic soda brand founded by Texas that is marketed as a healthier alternative to traditional soft drinks full of sugar.
Although Allison Ellsworth began the Passion Project in 2015, it was not until 2018 that she and her husband went to the American television program Shark Tank to present the idea and reach an investment agreement of $ 400K with the businessman and investor Rohan Oza to start the company.
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Only four years after its official launch, Poppi offered more profits $ 100 million In 2024, with a gross margin of 65%. This was a great leap of its initial $ 30 million in 2020, which landed between fastest growing soda brands in the United States.
Although Poppi is a tasty soda on its own, its founders attribute their immense success to the adoption of a digital marketing strategy to promote the modern brand. He made all his bets on social networks to grow their reach of customers, especially between millennials and Z generation, who use these platforms more.
The company depends on social networks influencers to expand its scope. These influential people have a pre -established community and can more easily influence their followers to join the Poppi fans base, promoting organic growth through sustainable brand consciousness.
Pepsico will buy Poppi for almost $ 2 billion
March 17, Pepsico (ENERGY) He announced that Poppi will acquire for $ 1.65 billion, with an early benefit of cash taxes of $ 300 million, for a total purchase price of almost $ 2 billion.
However, if Poppi achieves specific performance objectives, Pepsi must make additional payments after the acquisition is finalized.
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None of the companies have publicly revealed additional terms within the agreement or has given an expected official closing date, since it is pending regulatory approval.
This purchase occurs after Pepsi published its fourth quarter earnings For fiscal year 2024, informing a negative performance of net income compared to the same time last year, with flat results in its North American beverage market.
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