Latest news with #PepsiPrebioticCola
Yahoo
01-08-2025
- Business
- Yahoo
Does PepsiCo's prebiotic cola have potential to pop?
The rise of prebiotic soda in the US has caught the attention of the giants of the soft sector. And, weeks after PepsiCo made a near-$2bn bet on the sector, it has moved again – with its own product. PepsiCo is launching a prebiotic cola in the US under its flagship brand Pepsi, a new product the company said 'marks the first significant innovation in the traditional cola category in 20 years'. The launch of Pepsi Prebiotic Cola follows hot on the heels of the group's $1.95bn acquisition of Poppi earlier this year. The roll-out of the Pepsi-branded prebiotic soda begs a number of questions. How will PepsiCo tackle any possible cannibalisation of Poppi's sales? How can PepsiCo win over consumers who might be sceptical about its health claims for the new product? And could the company look to take the product into markets outside the US where demand for so-called gut-friendly soda is starting to grow? Meanwhile, PepsiCo's arch rival isn't sitting on the sidelines. In February, The Coca-Cola Company made its own move in prebiotic soda with the launch of its own line called Simply Pop. A new segment One resounding response to PepsiCo's prebiotic cola launch, is that it shows the company sees strong long-term potential in the segment. Just like the company grew a lower calorie and sugar segment for Pepsi with the Diet brand, it now sees potential to add on a new branch to its brand line with prebiotic. As Jim Watson, senior analyst of beverages at Rabobank says: 'It can be easy to still think of prebiotic as a pretty small segment, even despite the Poppi acquisition. 'But this is Pepsi saying it's big enough to have multiple tiers of pricing. Multiple different brands going at the category different ways, and that potentially it's just another category of soda, the way you'd have diet versus regular, and they're saying you might be able to diet versus regular versus prebiotic.' Richard Wyborn at Food Strategy Associates agrees that the decision shows the company is confident about the long-term opportunities in prebiotic soda, and that the group wants to make sure it's one of the leading players in the space. He also however sees the product launch as 'an odd move', given the drink will likely compete with its recently acquired Poppi. Though he notes 'equally, I can imagine that there'll be a little bit of overlap, just based on pure mass, but there's probably not masses of overlap between the two brands. And therefore, this move perhaps reflects a view that this is going to be a long-term shift on alcoholic beverages.' Poppi does produce its own cola products: the Classic Cola and Cherry Cola. But its range also includes an additional 15 flavours. Capturing a new audience What stands out about PepsiCo's prebiotic cola compared to Coca-Cola's Simply Pop is that it is being launched, not under a new label but under its one of its core brands. Some analysts see the positioning of the prebiotic cola under Pepsi as a tactical move, which could help it expand its consumer-base. 'You're trying to capture some drink some consumers that might like Pepsi and their needs weren't being met by the Pepsi brand, but they might otherwise be Pepsi drinkers,' explains Watson at Rabobank. 'You had a long-time Pepsi drinker who sees the entire category moving towards more functionality, more health claims, but maybe they don't like the artificial sweeteners, and so the Diet Pepsis aren't working for them. There isn't something within the Pepsi portfolio that works, and so this will bring them around.' Others though, are more hesitant about the brand being able to rein in consumer that know and love Pepsi brand already, given the drink being marketed is quite different to what they've come to know about the brand. Wyborn at Food Strategy Associates says the move 'risks confusing consumers'. He adds: 'Overall, it does feel strange. Just given the fact that it's so much like the core Pepsi product, and, quite frankly, your average Pepsi consumer, I would imagine, couldn't really care less about prebiotics, or doesn't really have a clue [what that is].' It's an argument that's echoed by Ivan Izus Torossian, consulting director at GlobalData: 'I think 90% of people don't really know what probiotics are [and] even more so prebiotics. We don't know the difference; it's just kind of trendy now.' While health and wellness are a key growing area of interest for consumers across food and beverages, it's hard to know whether the prebiotics element of the brand will actually attract or deter Pepsi's loyal consumer-base. The 'health halo' One hurdle producers in the prebiotic soda area of soft drinks have been facing is consumer scepticism around health claims. Earlier this year, Poppi settled a lawsuit in the US filed by consumers who questioned the brand's gut-health claims. The suit claimed that the two grams of prebiotic fibre in Poppi's drinks were an 'amount too low to cause meaningful gut health benefits' for drinkers consuming a single can a day. Though the lawsuit is settled, it showed a growing consumer scepticism which could pose a hurdle to the prebiotic sodas category. 'The challenge for that category is whether or not the health halo around it stands up to greater scrutiny over time,' says Watson at Rabobank. 'And whether or not having a little bit of fibre in a drink really makes a difference to your health and whether or not consumers believe that.' Despite the haziness surrounding health benefits of prebiotic products, Watson doesn't necessarily see this as being a major barrier, given the product simply gives consumers more Pepsi to choose from. He explains, 'You're selling health, but you're selling an excuse to have the drink you wanted to have anyway. That is a much lower bar often than, you know, needing actual measurable health benefits.' Compared to Poppi, Pepsi Prebiotic Cola contains just 1g more fibre. What is particularly striking about the drink though, is the 5g of sugar in a 12oz can compared to the 41g in a traditional can of Pepsi. The product also contains 30 calories and has no artificial sweeteners. The drastic reduction in sugar is the most interesting aspect about the prebiotic drink for some. According to GlobalData's Torossian, the reduced sugar element is 'the really big news', given sugar reduction is something the company has tried already in the past, but it was only to around 15-30g. He also notes that the group will be adding Stevia to the product. 'So how they will nail that? Pepsi had a lot of backlash for using, aspartame,' he says. Global opportunity Pepsi Prebiotic Cola will launch online in the US later this year, followed by a retail roll-out in early 2026. For Wyborn, the launch in the US seems a little strange, given how other soft drinks players, such as Coca-Cola Co. have approached launches of low-calorie products in the past. 'Coca-Cola Life, I remember they launched it in a handful of markets that weren't in the US. I was in Argentina when they launched it. And a brand that you think has got global legs, you wouldn't necessarily launch in your key market day one… I thought you'd almost test it elsewhere. Maybe I'm wrong on that.' One potential market to grow the brand, Wyborn says, would be the UK. The market has seen a number of prebiotic growth in the prebiotic soda area. Living Things and XOXO Soda are two brands which received backing from local investors last year. He notes, 'there's clearly momentum for it in developed markets, and as a consequence, there could be international potential for it in the future', but that the Pepsi brand itself might not be the best avenue. He adds: 'For me Pepsi is an odd vehicle through which to access the opportunity given the limited relevance of prebiotics to Pepsi consumers generally but also the fact that the product visually looks so similar to the core Pepsi can.' PepsiCo is clearly confident its Pepsi Prebiotic Cola can become a successful branch within its Pepsi soft drinks line, but we'll have to wait and see whether consumers agree. "Does PepsiCo's prebiotic cola have potential to pop?" was originally created and published by Just Drinks, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. 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Miami Herald
27-07-2025
- Health
- Miami Herald
Pepsi copies Coca-Cola to win back health-conscious consumers
Many Americans may not realize the importance of the gut microbiome, or the ecosystem of microbes that live in our intestines, and its impact on overall health. A 2023 Ipsos poll also revealed that many Americans have accepted to live with their digestive problems, with one in five saying they tried many things to resolve the issue, but haven't succeeded. Don't miss the move: Subscribe to TheStreet's free daily newsletter About 18% of Americans confirm they have been diagnosed with hemorrhoids, and 15% say they have been diagnosed with gastroesophageal reflux disease (GERD). How is this possible? Food plays a significant role in our gut and overall health. However, it is not the only culprit for various illnesses, because poor nutrition is often associated with other less healthy behaviors. Sugar-sweetened beverages (SSBs) are leading sources of added sugars in the American diet, and frequent consumption is associated with weight gain, Type 2 diabetes, kidney diseases, obesity, gout, a type of arthritis and more. However, more frequent consumers of sugary drinks tend to be those who don't exercise regularly, eat fast food often, smoke, don't sleep enough, and do not consume enough fruit, reports the CDC. Over the last couple of years, healthier soda alternatives have grown in popularity, due to the newer generations' focus on healthier lifestyles and mindful eating. U.S. Secretary of Health and Human Services Robert F. Kennedy Jr. recently started a major crackdown on various ingredients commonly found in food and beverages, with one of the goals being to eliminate synthetic dyes in food and drinks. Related: Scientists find massive anti-aging potential in magic mushrooms Kennedy Jr. also stressed that sodas are one of the biggest contributors to the poor health of many Americans. Under the White House's "Make America Healthy Again" initiative, pressure is mounting on soda giants to adapt their formulas. Just recently, it was announced that Coca-Cola might make a big change to its sodas- switching from high-fructose corn syrup to cane sugar. Earlier this year, Coca-Cola launched its own prebiotic soda under its juice brand Simply, and now its biggest rival, PepsiCo (PEP) , is making a similar move. More Retail: Target delights shoppers with savings event, 30% discountsUS government wants to make healthier eggs illegalPepsi issues stern message to employees after mass closures On July 21, the soda giant announced the launch of its Pepsi Prebiotic Cola with: 5 grams of cane sugar; Only 30 calories (a standard Pepsi serving contains about 150 calories);No artificial sweeteners; 3 grams of prebiotic fiber. Pepsi is launching prebiotic cola in two traditional flavors: Original Cola and Cherry Vanilla. Available in 12 oz. single cans for trial and 8-packs of 12 oz. cans, the new sodas will be available online this fall and at stores in early 2026. Pepsi Prebiotic Cola's launch comes a few months after the beverage titan announced the purchase of prebiotic soda brand Poppi for nearly $2 billion. Pepsi's move into a healthier beverages market was a way to win back customers. After all, according to a study by Harvard researchers, the number of young people who consumed at least one daily sugar-sweetened drink dropped to 61% from 80% between 2003 and 2016. Related: Target delights shoppers with savings event, 30% discounts Prebiotics are non-digestible, fermentable food ingredients that modify the composition or activity of gastrointestinal bacteria to benefit the host, according to the National Library of Medicine. Foods like cereals, breads, and snack foods have added prebiotics if you see on the food label some of the following terms: inulin, wheat dextrin, acacia gum, psyllium, polydextrose, GOS (galactooligosaccharides), FOS (fructooligosaccharides), and TOS (transgalactooligosaccharides). While prebiotic sodas can support your gut health, too much of it can cause gas, bloating, or diarrhea. Experts advise people who have gastrointestinal problems such as Crohn's or ulcerative colitis to avoid them. Samantha Nazareth, MD, board-certified gastroenterologist, told Woman's Health that prebiotic soda shouldn't replace plant-based foods like apples, garlic, artichokes, asparagus, and oats, which naturally contain gut-friendly fiber. The outlet consulted with experts to determine what health-conscious consumers should look for in prebiotic soda for the most benefits. They advised the following: Three grams of fiber per serving from ingredients like chicory root, inulin, and acacia fiberNo more than 10 grams of sugar Related: Veteran fund manager unveils eye-popping S&P 500 forecast The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.


Buzz Feed
22-07-2025
- Business
- Buzz Feed
"This Better Not Be A Prank": The Internet Is Collectively Freaking Out About Pepsi's Latest Product Launch
If you've walked into any grocery store in the past year, you're probably well aware that prebiotic sodas have been dominating the industry lately as a "gut-friendly" fiber-packed alternative to traditional soda. According to the consulting firm, Future, the prebiotic soda market was valued at 262 million USD in 2024, with global sales expected to grow 7.6% in the next 10 years. The latest player to hop into the game is none other than Pepsi with its new Prebiotic Colas. But this isn't Pepsi's first dip into the alternative soda trend. In March of this year, they acquired Poppi, a popular prebiotic soda brand. PepsiCo's US Beverages CEO, Ram Krishnan, said that the acquisition "represents a compelling strategic fit within our short- and long-term vision for the future of beverages." It seems like the long-term vision has been realized with their newest launch, which comes in Original Cola and Cherry Vanilla flavors with 3 grams of prebiotic fiber, 5 grams of cane sugar, 30 calories, and no artificial sweeteners. Regarding the launch, Krishnan said, "Pepsi Prebiotic Cola represents the next leap forward in giving consumers choice, optionality, and functional ingredients in their cola experience." The brand hopes to still deliver the same Pepsi taste consumers know and love with a little gut-friendly twist. Pepsi It's safe to say Pepsi fans are pretty psyched. The Prebiotic Colas come in single 12-ounce cans and 8-packs and will be available online this fall and in stores early 2026. Pepsi Hungry for more? Download our free Tasty app to browse and save 7,500+ free recipes — no subscription required.


USA Today
22-07-2025
- Business
- USA Today
Coke and Pepsi both announced new drinks. Here's what's in them.
If you are an avid soda drinker, you will soon have more options to choose from, as two of the biggest names in the industry unveiled plans for new drinks this week. Coca-Cola and PepsiCo both announced new beverages. Coke says it will add a new soda made with real cane sugar this fall, while Pepsi is hopping on the prebiotic soda bandwagon with the launch of Pepsi Prebiotic Cola. Here is what to expect from each of the longtime beverage rivals' new offerings, and when you might be able to buy one for yourself. McDonald's: New cheeseburger option added to McValue Meal Deal Coca-Cola rolling out new drink using cane sugar Coca-Cola said in its second-quarter earnings release on July 22 that it "plans to launch an offering made with U.S. cane sugar to expand its Trademark Coca-Cola product range." The beverage giant made the announcement after President Donald Trump proclaimed on July 16 that Coca-Cola had agreed to use real cane sugar for its soda beverages sold in the U.S. Coca-Cola stopped short of switching all U.S. drinks to cane sugar, instead offering an alternative to its standard U.S. beverages, which are made with high fructose corn syrup. "I have been speaking to Coca-Cola about using REAL Cane Sugar in Coke in the United States, and they have agreed to do so," Trump wrote on Truth Social July 16. "I'd like to thank all of those in authority at Coca-Cola. This will be a very good move by them – You'll see. It's just better!" Coca-Cola currently uses high fructose corn syrup to sweeten its U.S. products while cane sugar is used in other countries, including Mexico, fueling a long-running debate on whether Mexican Coke is better than Coke in the U.S. 'We appreciate the President's enthusiasm for our Coca-Cola brand," James Quincey said during the earnings call. "This edition is designed to complement our strong core portfolio and offer more choice across occasions and preferences.' Trump's announcement, in part, supports Health Secretary Robert F. Kennedy Jr.'s efforts to move U.S. food production and consumption away from ingredients such as artificial dyes. While his Make America Healthy Again agenda has deemed both sweeteners unhealthy, some scientists say sugar has some nutritional benefits over high fructose corn syrup. Pepsi joins prebiotic soda boom Pepsi says its newly announced Prebiotic Cola will be available online starting this fall and in retail stores in early 2026. The drink will be available in Original Cola and Cherry Vanilla flavors, according to a news release, and each 12-ounce can will contain five grams of cane sugar, 30 calories and three grams of prebiotic fiber. Prebiotic soda has boomed in recent years with popular brands such as Poppi, Olipop and Bloom. The soft drinks, served in bright, colorful cans, are promoted as healthy for the gut and better for consumers than traditional sodas. While dietitians agree with the latter, the drinks shouldn't be expected to cure gut health on their own. Pepsi Prebiotic Cola comes just a few months after PepsiCo announced the acquisition of Poppi for $1.95 billion and Coca-Cola announced Simply Pop, its own line of prebiotic soft drinks. Prebiotics are plant fibers that serve as food for the body's microbiome – the body's good bacteria, according to the Cleveland Clinic. Most prebiotic sodas contain between two to nine grams of prebiotic fiber per can, while the recommended daily value for fiber is 25 to 38 grams per day, the Cleveland Clinic states. 'Always looking for opportunities' When asked about Coca-Cola's new cane sugar drink and Pepsi's prebiotic beverage on the July 22 earnings call, Quincey noted how the industry is "always looking for opportunities to innovate," even if those innovations don't always pan out. "I don't think just us, but I think the industry, given its size, its attractiveness and its growth potential, we're always looking for opportunities to innovate and see where there's an intersection of new ideas and where consumer preferences are evolving toward remembering that actually most innovations don't work in the long run," Quincey said on the Coca-Cola earnings call. "But it's a good sign that the industry, including ourselves, are trying lots of different things," Quincey said. Gabe Hauari is a national trending news reporter at USA TODAY. You can follow him on X @GabeHauari or email him at Gdhauari@ Mike Snider is a national trending news reporter for USA TODAY. You can follow him on Threads, Bluesky, X and email him at mikegsnider & @ & @mikesnider & msnider@ Greta Cross is a national trending reporter at USA TODAY. Story idea? Email her at gcross@
Yahoo
22-07-2025
- Business
- Yahoo
Pepsi reveals new drink after buying soda brand Poppi for $2 billion
Pepsi is launching a new drink this fall – with a twist. The soft drinks giant has unveiled the Pepsi Prebiotic Cola, a soda with extra fiber, in a bid to boost their appeal with health-conscious consumers. The new drink comes just months after Pepsi purchased Poppi – a prebiotic soda known for its low sugar content and organic 'gut-friendly' ingredients such as Apple Cider Vinegar. According to the Texas-based company's website, Poppi contains 5g of sugar and has 25 calories or less. Pepsi merged with the celebrity-loved beverage brand Poppi in May (PepsiCo Beverages North America) The new Pepsi, which will launch in cola and cherry vanilla flavors, will contain five grams of cane sugar, three grams of prebiotic fiber, with no artificial sweeteners. A single can will have 30 calories, Pepsi claims. ADVERTISEMENT The launch promises to deliver 'the classic crisp, refreshing taste of Pepsi—with the added functional ingredient of 3 grams of prebiotic fiber.' 'Pepsi Prebiotic Cola represents the next leap forward in giving consumers choice, optionality and functional ingredients in their cola experience, without sacrificing the iconic Pepsi taste we're known for delivering,' CEO of PepsiCo Beverages U.S. Ram Krishnan said. The new flavors will be available to buy online this fall and at retail early next year. Poppi was bought by Pepsi earlier this year (Getty Images for Poppi) Competitors have also switched up to accommodate a shift towards healthier lifestyles. In February, Coca-Cola launched a prebiotic soda brand called Simply Pop, and included flavors like pineapple mango, lime, strawberry, fruit punch, and citrus punch. Simply Pop drinks have no added sugar and contain '25% to 30% real fruit juice', the company said, as well as vitamin C and zinc – two known vitamins that aid the immune system. ADVERTISEMENT Coca-Cola has also announced plans to launch a new Coke product this fall made with U.S. cane sugar – following a request from President Donald Trump. The company has used high-fructose corn syrup to sweeten its drinks in the U.S. since the 1980s. But it still uses cane sugar in markets like Mexico, where the high levels of sweetness are noticeable. Trump announced last week that he spoke to Coca-Cola about using 'REAL' cane sugar in the U.S. product and company executives had agreed. 'I'd like to thank all of those in authority at Coca-Cola,' he added. 'This will be a very good move by them — You'll see. It's just better!'