GlobalData Plc
  • Press Release

    PepsiCo’s purchase of SodaStream has potential to combat both sugar and plastic challenges

Following today’s (20 August 2018) news that PepsiCo has purchased SodaStream for $3.2bn,

Melanie Felgate, Senior Consumer Insights Analyst at GlobalData, a leading data and analytics company, offers her view on the breaking news:

“As the carbonates industry faces ongoing challenges both in terms of health and the environment, the decision by PepsiCo to purchase Soda Stream is a bold and potentially smart move. Although long established, SodaStream has remained a relatively niche brand, but with the backing of a global soft drinks giant there is an opportunity to propel the concept mainstream.

‘‘SodaStream allows consumers to customize their own beverages to create not only flavors – but potentially sugar levels – to suit their needs, helping PepsiCo better meet consumer’s needs for products which are not only healthier but do not compromise on taste.

‘‘Furthermore as the environmental burden of plastic waste comes to the fore, the concept can also tackle this by reducing reliance on plastic bottles. This is likely to attract the 35% of consumers globally surveyed by GlobalData in Q3 2018 who claim they would buy more of specific types of products if they were “packaged without any plastic at all”.

‘‘Aside from environmental and health advantages, the move will undoubtedly enable consumers to recreate the famous Pepsi brands they are already familiar with and enjoy. This may help entice the 59% of consumers globally that are influenced by how familiar or trust-worthy a product feels when choosing non-alcoholic beverages, according to GlobalData’s Q3 2018 survey, and may help move SodaStream from a niche appliance to a mainstream fixture in homes.”

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