PepsiCo Makes Retail Investment in Craft Soda

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PepsiCo Makes Retail Investment in Craft Soda


PURCHASE, N.Y. — PepsiCo’s Stubborn craft soda line has gone national.

According to Fortune, Stubborn Soda — a line of craft sodas made with natural flavors and no high fructose corn syrup — is available now nationwide at major retailers.

The move to bring the craft soda line national is part of PepsiCo’s investment to reach millennials and show them soda can be both flavorful and healthy.

Stubborn Soda meets key trends that PepsiCo is aiming to address, the news outlet reported. For conscious millennials monitoring their calorie intake and looking closely at nutritional facts, Stubborn craft sodas are made with fair trade-certified cane sugar, do not use high-fructose corn syrup and contain 33-percent fewer calories than a typical bottle of Pepsi soda. 

“Consumers are changing,” said Scott Finlow, vice president of innovation and insights for global foodservice at PepsiCo. “They want quality products with different, more natural ingredients. ... This brand is developed at a calorie level that creates more choices for our consumers. That’s part of our commitment to deliver calorie reduction across the portfolio." 

PepsiCo introduced Stubborn Sodas last year amid a slowdown in soda consumption as more consumers turned to healthier options that contain less sugar and more natural ingredients. The nationwide emergence of the brand comes at a time when a similar movement is exploding in popularity in the beer segment and increasingly resonating in the coffee category, Fortune reported.  

The news outlet added the launch of Stubborn could help improve soda’s image with consumers, as sales for the category have declined for 11 consecutive years as bottled water, juices and other drinks that are deemed “healthier” notch stronger sales.

“Craft is not a fad. It is here to stay,” Finlow concluded. “We think craft is a critical growth space and we hope this is something we will be talking about for years to come.”

PepsiCo said it aims to diversify more in “premium” foods and beverages, as consumers are willing to spend more on products they deem healthier or better tasting. The company reported that new products comprised about $5 billion, or nine percent, of total sales in July.