What's Happening?
PepsiCo is set to introduce two new dirty soda-inspired beverages, Dirty Dew and Mug Floats Vanilla Howler, at the National Association of Convenience Stores trade show in Chicago. This move is part of a broader trend where dirty sodas, which combine soda with flavored syrups and cream, are gaining popularity. The trend, which originated with the Utah-based drink chain Swig, has been spreading rapidly, aided by social media and reality TV. PepsiCo's new offerings follow the release of Pepsi Wild Cherry & Cream earlier this year. The resurgence of dirty sodas is contributing to a slight increase in carbonated soft drink consumption in the U.S., reversing a decades-long decline.
Why It's Important?
The introduction of dirty sodas by major companies like PepsiCo signifies a shift in the beverage industry, where traditional soda consumption has been declining due to health concerns. By innovating with new flavors and formats, companies are revitalizing interest in carbonated drinks. This trend not only benefits beverage companies by boosting sales but also offers consumers a nostalgic and novel experience reminiscent of old-fashioned soda shops. The rise of dirty sodas could lead to increased competition among beverage brands and fast-food chains, as they seek to capitalize on this growing market segment.
What's Next?
PepsiCo's new products are expected to hit the market soon, potentially influencing other beverage companies to expand their offerings in the dirty soda category. Fast-food chains like McDonald's and Taco Bell are already experimenting with similar products, indicating a broader industry trend. As consumer interest grows, more restaurants and cafes may introduce dirty sodas to their menus, further driving the trend. The success of these products could lead to more innovation in the beverage industry, as companies seek to differentiate themselves in a competitive market.