Coca-Cola is launching a prebiotic soda model referred to as Merely Pop, taking over upstarts Olipop and Poppi.
Beginning in late February, customers on the West Coast and within the Southeast will have the ability to strive Coke’s iteration of the stylish drink.
Soda consumption has broadly fallen within the U.S. over the past 20 years, harm by well being considerations and a rise in alternate options in the marketplace, from chilly brew to vitality drinks to water. However within the final 5 years, sodas containing prebiotics have taken off, due to business newcomers Olipop and Poppi.
Olipop just lately raised $50 million at a valuation of $1.85 billion, the corporate introduced Wednesday. And Poppi made its second straight Tremendous Bowl look on this yr’s sport, shelling out as much as $8 million to succeed in the sport’s document viewers.
Digestive well being tender drinks have grown from a $197 million class within the U.S. in 2020 to one among roughly $440 million in 2024, in keeping with Euromonitor Worldwide knowledge. Nonetheless, it is a fraction of the general soda market, which is value billions of {dollars}.
Merely Pop’s first product lineup leans fruity, in a nod to Coke’s Merely juice model. Flavors embrace pineapple mango, lime, strawberry, fruit punch and citrus punch.
“We went out and actually listened to customers. They love this house, they’re actually in search of stuff that tastes good, and that is one thing we all know the right way to ship on at Merely and at Coke,” mentioned Becca Kerr, CEO of Coke’s North American diet unit, which incorporates its Merely and Fairlife manufacturers.
Merely Pop drinks haven’t any added sugar and comprise 25% to 30% actual fruit juice, the corporate mentioned. Additionally they comprise vitamin C and zinc, which may enhance the immune system.
Additionally they have six grams of prebiotic fiber — triple Poppi’s fiber content material however lower than Olipop’s 9 grams.
Prebiotics have taken off due to claims that they will enhance “intestine well being” by serving to useful micro organism develop within the intestine. Their well being advantages have not been conclusively confirmed.
“We do see that there tends to be an urge for food for these sort of merchandise with youthful customers, like millennial and Gen Z,” Kerr mentioned. “We see an curiosity in these kinds of merchandise from multicultural customers.”
However well being claims can immediate pushback. Poppi is in settlement talks over a lawsuit filed in late Could that challenges the corporate’s advertising, arguing that Poppi’s merchandise usually are not as wholesome for the intestine as marketed.
Coke has had the prebiotic soda class on its radar for a number of years, in keeping with Kerr. Olipop CEO and co-founder Ben Goodwin advised CNBC in 2023 that each Coke and PepsiCo had already approached the corporate a few potential sale. Pepsi is reported to be planning its personal prebiotic soda launch in 2025.
Whereas it is a newcomer to the phase, Coke has some apparent benefits: greater than 100 years dominating the soda class, advertising and distribution muscle, and $47 billion in income in 2024 — in contrast with the greater than $400 million in gross sales that Olipop netted in 2024.
Nonetheless, Coke has failed earlier than when attempting to chase a drink development. It pulled its Coke Spiced taste off the cabinets in 2024 simply months after declaring it a everlasting addition. And in 2023, it slashed distribution of its Aha glowing water model after the product did not take off with customers.
