Analysts at Alliance Bernstein published a May 15 report predicting hotel trends in the post-COVID-19 era. Emerging technological trends are likely to accelerate and become fixtures of the hotel experience, the analysts predict. In the short-term, social distancing and safety measures will pervade...
PepsiCo has pushed deeper into ecommerce with two new direct-to-consumer websites selling core brands from Doritos to Gatorade. The websites are the product of a dedicated PepsiCo operating team of tech experts in Manhattan that are chasing consumer demand for online convenience. Industry watchers and PepsiCo bottlers are privately asking whether PepsiCo’s retail partners such as Walmart will view the direct-to-consumer initiative as a competitive threat. In addition, it appears PepsiCo won’t owe invasion fees to the company’s independent bottlers for products sold direct to consumers, which could create tension...
COVID-19 UPDATES. States have been expanding access to online grocery delivery and pickup service for SNAP recipients in response to safety concerns during the...
Joins Entrepreneurial Rush to Capitalize on Solutions
February 21, 2020
Here’s what the entrepreneur Tal Shub imagines: A patron walks into a café holding a stylish, re-usable cup that includes a built-in lid and retractable straw. The consumer inserts their cup upside down into a port that resembles a shallow automobile cup holder. In seconds, the port.......this company offers a window into a beverage frontier where entrepreneurs are leveraging consumer concern over plastic waste and looking beyond the bottle to create new commercial opportunities...
Costa Coffee Accelerating Express Machine Expansion. Plus, 4Q Coke Revenue Jumps +7.0%. Shares Hit Record High.
February 7, 2020
During a Jan. 30 conference call with Wall Street analysts to discuss Coca-Cola’s fourth-quarter earnings report, CEO James Quincey was asked about potential impacts from the Coronavirus outbreak in China. And in an interview, he discusses plans for Costa Coffee in the US...
Wide-Ranging Interview Covers Distribution Complexity, "Significant' Planned Production Investment, E-Commerce and More
February 7, 2020
Late last year, Coca-Cola Bottling United opened a new $86 million sales and distribution center in the metro Atlanta town of Union City, just south of Coca-Cola headquarters. The 456,000-sq-ft facility serves 10,000 retail customers in metro Atlanta, covering 2.8 million consumers. As many as 750 employees will manage the warehousing, picking and delivery of 36 million beverage cases per year. Manual order picking has been converted to an automated process built by System Logistics. Marketed as “Vertique,” the system is “an organized, more ergonomic and efficient sequential operation, with less stress on associates and not as labor intensive,” according to Coke United (click HERE for a video of the system). The Union City facility is among a series of investments by Coke United to modernize its distribution system since acquiring new territory, including Coke’s flagship metro Atlanta market in 2017. Last month, Coke United broke ground for construction of a $60 million, 300,000-sq-ft warehouse and sales center in the South Georgia town of Tifton, about an hour’s drive from the Georgia-Florida line. The facility will consolidate inventory from eight older and smaller facilities into a single automated order picking location when it opens by the end of 2021. Birmingham, Alabama-based Coke United, with franchise roots dating back to 1902, covers territory in Alabama, Florida, Georgia, Louisiana, Mississippi, and Tennessee. The company is Coca-Cola’s fourth largest US franchise bottler (after Coke Consolidated, Reyes Holdings and Arca’s Coke Southwest Beverages). United distributes 11% of Coca-Cola system bottle/can carbonated soft drink volume in US. Last week, Coke United CEO John Sherman and East Region VP Mike Succo joined officials at the new Union City center for a grand opening attended by Coca-Cola North America President Jim Dinkins. BD sat down for an interview with Sherman.
The following has been edited for clarity and space:
Plus, Coke Now 100% Owner as Brand Turns Corner on Animal Abuse Controversy
January 21, 2020
Coca-Cola-owned dairy company Fairlife is considering a new ice cream or frozen yogurt, according to recent US trademark applications. The products, as contemplated by the filings, would carry the same Fairlife name and cow face icon used on the brand’s products including filtered milks and protein shakes such as Core Power. The innovation would mark the company’s first departure from beverages since it was founded in 2012...
Pepsi Café. PepsiCo has announced a new coffee-infused cola to launch in April. Pepsi Café will be sold in 12-oz slim cans in original and vanilla for a limited time. The drink comes with almost twice the caffeine of a regular Pepsi, according to the company. The product appears to...
Pepsi Syrup for SodaStream. PepsiCo-owned SodaStream is now selling Pepsi-Cola and Mtn Dew
flavor syrups in Sweden and Norway for its at-home beverage maker. Other brands available are...
Two Years After Refranchising, Bottler Hits Stride in US
September 17, 2019
The past year has been good for Coca-Cola Southwest Beverages (CCSWB). The Dallas-based bottler, controlled by Mexico’s Arca Continental, took home the 2019 Candler Cup as Coca-Cola’s best bottler of the year globally. Before that, CCSWB was named Coke North America’s 2018 Market Street Challenge winner as the most improved bottler. And Southwest’s McAllen, Texas production plant earned a President’s Quality Award as CCNA’s No. 1 facility. The accolades rolled in just two years after Arca entered the US market as part of Coke’s massive refranchising of company-owned bottling assets in the US and Canada. In its first year, CCSWB faced Hurricane Harvey, which caused extensive flooding and damage in Houston, a key market. The bottler also faced soaring commodity costs. BD visited Houston recently for a curated market tour that served as a victory lap of sorts. The day was hosted by Coke Southwest executives including COO Jean Claude Tissot, a 21-year veteran of the Coca- Cola system in Latin America. The following recap includes images from the tour and commentary...