WSJ: PepsiCo, Sodastream Expand Partnership

Nearly a year after PepsiCo unveiled a limited test of two of its soda brands for use in SodaStream’s at-home carbonation machines, the two companies have expanded the partnership, according to The Wall Street Journal. Formulated as concentrated liquids and filled into Sodastream-specific plastic “caps,” PepsiCo’s flagship cola and its lemon-lime flavored Sierra Mist soda will now be sold in approximately 50 Bed Bath & Beyond stores across the U.S. as well as on Sodastream’s website.

pepsi-homemade-sodastream

Expanded distribution of the products, which are presented as “Pepsi Homemade” and “Sierra Mist Homemade” and sweetened with a combination of sugar and stevia, follows an initial 10-week test in which the pods were sold in limited number of stores in Florida. In response to a Journal inquiry into the expanded partnership, PepsiCo said only that it is looking at “multiple technologies in this area and SodaStream is one of several companies we’re talking to about potential ideas.’’

The pods, each designed to create a half-liter of soda, come in 4-packs that retail for $3.49. Both Pepsi Homemade and Sierra Mist Homemade are available in three varieties.

The news arrives prior to the highly anticipated launch of Keurig’s new “Kold” machine, a counter-top appliance that, like SodaSteam will enable consumers to create cold beverages, including carbonated varieties, at home. While the technology used for the two systems differs — Keurig’s machine will not require separate carbon dioxide cylinders — Keurig has partnered with both the Coca-Cola Co. (which holds a 16 percent stake in the company) and Dr Pepper Snapple Group, with many of the brands marketed by each and available for use in the new machine. Keurig Kold is expected to launch this fall.