Later this year Keurig Green Mountain will make its foray into the cold beverage market with the launch of Keurig Cold, a single-serve, pod-based carbonation system. Today the company announced that it has reached a multi-year agreement with Dr Pepper Snapple Group that will give Keurig exclusive rights to produce single-serve pods for brands in DPSG’s portfolio.
Lori Tauber Marcus, Chief Product Officer of Keurig Cold Systems, praised the collaboration in a company press release saying “We’re very excited to offer a range of Dr Pepper Snapple’s iconic brands in the system at launch.”
Dr Pepper Snapple’s Executive Vice President of Marketing Jim Treibilcock piggybacked on the sentiment. “Our team is committed to building and enhancing our leading brands, and this agreement presents an opportunity to reach consumers in new occasions,” he said. “We’re looking forward to working with Keurig to bring our brands to this innovative new platform.”
Keurig announced its plans for Keurig Cold in February of 2014, the same month Coca-Cola purchased a 10 percent stake in the company. In May, Coca-Cola raised its stake in Keurig to 16 percent. Coke products will also be available in the single-serve pod form when Keurig Cold launches next Fall.
In November, Keurig CEO Brian Kelly told investors that the system would launch “well in time for the holiday season.” The product innovation and rollout of Keurig Cold is expected to cost between $50 and $100 million.