Pepsi Introduces Canned Mixer Line Neon Zebra

It may not be ready to pour the drinks, but PepsiCo is at least stepping behind the bar. The company is taking another step in its evolution as an omni-channel food and beverage giant with the launch of Neon Zebra, it’s first ever cocktail mixer.

The non-alcoholic line features four SKUs, with each 7.5 oz. can designed to make two servings of a specific drink — Margarita, Strawberry Daiquiri, Mojito or Whiskey Sour — when mixed with spirits. The line will begin a nationwide retail and online rollout in March, when it will be available in 6-packs for a suggested retail price of $6.99-$7.99.

“With at-home cocktail consumption on the rise, we saw an opportunity to build and disrupt this fast-growing category with a product that meets consumers’ needs for convenience – to cut out time and mess without compromising on quality and taste,” said Emily Silver, VP of Innovation & Capabilities, PepsiCo Beverages North America, in a press release. “Neon Zebra adds a new level of personality in the cocktail mixer category with its bold flavors and colors and easy-to-use, recyclable mini-can format. We’re thrilled with this new venture and all of the opportunities to come in the mixology category.”

Pepsi’s move into the mixer category represents the latest effort in an ongoing push to move the company into new beverage categories, but also may reveal some of its strategic thinking. During the company’s Q4 and full-year 2020 earnings announcement earlier this month, PepsiCo CEO Ramon Laguarta highlighted at-home consumption as a key component of PepsiCo’s “Faster, Stronger, and Better” mission, which seeks to improve and streamline the conglomerate’s business across all channels. Along with deepening brand integration with Sodastream (via Bubly flavor drops), Neon Zebra gives the company a potentially bigger presence in consumers’ homes.

In single-serve mixers, a category which reported 28% growth in 2020 according to data cited by the company, Pepsi has identified a rising segment in which it can leverage its distribution muscle to disrupt a market that contains both strong independent brands (Fever Tree, Q Mixers) along with giants like Coke-owned Schweppes. In 2019, Coca-Cola introduced its Signature Mixers line in four flavors — Herbal, Spicy, Woody and Smoky — exclusively in the U.K.

The launch may also suggest Pepsi is eyeing the alcohol segment with greater interest. One of the points of contention in its ongoing litigation with Bang Energy centers around the rights to distribute MIXX, a forthcoming hard seltzer line, which Pepsi claims is covered under the contract. According to a complaint filed in the United States District Court Southern District of Florida, the company is accusing PepsiCo of attempting to disrupt the launch of MIXX by telling prospective distributors that it owns exclusive distribution rights for that yet-to-be-launched product.

Neon Zebra’s reveal comes during a period of heightened innovation at PepsiCo. Earlier this month, the company announced both a new kids water drink (Frutly) and an expansion of its sparkling water line (Bubly Bounce with caffeine).