For the past decade, Coca-Cola and PepsiCo have diverged in the US when it comes to soft drink distribution strategy. Coke owns no soda distribution operations, leaving that in recent years to independent franchised bottlers. On the other hand, PepsiCo owns and operates most of its US bottling distribution system. Now that both companies are seeking a growth path through alcoholic beverages, their strategies in the US have diverged once again.
As you’ll read in today’s issue, PepsiCo is going all-in on the distribution of alcoholic beverages such as Hard Mtn Dew with its Blue Cloud Distribution subsidiary. The company appears...
Interview: 'We’re Created to Honor the Three-Tier System.’
July 25, 2023
Despite PepsiCo’s considerable work to keep its Blue Cloud alcohol distribution operation separate from its non-alcoholic business, the subsidiary has become a magnet for criticism as it forges new ground in the highly regulated and competitive US alcohol beverage market. In a new interview, Blue Cloud Distribution GM Emiliano Di Vincenzo, and Blue Cloud Chief Legal Officer Randy Liebowitz, said the organization has...
Plus, Blue Cloud Now Permitted by TTB in 40 States (Map)
April 6, 2023
PepsiCo’s Blue Cloud alcohol distribution subsidiary will not acquire Corwin Beverage’s beer distribution business in southwest Washington state, Corwin CEO Keith Richards confirmed to BD. PepsiCo’s recent agreement to buy back Corwin’s Washington-based Pepsi franchise (see Territory Changes & Deals) sparked speculation as to whether PepsiCo would acquire Corwin’s beer business to distribute Hard Mtn Dew and perhaps...
Monster Targets Liquid Death, Celsius, Hard Mtn Dew With 2023 Launches
February 1, 2023
The Beast Unleashed Alcohol Offering to Walk Careful Line, CEO Makes Clear
Monster Beverage executives announced they will use a new in-house non-alcoholic beverage incubator called Monarchy to distribute brands that aren’t yet large enough for partner Coca-Cola’s direct store delivery system. Monarchy will be operated out of...
G&J Pepsi-Cola Bottlers, PepsiCo’s largest fully independent US franchise bottler, is preparing to distribute Hard Mtn Dew on the same “blue trucks” that distribute Pepsi-Cola and other non-alcoholic brands. In an interview at BD’s Future Smarts conference in New York on Dec. 5, G&J CEO Tim Trant said the Cincinnati-based company has applied for beer distribution licenses ...
At an annual convention and trade show for beer distributors last week, the National Beer Wholesalers Association warned attendees of what they see as unfair encroachment by PepsiCo’s Blue Cloud Distribution, according to Wall Street analysts who wrote about the meeting. When asked about criticisms leveled at PepsiCo and Blue Cloud, Blue Cloud executives sent BD the following rebuttal, which is reprinted in its entirety...
Last week’s NACS convention for convenience store operators in Las Vegas offered a first look at product innovation from beverage makers looking to get new products into retailer store resets for 2023. The annual event includes a...