Core Insights - PepsiCo aims to establish Poppi as a new billion-dollar brand, as stated by executive Ram Krishnan at a recent event [1] - The company has implemented a franchise transfer initiative to expand Poppi's distribution channels [1] Acquisition Details - PepsiCo completed the acquisition of Poppi in May last year for an initial price of $1.65 billion, with potential total payments reaching $1.95 billion based on performance [1] - Krishnan highlighted that Poppi aligns well with PepsiCo's short, medium, and long-term beverage strategy, emphasizing its rapid growth and strong consumer engagement [1] Market Potential - The prebiotic soda category, to which Poppi belongs, is valued at approximately $440 million and is the fastest-growing segment within low-sugar beverages [1] - Poppi's sales have tripled annually since 2020, reaching $100 million in 2023, with analysts predicting the prebiotic soda market will nearly double by 2030 [1]

Group 1 - Coca-Cola has lost a significant court case, resulting in the company no longer having access to Dr. Pepper in certain markets, which is the second-best-selling soda brand [4][6] - The Texas court ruling allows Keurig Dr Pepper to take full control of its distribution, impacting Coca-Cola's supply chain and access to Dr. Pepper in venues and restaurants [4][5] - Sprite remains the dominant player in the lemon-lime soda market, while PepsiCo's attempts to compete have not been successful, with its brands lagging far behind [1][3] Group 2 - PepsiCo has a history of launching various lemon-lime sodas to compete with Sprite, including Teem and Sierra Mist, but these brands have struggled to gain market traction [7] - In 2023, PepsiCo discontinued Sierra Mist and introduced a new brand, Starry, targeting Gen Z with a modern flavor profile and branding [7]