Pop Culture: The New Soda Wars

With consumers increasingly seeking out healthier alternatives, a new wave of soda brands have bubbled onto the scene over recent years, taking the challenge up to the likes of Coca-Cola and Pepsi. Poppi, Spindrift, Olipop, and Simply Pop have all quickly made their mark, pitting themselves in direct opposition to category heavyweights.

With a variety of levers to pull on in the emerging better-for-you (BFY) or “functional” beverages segment, each of these brands has set out to craft a distinctive positioning for itself. But which appeals are resonating strongest with consumers? Has it been Olipop and Spindrift’s focus on healthy and natural ingredients? Or does Poppi’s more conventional positioning around taste and refreshment connect most strongly? And what about the bold, juicy new entrant in Simply Pop; does carrying the ‘Simply’ name (and subsequent backing of Coca-Cola) add a layer of credibility to the proposition in this brave new world?

First, let’s take a look at the more ‘healthy' and ‘natural’ positioning that both Olipop and Spindrift lean into heavily. While Olipop tends to focus more on health (specifically, gut/digestive benefits), Spindrift instead places greater emphasis on its use of clean and natural ingredients. Despite these nuances, fundamental to each proposition is their low-sugar, low-calorie content. As a result, being ‘better for you’ was, unsurprisingly, a key driver of each product’s appeal.

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However, both brands fell afoul of the perennial challenge—one that persists in almost every food and beverage category: the delicate juggling act of taste versus health. Leaning too heavily into health consequently triggered perceptions of the flavors being bland, ultimately dampening Olipop and Spindrift’s appeal.

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On the flip side, Poppi tends to hero the “sweet and tangy” nature of its product range, which works to enhance its perceived taste and flavor. And while some weren’t overly enthused by the inclusion of apple cider vinegar in each soda, on balance appeal was far stronger than for the more health-focused alternatives. In prioritizing taste over health, Poppi triggered stronger purchase consideration than those which tipped the scales in favor of health.

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But alas, it’s never that simple. Because this more conventional approach of championing taste ultimately brought Poppi into line with wider category expectations, meaning its positioning felt less distinctive in the already cluttered soda market.

It’s an exceedingly difficult balance to get right, but enter Simply Pop—a shining star which just about ticked every box. The brand’s headline claims were of a real fruit juice combined with vitamins/minerals—providing immunity boosting benefits. With this all wrapped up in an aesthetically pleasing pack that really “popped”, Simply Pop was able to strike the best balance of the bunch. With the proposition clear and highly credible (aided by the universally recognized masterbrand behind it), Simply Pop pulled away from the other challengers in delivering both refreshment, taste, and “better for you” benefits. The result was a proposition that both met people’s wants and needs within the functional beverages category, but importantly did this in a way that offered meaningful difference versus competitors.

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These four up-and-coming brands provide a reminder of an age-old conundrum. Often, the temptation with better-for-you offerings is to dial health benefits all the way up to eleven (after all, that feels like the reason to exist). However, in this pursuit brands mustn’t forget about consumers’ core jobs-to-be-done. In the soda category, that’s still, ultimately, about great taste and refreshment. From there, health benefits become the sugar-free cherry on top, giving consumers the last little nudge they need to pick it up off shelf.

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