Coca-Cola Enters Prebiotic Soda Market to Compete with Poppi and Olipop

Coca-Cola is making a move into the booming prebiotic soda market with the launch of Simply Pop, a new beverage aimed at health-conscious consumers. The soft drink giant’s latest offering, set to roll out this month, is infused with fruit juice, vitamins, and prebiotics designed to support gut health.

The launch comes as smaller brands like Poppi and Olipop continue to gain traction among consumers seeking healthier alternatives to traditional sodas. Becca Kerr, CEO of Coca-Cola’s nutrition division, acknowledged the rising interest in functional beverages, stating that the company saw an opportunity for growth in the category.

“We’ve been closely watching the emergence of the prebiotic soda space,” Kerr said. “It aligns with evolving consumer preferences and offers significant potential.”

Simply Pop expands Coca-Cola’s well-known Simply brand, which started with orange juice and has since grown to include fruit juices, mocktail mixers, and canned cocktails. By leveraging the familiar Simply name, Coca-Cola aims to establish a foothold in the fast-growing segment and compete with prebiotic soda startups that have quickly built a loyal customer base.

Industry analysts see the move as a strategic one. Duane Stanford, editor of Beverage Digest, noted that Coca-Cola’s entrance validates the category’s staying power. “After watching from the sidelines, Coke has determined that the gut soda segment has legs,” Stanford said. “The Simply brand is a smart way to enter a premium soda space that resonates with young consumers and has strong social media appeal.”

Although traditional sodas still dominate in sales, the functional beverage sector is expanding at a faster rate, with projections estimating it will reach $2 billion in revenue by 2029. Among the category’s biggest success stories is Olipop, which recently hit a $1.85 billion valuation and reported over $400 million in sales in 2023 – double its revenue from the previous year.

Simply Pop will launch in five flavours: lime, pineapple mango, fruit punch, citrus punch, and strawberry. The drinks will be available for purchase by the case on Amazon and sold individually in 12-ounce cans at grocery stores nationwide for $2.49 each.

Despite Coca-Cola’s vast distribution network and marketing power, Olipop CEO Ben Goodwin remains unfazed by the competition. “It’s an honour that the world’s largest soda brand is now entering a category that we pioneered,” Goodwin said.