Costco to officially switch to Coke from Pepsi: Details we know so far

The global retailer Costco declared it would shift from Pepsi to Coca-Cola beverages in its food courts in early 2025. The firm implemented an important transformation after supporting Pepsi products since 2013. As part of continuous evolution, Costco has decided to implement this change to refresh its selection and preserve the much-loved bargain hot dog and soda deal at $1.50.

Ron Vachris, the CEO of Costco, confirmed at the annual shareholder meeting that Coca-Cola products would be returning to the food court. He said,

"This summer, we will be converting our food court fountain business back over to Coca-Cola."

Members can now access familiar Coca-Cola products like Coke, together with Diet Coke, Coke Zero, and Sprite, at Costco's food court, sparking broad customer interest.

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Costco’s decision reflects past trends and supplier negotiations

Costco decided to replace Coca-Cola with Pepsi products throughout their stores because of price issues in 2013. During that year, Costco made the switch in order to keep their food court items—particularly the hot dog and soda bundle—at low prices.

Beverage supplier negotiations became the primary driver behind this switch because both management teams focused on maintaining affordable prices that satisfied members.

Costco strategically moved to bring Coca-Cola back after external evaluations suggested consumers preferred this brand because it delivers high value and a preferred taste experience.

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Costco members have mixed reactions about the upcoming change

The recent announcement led to different reactions among Costco members. The relaunch of preferred Coca-Cola brought enthusiasm from consumers who love the brand.

Pepsi supporters deliver negative feedback about this change because they sincerely like what's currently in stores. Due to consumers' strong brand loyalty to large soft drink companies, there is a lot of discussion about recent product changes on social media.

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Food court pricing remains unchanged despite the switch

As part of its pricing strategy, Costco kept the hot dog and soda prices at $1.50 during their upcoming transition. Throughout this transition, Costco ensures that members can buy their hot dog and soda combo for $1.50 without price changes.

Costco's partnership with Coca-Cola supports the company's efforts to attract widespread food court visitors since Coca-Cola has accomplished nationwide market dominance in soft drinks.

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Costco selected Coca-Cola beverage products as part of its strategic dedication to serving consumers through its price-value assessment of market trends. This change sparked debates among members, but it reaffirmed the retailer's commitment to creating an appealing food court environment overall.

During the upcoming early 2025 transition, Coca-Cola beverages will be available in food court locations while ensuring affordability for members.