PepsiCo to Launch New ‘Dirty Soda’ Lineup as Trend Reshapes Beverage Market

PepsiCo to Launch New ‘Dirty Soda’ Lineup as Trend Reshapes Beverage Market

PepsiCo to Launch New ‘Dirty Soda’ Lineup as Trend Reshapes Beverage Market

PepsiCo to Launch New 'Dirty Soda' Lineup as Trend Reshapes Beverage Market
Image from CNBC

PepsiCo is poised to make a significant splash in the beverage market with the upcoming unveiling of two new ready-to-drink ‘dirty soda’-inspired beverages. The Dirty Dew and Mug Floats Vanilla Howler are set to debut in just a few weeks at the National Association of Convenience Stores (NACS) trade show in Chicago, building on the success of Pepsi Wild Cherry & Cream launched earlier this year.

The ‘dirty soda’ phenomenon, which originated in Utah with Swig in 2010, involves combining soda with flavored syrups, cream, or other ingredients. This once niche trend has exploded into mainstream popularity, fueled by social media and reality TV, and is now revitalizing the carbonated soft drink category. Major players across the food and beverage industry are rapidly adopting the concept.

McDonald’s is currently testing flavored sodas like ‘Sprite Lunar Splash’ in over 500 locations, while Yum Brands’ Taco Bell has featured limited-time ‘dirty Mountain Dew Baja Blast’ offerings. TGI Fridays also introduced dirty soda as a limited-time menu item this summer, even offering alcoholic variations.

Swig, the originator of the trend, continues its rapid expansion, now boasting over 140 locations across 16 states and reporting an 8.2% rise in same-store sales this year. Its success has inspired a wave of rival soda shops and attracted investment, with The Larry H. Miller Company acquiring a majority stake in 2022. Industry experts, including Swig CEO Alex Dunn, compare its impact on soda to Starbucks’ influence on coffee.

The appeal of dirty soda is broad: it’s an affordable, customizable treat that offers a fresh take on classic sodas, often with less caffeine than coffee. This innovation is proving crucial for beverage companies, helping to reverse a two-decade decline in U.S. soda consumption, with 2025 estimates showing a slight uptick in gallons consumed. Restaurants also find it an easy addition, leveraging existing soda machines and common ingredients like cream, making it a low-barrier, high-appeal menu item.

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