The company has made agreements with The Red River Beverage Group and The Made-Rite Company to acquire the manufacturing, sales and distribution rights to key KDP owned and licensed brands in 37 counties in Texas and Louisiana.
Under the deal, Canada Dry, A&W, 7UP, Sunkist, Snapple, CORE and Bai brands will be moved into KDP's company-owned DSD operations starting in February. The Dr Pepper brand will also move into the KDP DSD network in seven counties.
The No. 52 consumer goods company currently has DSD operations in adjacent counties and will expand service into the acquired territory. The company said it’s discussing open positions with Red River Beverage Group and Made-Rite employees.
Terms of the deal, expected to reach 1.5 million consumers, weren’t disclosed.
“KDP is focused on ensuring that each area in which we sell our brands has a competitive route-to-market,” said Derek Hopkins, KDP president, cold beverages, in a statement. “Our teams are well-prepared to deliver excellent service to our retail customers and ensure the availability of these great brands wherever consumers shop. We are thankful to The Red River Beverage Group and The Made-Rite Company for their dedication to growing these brands, and we wish them continued success as their business models evolve."
Unilever is partnering on a pilot program that will allow consumers to have ice cream delivered via a fleet of Robomarts — branded vans stocked with products from companies such as Ben & Jerry’s, Breyers, Good Humor, Magnum ice cream, and Talenti.
The PepsiCo chairman and CEO sees an opportunity to create a unique distribution system in the U.S., with an integrated system that can make coordinated decisions across multiple states from one decision point.