- Keurig Green Mountain, maker of at-home beverage machines and pods, has signed a deal with Dr Pepper Snapple to sell pods of the company's soft drinks and non-carbonated beverages.
- While exact brands weren't disclosed, the pods could contain any number of Dr Pepper Snapple products, from the company's two name brands to 7Up, Sunkist, and other brands it now owns following its acquisition of Davis Beverage Group and Davis Bottling Co. in November 2014.
- The products in the deal will become part of the beverage lineup (at least 30 varieties) included in Keurig's upcoming launch of the Keurig Cold machine in fall 2015.
Keurig Green Mountain's deal with Dr Pepper Snapple follows its 2013 partnership with Coca-Cola, wherein Coca-Cola bought a 10% stake in the company and Keurig agreed to include Coca-Cola products in the upcoming Keurig Cold at-home beverage machine. These deals are a new way for Dr Pepper Snapple and Coca-Cola to enter consumers' homes as soft drink sales fall and Dr Pepper reports flat volume and a drop in net income.
Despite not disclosing financial terms of the Dr Pepper Snapple deal, Keurig shares rose about 3% to $131.22 in premarket trading.