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Coca-Cola's Topo Chico, a sparkling water brand, has expanded its portfolio by adding non-alcoholic mixers to its product lineup. With this expansion, it reportedly aims to increase sales to become a $1 billion brand.
BNN Breaking reported that introducing the new mixers is part of the beverage diversification drive, raising the profits to reach billions. The new drink also broadened Coca-Cola's beverage categories and options.
Move for Diversification
The Coca-Cola Company acquired Mexico's Topo Chico for $220 million In 2017. The beverage giant purchased the company to diversify its product portfolio beyond sugary drinks.
The arrival of Topp Chico marked a new chapter for Coca-Cola and paved the way for the company to foray into the alcoholic drink market via a partnership with Molson Coors. The merger produced the Topo Chico Hard Seltzer, and the Mexican brand added more drinks, such as its Topo Chico Sabores sparkling water with fruit juice and herbal extracts.
Introduction of New Mixers
Now, it has entered the non-alcoholic drink business and introduced three mixers as starters. Coca-Cola's Topo Chico is launching these new products: Club Soda, The Ginger Beer, and Tonic Water. Food Dive reported that these latest offerings will be Topo Chico's bet to compete with other cocktail mixers already being sold.
Creating new drinks under the Topo Chico brand accentuates Coca-Cola's commitment to expanding its product range and meeting customers' demands worldwide. Likewise, the non-alcoholic mixers show the company's innovative approach to nailing market trends and consumers' preferences.
Finally, Coca-Cola also hopes the new Topo Chico drinks will help the company achieve its target sales. The company is optimistic that the brand will surpass $1 billion in sales at one point.
