Costco Brings Back Coca-Cola to Food Courts After 10 Years of Pepsi
By Jake Beardslee ·
January 24, 2025
Costco is set to reintroduce Coca-Cola products to its food courts, marking the end of a decade-long switch to Pepsi. CEO Ron Vachris confirmed the decision during the company’s annual shareholder meeting, stating that the change will occur this summer. Deans Charbal / Wikimedia
The move reverses a 2013 decision to replace Coca-Cola with Pepsi in an effort to maintain the affordability of the company’s iconic $1.50 hot dog and soda combo. Former Vice President of food services Alan Bubitz explained at the time to BevNET, “You’re not going to be able to please everybody. It’s our job to preserve the integrity of the price point.” The low-cost combo has remained a staple of Costco’s food courts, with founder Jim Sinegal famously cautioning against raising its price. GoToVan / Wikimedia
While the switch to Pepsi initially stirred controversy among some members, the return of Coca-Cola has elicited a range of reactions. Many members have celebrated the move, with one Reddit user commenting, “If they put Cherry Coke in the mix, I’m stopping at the food court EVERY. SINGLE. TRIP.” David Tucker / USA TODAY NETWORK via Imagn Images
Coca-Cola’s return also highlights its ongoing dominance in the beverage industry. According to Beverage Digest, Coca-Cola commands a 19.2% share of the U.S. carbonated soft drink market, more than double Pepsi’s 8.31%. This disparity has grown significantly since Pepsi’s peak market share of 15% in 1995. Coca-Cola also remains the top choice for fast-food chains, being offered at twice as many outlets as Pepsi. The Coca-Cola Company / Wikimedia
Costco’s decision to reintroduce Coca-Cola to its food courts marks the end of a decade-long agreement with Pepsi, reflecting a shift in its beverage offering. While some members are enthusiastic about the change, others may see it as simply another chapter in the company’s effort to balance costs and consumer preferences. The move reflects the challenges faced by retailers in navigating supply agreements while meeting customer expectations. Mike Lang / USA TODAY NETWORK via Imagn Images
