My Thoughts on Technology and Jamaica: SodaStream At-Home SodaStream Fountain Jet triumphs against Coca-Cola and Pepsi

Sunday, January 6, 2013

SodaStream At-Home SodaStream Fountain Jet triumphs against Coca-Cola and Pepsi


“I think it is criminal that the industry, led by two big companies, will do anything to protect their antiquated business model. They are generating 35 million bottles and cans every single day in the U.K. alone. World-wide it is one billion bottles and cans, most of which just go to trash, landfill, the oceans or parks. It's insane”

SodaStreamCEO Daniel Birnbaum in an interview with Wall Street Journal’s Simon Zekaria in November 2012

For those of you who hate Coca-Cola and Pepsi here comes Airport City, Israel-based SodaStream to the rescue!  

SodaStream, which at US$$730 million has roughly 1% of the Market Capitalization of the US$170 billion dollar Soda Giant Coca-Cola,is decidedly a main contributor to Coca-Cola and Pepsi continued 13% worth of lost sales for the past seven (7) years as noted in “Tiny SodaStream stealing Pepsi, Coke mojo”, published 12:15 PM, December 5, 2012 By JOSH KOSMAN, NY Post.



The makers of the At-Home Carbonizer, the SodaStream Fountain Jet and Seltzer Machines that bears its name is growing rapidly, making them a great stock to bet on in 2013 as stated in the article “SodaStream: This 'Coca-Cola Killer' Is A Great Holiday Growth Stock” published December 13, 2012 By Andy Obermueller, Seeking Alpha.

SodaStream is making enemies in High Places and in the process helping to save the planet from Plastic Bottles and Aluminum cans. Their stock has risen 38% for the entire year 2011, outpacing even Coca-Cola’s11.9% gain and Pepsi’s 8.7% increase on the S&P (Standards and Poors) Index. As Coca-Cola and Pepsi seven (7) year sales decline continues unabated, the at-Home Soda Market’s gonna start to look real appealing come the Fourth Quarter of 2013.

In case you’re confused, SodaStream is the company whose the SodaStream Fountain Jet allows homeowners to forego buying Soda (what we Jamaicans call Soft Drinks)by carbonizing their own drinks to make Sodas as described in this excellent article “Make your own Soda in Seconds”, published June 10, 2009 9:46 AM PDT by Thursday Bram, CNET News.Even more interesting, this development involving Coca-Cola and Pepsi is connected to Jamaica, as I’ll explain further in the article.
As an indication that they’ve hit the Big times, Sodastream’s CEO Daniel Birnbaum’s got Superbowl ads planned for 2013 as stated in “Home Soda Maker to Join Coca-Cola and Pepsi as Super Bowl Advertiser”, published December 4, 2012, 8:00 am By STUART ELLIOTT, Media Decoder, NY Times, going up against titans Coca-Cola and Pepsi in Direct Marketing Half-Time Ad Wars.

Thus any speculation that Coca-Cola and Pepsi might eventually formulate a product to attack the At-home Soda market after seven (7) straight years of losses is not without basis or farfetched.

If this trend continues, Coca-Cola and Pepsi are basically staring Death in the Face in Developed World countries such as Britain and the US of A. Worse if SodaStream catches on in Developing World markets such as Jamaica as noted in “Why The SodaStream Is Giving Coke And Pepsi Execs 'Walking Dead'-Style Nightmares”, published December 6, 2012 9:01 am, By George Embiricos, Food Republic.

At Home Soda Market booming – Soda Stream exposes the illogic of Plastic Soda

Already Dr. Pepper, makers of 7Up, Canada Dry and Dr.Pepper,are going after the At-Home Soda Market, with plans in 2013 to offer K-Cups for Snapple teas to fit Keurig brewers. Coca-Cola and Pepsi would be foolish not to.

Unlike Coca-Cola and Pepsi, Dr. Pepper is well aware of this growing market and the Classic Transportation problem of Soda, which involves the use of fossil fuels that make their business more inefficient in the long term as noted in the article “SodaStream CEO: Coke And Pepsi's Business Model Is 'Insane'”, published Nov. 14, 2012, 6:45 AM  by Gus Lubin, Business Insider.

SodaStream CEO Daniel Birnbaum comments in an interview with Wall Street Journal’s Simon Zekaria in November 2012 summarize this best, quote:  “If the beverage industry had to create itself now from scratch, it wouldn't do it the way it is. You don't need factories, trucks, bottles and cans. Transportation for carbonated drinks in the world utilizes 100 million barrels of oil every year. That is 20 times the BP disaster that hit the Gulf of Mexico”.

SodaStream’s Green message has earned them the ire of British Advertising watchdog Clearcast, who recently yanked their British ad claiming it was an obvious jibe at Coca-Cola and Pepsi as noted in “Sodastream Ad Yanked in Britain for Angering Coca-Cola and Pepsi”, published Nov. 28, 2012 By Melissa Locker, Newsfeed.

Their ads have been seen all around the world and has gained a viral notoriety boost. This thanks to general dissent as it relates to British dislike for authority figures apparently acting in favour of Big Soda makers Coca-Cola and Pepsi. I’ve personal seen this ad while on Lunch and Break on cable TV at ACCENT Marketing and it’s very blatantly targeting Coca-Cola and Pepsi, albeit it’s difficult to even see their logos unless you slow the video down or watch it on Youtube.


SodaStream has also been doing a very basic media campaign involving travelling to major city centers with their SodaStream Cage. These thirty (30) travelling SodaStream Cages demonstrate quite vividly and convincingly the amount of bottles and cans, approximately 10,657 one family over a five (5) year period can save from using one (1) SodaStream Fountain Jet. I’m amazed they’ve yet to reach Jamaica, as we’re literally drowning in Soda Bottles!



SodaStream recently brought themselves some well-deserved media attention when in June 2012 SodaStream’s South Africa Distributor Cage, located at O.R. Tambo Airport in Johannesburg, South Africa.

They received a cease-and-desist letter from Coca-Cola in South Africa for alleged misrepresentation of Coca-Cola’s brand as stated in the article “New Cola War? Sodastream Refuses To Comply With Coca-Cola Cease-And-Desist Letter”, published 6/18/2012 @ 11:22AM, by Caleb Melby, Forbes


Effectively Coca-Cola fell right into SodaStream well laid PR (Public Relations) Trap, pun not deliberately intent on my part but cleverly said nonetheless.

Coca-Cola, by claiming that their logos on their garbage is their property, are in effect claiming and admitting to their ill effects on the environment, as these are the same plastic bottles that take 200 years to biodegrade and are actually polluting the waterways, responsible for the death of marine animals, facts that are well documented.

SodaStream is the future of Soda - Plastic Bottle distribution is Plastic Pollution

Facts very real to us Jamaicans, as it affects not only sea life but also clogs out gullies and results in Flooding whenever it rains as noted in my blog article entitled “Panther Corporation of Canada sets up solar Powered Recycling Center - Investing in The Apparition of Jamaica's Waste Management Problem


SodaStream CEO Daniel Birnbaum comments thereafter was basically a cry of victimization that resulted in the whole world coming on SodaStream’s side as noted in the article “How Tiny SodaStream Baited Coca-Cola - And Won”, published  6/27/2012 @ 2:38PM by  David Vinjamuri, Contributor, Forbes, quote:“We think it is absolutely ridiculous. If they claim to have rights to their garbage, then they should truly own their garbage, and clean it up. Instead of getting a thank you for cleaning up, we’re getting a lawyer’s letter.”

This attack by Coca-Cola on a small company that’s barely a blip on the Soda Scene resonates with many around the world who are now realizing the inefficiencies of the Soft Drink or Soda Industry that’s bullying a smaller competitor. While it’s been a roller-coaster ride PR nightmare for Coca-Cola, it’s been a boost to SodaStream.

SodaStream has now since Wednesday June 20th 2012 ceremoniously placed a SodaStream Cage in Centennial Olympic Park located in Atlanta, Georgia in the US of A, only a stone throw away from Coca-Cola headquarters in that city as stated in the article “SodaStream Takes Marketing Tactic to Coca-Cola’s Hometown”, published Jun 20, 2012 4:12 PM ET By Duane D. Stanford, Bloomberg.


I personally dislike Soft Drink Distributors in general due to the fact that Jamaica is sinking slowly in an ever-growing mound of Recyclable Plastics.

Thankfully we’ve got FDI (Foreign Direct Investors) coming to Jamaica interested in making money from our deluge of plastics as noted in my blog article entitled “Panther Corporation of Canada sets up solar Powered Recycling Center - Investing in The Apparition of Jamaica's Waste Management Problem”.

Many of them are American and Canadian Investors intent on making money from our plastic problem as noted in my Geezam Blog article entitled “How American and Canadian investors Plan to make money from the US$10 million Trade in Plastics and other Recyclables in Jamaica”.

Coca-Cola and Pepsi better be on their guard, as if SodaStream goes international in a big way and gets their Co2 Canister distribution and refilling process right, it’ll threaten their Developing Markets such as Jamaica as well. This probably partially explains why Coca-Cola is shoring up its distribution deals in Jamaica via local distributor Wisynco in July 2012 as noted in “Wisynco launches Coke product to rival Bubbla”, Published Wednesday July 11, 2012 by Avia Collinder, Business Writer, The Jamaica Gleaner.

Reality has now set in as it relates to their continued losses as people become more health conscious and drink less bottled soda, most likely switching to SodaStream. To this end, Coca-Cola’s boosted its partnership with Wisynco, making their Distributor of choice for the Southern Caribbean in a bid to shore up consumer support in the Caribbean as state in the article “Coca Cola, Wisynco deepen partnership”, Published Sunday November 28, 2010, The Jamaica Gleaner.



Even fast-food chain Juici-Beef has joined the Coca-Cola bandwagon, dropping Pepsi like yesterday’s news as stated in “Coke is it!”, published Sunday September 23, 2012 by Sabrina Gordon, Business Reporter, The Jamaica Gleaner.

Both Soda giants, it seems, are desperate to secure their Developing World markets as SodaStream is slowly making a mockery of their business models. Folks, stay tuned to my blog as Fizzy shakeup’s coming in the Soda Market as it’s obvious that John Dies in the End (2012) – and John here represent Big Soda.




2 comments:

Unknown said...

Can IGL refill those canister?

Lindsworth Deer said...

Yes IGL can refill these canisters. They use a proprietary nozzle but with a little help from a local nozzle specialist, you can bypass it, as it's not electronics just mechanical. In fact you can replace the canisters with you OWN customer design.