SodaStream International Ltd. (SODA) recently announced the launch of three new cranberry-flavored juice drink mixes under a co-branding deal with Lakeville, Massachusetts-based agricultural co-operative, Ocean Spray Cranberries, Inc. The financial terms of the deal were not disclosed.
The Ocean Spray branded Cranberry, Cranberry Raspberry and Cranberry Grape flavored juice mixes can be used exclusively on SodaStream’s home soda-making machines. Priced at $6.99, each juice mix bottle should be able to make 12 liters of fizzy drinks.
Last week, SodaStream partnered with Del Monte, a well-established brand of Fresh Del Monte Produce Inc. (FDP) to produce, market, distribute and sell several Del Monte branded syrup flavors. At a nascent stage, the company will offer fruity flavored options like Tropical, Caribbean and Orange.
Moreover, last month, SodaStream teamed up with a renowned lifestyle magazine brand, Cooking Light, to launch healthy fruit-flavored syrups.
SodaStream’s soda-making systems offer a healthier way of enjoying fizzy drinks at home (by mixing these juice mixes and tap water) than the traditional soft drinks sold by beverage giants like PepsiCo, Inc (PEP) and The Coca-Cola Company (KO).
Partnerships like these allow SodaStream to reach out more extensively to the growing number of consumers who prefer healthier beverages. These partnerships also enhance the visibility of SodaStream’s brand which is already become quite popular.
Based in Israel, this Zacks Rank #3 (Hold) company enjoys solid demand for its products in the U.S. Moreover, its expanding strategic partnerships, enhanced marketing activities, regular product innovations, accretive acquisitions and successful strategic investments bode well for future growth. These attributes have helped SodaStream deliver solid profits over the past few quarters. In fact, the company has enjoyed tremendous sales growth and expanded retail presence in the U.S. in sharp contrast to sluggish soft drinks sales witnessed by the beverage giants.