PepsiCo buys Poppi, the prebiotic soda brand for $1.9 billion. The company announced the deal as part of its strategy to ‘evolve its portfolio’ and expand its healthier beverage offerings.
“As we look to reorient our portfolio offerings to address white space consumer needs, the poppi brand’s unique intersection with wellness and culture is a perfect addition to our portfolio,” said Ram Krishnan, CEO, of PepsiCo Beverages.
What is Poppi?
Poppi is a prebiotic soda made with fruit juices, apple cider vinegar and cane sugar, offering a healthier alternative to regular sodas. Available in 14 flavors, each can contains just 5 grams of sugar.
The Making of Poppi
Founded by Texas-based husband and wife Allison and Stephen Ellsworth, the company got its start on Shark Tank in 2018 with a soda then called ‘Mother.’
Allison wanted to create a healthier alternative after realizing that while she enjoyed the taste of traditional sodas, she didn’t like the way they made her feel. She began experimenting in her home kitchen, blending apple cider vinegar with different fruits and soda water.
She began selling the drink at local farmers’ markets around Dallas, Texas. After a Whole Foods buyer tried the drink, things began looking up for the brand. In 2018, Allison and Stephen appeared on Shark Tank.
During their Shark Tank appearance, businessman and investor Rohan Oza made a deal, investing $400,000 for 25% of the company. This investment helped fund Poppi’s rebrand, transforming the prebiotic soda ‘Mother’ into the drink we know as Poppi today.
Poppi’s Legal Battle
Poppi’s journey to success hasn’t been entirely smooth. In June 2024, the brand was sued over claims that the drink does not contain enough fiber to benefit gut health. It was argued that consumers would need to drink four cans a day to see any gut health benefits.
“Many new drinks have the words ‘prebiotic’ and ‘probiotic’ listed and are typically in a fun, colorful container that gives us hope of a healthy drink, ” said Denice Taylor, a registered dietitian nutritionist at Texas Health Arlington. “However, the Food and Drug Administration has not approved any health claims for these beverages.”
A settlement was recently reached in March 2025, with Poppi agreeing to an $8.9 million settlement. As part of the settlement, they must change their advertising related to the health benefits of their drinks.
Rebranding that Transformed Poppi
Poppi’s rebrand, with its bold, bright packaging, was designed to attract a younger audience. The brand is a clear example of how important branding is for a company.
Originally, Poppi’s branding as ‘Mother’ featured the classic healthy prebiotic soda in a simple glass bottle, which didn’t resonate with younger consumers. The rebrand introduced vibrant cans, a name change and collaborations with influencers like Alex Earl on TikTok. These changes contributed to the brand’s surge in popularity, ultimately leading to PepsiCo’s recent acquisition of the company.
“Poppi’s journey is a textbook example of how branding and positioning can make or break a product’s success. The product itself didn’t change—just the way it was presented to the world,” said Hannah Kim Founder & marketing lead of Social Pursuit.
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