SodaStream Launches Flavor Capsules

Zacks

Going beyond the traditional flavored syrups, SodaStream International Ltd. (SODA), recently launched flavored capsules, SodaStream Caps, to be used exclusively with its soda-making machines.

SodaStream Caps are flavor concentrates in a small single-use capsule which can be placed onto a carbonated SodaStream bottle to make the perfect soda with pre-measured flavoring.

SodaStream Caps will be available in cola, diet cola, ginger ale and diet pink grapefruit flavors in packages of eight. The capsules, priced between $4.99 and $9.99, would initially be available exclusively at Bed, Bath & Beyond (BBBY).

SodaStream’s soda-making systems offer a healthier way of enjoying fizzy drinks at home (by mixing flavored syrups with tap water) than the traditional soft drinks sold by beverage giants PepsiCo, Inc (PEP) and The Coca-Cola Company (KO). The SodaStream Caps are made from 100% recyclable materials and offer a much more convenient way to enjoy freshly made soda at home.

Breakthrough innovations like Caps allow SodaStream to reach out more extensively to the growing number of consumers who prefer healthier beverages.

Based in Israel, this Zacks Rank #3 (Hold) 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.

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