PepsiCo is introducing two new iced coffee flavours to its ready-to-drink (RTD) range as part of its partnership with Italian brand Lavazza.
The arrival of Vanilla Latte and Cold Brew follows the introduction of Lavazza’s two milk-based products into the UK market over the last 12 months; Iced Cappuccino (June 2019) and recently introduced Double Espresso & Milk (May 2020).
As the fastest-growing flavour segment in the market at +314% YOY, the brand stated that the Vanilla flavoured coffee segment has played an important role in providing shoppers with their favourite coffee shop flavours (beyond with or without milk) in a RTD format.
While the more indulgent RTD coffee flavours continue to lead the market, the new trend for Cold Brew coffee is driving the growth in black coffee flavours (+86% YOY).
Cathy Graham, Senior Marketing Director at PepsiCo, commented: “Four in five adults in the UK drink coffee, yet just 17% have tried chilled ready-to-drink variants. We recognise that consumers are keen to enjoy the flavours from their favourite coffee shops in a more convenient, ready-to-drink format. With the launch of Lavazza Vanilla Latte and Lavazza Cold Brew, we hope to tap into this huge market, by combining premium Italian roast coffee and the segment’s fastest-growing flavours.”
She added: “Since partnering with Lavazza, we’ve seen great success from the launch of our Iced Cappuccino and Double Espresso & Milk products, both of which have helped establish Lavazza as a credible player in the market and exceeded expectations. As we continue to explore the consumer trends that help shape new innovations, we’re really excited with what the next stage of our RTD iced coffee range holds over the coming months and years.”
The Ready-to-Drink Coffee category is part of a strategic collaboration between Lavazza and PepsiCo, aimed at innovating in the rapidly growing segment. Following the 2019 UK launch, both companies have worked together to broaden the offering with new products, as well as expand into new markets, extending their RTD range into Germany, France, and Poland in 2020.