Dr Pepper, the oldest of the major soft drink brands in the US, was created and introduced in Texas in 1885, predating Coca-Cola by a year. It stands out for its unique blend of 23 fruit flavours, making it distinct from traditional colas or root beers. Over the years, it has gained recognition as a remarkable Texas invention and an alternative to Coca-Cola and Pepsi. In the USD 471 billion carbonated soft drink industry worldwide, Dr Pepper holds a significant share which makes it the 3rd most dominant player .
While it may still lag behind the two cola giants, Dr Pepper is closing the gap. Notably, it experienced over a 40% growth in revenue over the past three years, outpacing PepsiCo, which saw a modest 3.5% revenue increase during the same period . It also experienced impressive food delivery penetration growth of 20% in some of its major markets in 2022, according to Dashmote's data.
Today, numerous prominent franchises, such as McDonald's, KFC, and Burger King, are establishing collaborative relationships with Dr Pepper in the US. In this article, we investigate the proportions of stores within these franchises that offer Dr Pepper through food delivery platforms. We also reveal whether any of these franchises offer either or both of the cola brands, specifically Coca-Cola and Pepsi.
Based on Dashmote’s data, among the 24 major franchises selling Dr Pepper in the US via Uber Eats, only 5 franchises, namely Burger King, Wendy's, Chick-fil-A, Jack in the Box, and Chili's, have all of their digital storefronts featuring Dr Pepper. Following them are 7 franchises, including McDonald's and Sonic, with 99% of their digital storefronts in the US offering Dr Pepper. This implies that over 200 McDonald's locations in the US do not include Dr Pepper in their menu on Uber Eats. Identifying these stores and establishing partnerships with them not only opens up new market segments for the beverage giant but also enhances its brand presence on a broader scale.
If you believe that 99% is still a satisfactory figure, it's worth noting that there are franchises where less than 90% of their stores on Uber Eats offer Dr Pepper. As shown in the graph, only 79% of KFC's digital storefronts, 59% of Taco Bell's, and 44% of Papa John's Pizza throughout US Uber Eats feature Dr Pepper on their digital menus. This presents a significant opportunity for Dr Pepper to identify these specific stores and expand its digital presence within the food delivery industry. For more information regarding the locations that do not offer Dr Pepper or any other beverage brand on their menus, please get in touch by emailing us at firstname.lastname@example.org.
The fierce competition between Coca-Cola and Pepsi is evident in the fact that most franchises predominantly offer either of these two brands. However, Dr Pepper diverges from this cola-centric competition and takes advantage of its digital storefront presence. Out of the 60.5K franchise digital storefronts on Uber Eats selling Dr Pepper, 28.5% (comprising 7 franchises) offer Pepsi, while 71.5% (involving 18 franchises) feature Coca-Cola. Remarkably, Wawa, with around 1K digital storefronts across the U.S. on Uber Eats, stands as the sole U.S. franchise that offers all three beverage options: Pepsi, Coca-Cola, and Dr Pepper.
Dr Pepper's unique identity provides ample opportunity for its digital expansion within the U.S. food delivery sector. The brand’s food delivery market presence in the U.S. remains lower than that of Coca-Cola. To capitalise on this gap, Dr Pepper can leverage data analytics to identify and access markets that currently exclusively offer Coca-Cola or Pepsi, as it has already proven its popularity as an alternative to colas. According to Dashmote's data, several U.S. franchises, such as Subway, Dunkin', Pizza Hut, Chipotle Mexican Grill, Little Caesars, and Jersey Mike's Subs, have yet to include Dr Pepper on their food delivery menus. Collaborations with these franchise partners offer mutual advantages by diversifying their offerings and expanding Dr Pepper's digital presence.
Dashmote is dedicated to assisting enterprises in overcoming obstacles and achieving success in the digital market space. As the foremost provider of big data and AI analytics solutions in the food and beverage (F&B) sector, we enable companies to make informed strategic choices by offering thorough analysis and invaluable insights into the food delivery market and F&B trends. Interested in taking your online business to the next level? Feel free to reach out to our team at email@example.com. Together, we can establish a robust online footprint for your Food & Beverage enterprise.
If you find this article valuable, you may also be interested to check out more of our blog articles on Dr Pepper, such as the global analysis of Dr Pepper or Dr Pepper VS Pepsi in the US Food Delivery Market.
Follow us on LinkedIn @Dashmote to stay up-to-date with the latest food delivery data insights on a global scale.