PepsiCo Acquires Poppi, Accelerating Entry into Prebiotic Beverage Space

PepsiCo is making a strategic bet on gut health — acquiring Poppi, the fast-rising prebiotic soda brand that has surged in popularity with health-conscious Gen Z and millennial consumers.

The acquisition underscores PepsiCo’s intent to expand its functional beverage portfolio, particularly in segments aligned with wellness and clean-label demand. Poppi’s brightly branded sodas — marketed as low-sugar, apple cider vinegar-infused alternatives to traditional soft drinks — have become a category standout, with viral growth driven by influencer partnerships, savvy TikTok campaigns, and retail placement in Whole Foods, Target, and beyond.

For PepsiCo, the deal is more than a product play — it’s a cultural alignment move. Poppi has cultivated a lifestyle-driven community around digestive health and modern wellness, two pillars increasingly central to beverage innovation.

As traditional soda volumes decline, major players are racing to diversify portfolios with functional, better-for-you offerings. This acquisition positions PepsiCo to tap into the evolving consumer narrative: that soda can still be enjoyable — and good for you.

CorpBrief Insight:The Poppi acquisition signals a broader market shift: legacy beverage giants aren’t just experimenting with health-forward trends — they’re acquiring them outright. Expect more M&A in this space as gut health becomes a key frontier in functional CPG innovation.