PepsiCo, Ocean Spray in alliance for Latin America
Jan. 17, 2012
PURCHASE, N.Y. — PepsiCo, Inc. and Ocean Spray Cranberries, Inc. have formed a strategic alliance for Latin America that will give PepsiCo exclusive rights to manufacture and distribute a portfolio of cranberry and blueberry beverages through its Latin America Beverages division.
Financial terms of the deal were not released.
“We see tremendous opportunities to grow our beverage business in emerging markets throughout Latin America, and we continue to take steps to strengthen our brand portfolio through product innovation, marketing and strategic partnerships,” said Luis Montoya, president of PepsiCo’s Latin America Beverages division. “Ocean Spray is already a great PepsiCo partner in the U.S., and we believe this will be a winning combination for Latin American consumers and customers. It positions us well to continue to gain share of the growing juice category.”
The companies will share marketing responsibilities for the products and will work together on product innovation. The alliance is for 20 years and includes countries in the Caribbean, Central America and South America.
“We are eager to continue building on our successful partnership with PepsiCo as it will help us expand consumer access to Ocean Spray products in important international markets like Latin America,” said Stewart Gallagher, chief operating officer of global partner operations for Ocean Spray. “We believe this is a great opportunity to further promote and deliver the health and nutrition benefits of the cranberry to consumers in Latin America.”