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Diving overview:
- Keurig Dr Pepper on Monday unveiled a series of changes to its executive ranks, including the creation of a new position to oversee the company’s fast-growing energy drink business. Justin Whitmore, who previously served as the company’s chief strategy officer, will run the division, which includes stakes in Ghost and C4 Energy.
- The company named Eric Gorli as president of its $9 billion U.S. soft drinks business, which includes soft drinks, tea and energy.
- Keurig Dr Pepper also named Sean Cronican as chief customer officer and Drew Panayiotou as chief marketing officer. Management will report to CEO Tim Cofer.
Dive Insights:
Keurig Dr Pepper may be best known for the beverage that bears its name, but the company has been moving aggressively in recent years to expand its presence in the fast-growing, trendy category through partnerships and acquisitions.
It currently owns brands such as Bai, Core, Snapple, 7Up, Crush, Nantucket Nectars, and Yu-Hoo. It also invested in Chobani, following earlier investments in coffee maker La Colombe and non-alcoholic beer maker Athletic Brewing. But one of the biggest deals happened last year., When Keurig Dr Pepper acquired energy drink maker Ghost for more than $1 billion.
Keurig Dr Pepper has dabbled in this space before, buying a 30% stake in Nutrabolt, maker of beverages such as C4 Energy and Xtend Energy, for $863 million in 2022 and investing in A Shoc earlier the same year. Also in September, it signed a deal to sell and distribute Black Rifle Coffee’s new line of ready-to-drink energy drinks.
Still, spending more than $1 billion indicates Keurig Dr Pepper is serious about energy. Appointing Whitmore to run the operation will allow the company to give it extra attention, especially when competing against giants such as Red Bull, Monster and Chelsea.
Energy generates more than $1 billion in retail sales annually. Keurig The company said Dr Pepper and the new role “will help us realize substantial growth going forward.”
Meanwhile, Gorli’s appointment will provide an experienced leader who is knowledgeable about the beverage industry. Keurig Dr. Pepper’s strategy and changing consumer preferences. Keurig Dr Pepper has a portfolio of more than 125 owned, licensed and partner brands covering a variety of beverage types, according to the company’s website.
golly He replaces Andrew Archambault, who leaves next month to run Hershey’s U.S. confectionery business.
Gorli joined the company in 2015. He has nearly 30 years of experience in the beverage industry, including nearly 20 years at Coca-Cola. during his time Keurig Dr Pepper has been involved in many aspects of the business, including pricing, promotions, and growth strategies. He most recently served as Chief Commercial Officer.
“KDP is evolving its leadership structure to drive the next phase of growth,” Cofer said in a statement. “We have worked hard to build deep talent and are fortunate to have seasoned and forward-thinking leaders. I am ready to take on this important role.”
