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Thanks To Inflation, Your Pepsi Products Will Get More Expensive

Image © pepsico.com

If you are a consumer that enjoys Mountain Dew, Pepsi, Lipton Tea, Aquafina Water, or the AMP line of energy drinks; Be prepared to pay 3 to 5% more for your products.

These price increases are directly linked to inflation.

In a memo sent to retailers dated June 29th, 2012, PepsiCo Foodservice’s Senior Vice President Timothy F. Trant stated the following:

Commodity inflation has been very high over the past several years and will continue in the coming year, so internal productivity must be supplemented with price actions in order to continue to deliver the high quality products and services you have come to expect from us.
With that in mind, we are announcing price adjustments that will increase the cost of our products +3-5 percent depending on the brand and package, PBC will honor existing pricing as published through 7/28/12, and these changes will take effect on 7/29/12.

Beginning on July 29th – the day of the Brickyard 400 NASCAR race in Indianapolis – the retail price of your PepsiCo products will be rising.

Which commodities are feeling the inflation?  Could it be corn?  Most of PepsiCo’s products do contain High Fructose Corn Syrup, after all.  Is it the plastics?  Is it the aluminum?

Mr. Trant had not returned our phone call for comment at the time of publishing.  The post will be updated accordingly should we receive comment from Mr. Trant, or another PepsiCo representative.




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