PEP · News · 20261019N
KFC Beverage Partnership Loss
PEPSICO INC · 2026-10-19 · Importance 40 · Surprise 42 · In source text
KFC U.S. is ending its approximately 40-year beverage partnership with PepsiCo and switching to Coca-Cola products. The transition is expected to begin in January 2027 and be completed across U.S. restaurants by spring 2027. The change affects roughly 3,700–4,000 KFC locations and represents a loss of U.S. foodservice fountain distribution for PepsiCo.
Key facts
- KFC will shift its domestic beverage partnership away from PepsiCo starting in January 2027, with Coca-Cola drinks expected in all U.S. restaurants by spring 2027. source
- KFC U.S. is ending its 40-year beverage partnership with PepsiCo and switching to Coca-Cola products. source
- PepsiCo will lose KFC's long running U.S. beverage contract from January 2027. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| revenue | negative | contingent | — | KFC will shift its domestic beverage partnership away from PepsiCo starting in January 2027, with Coca-Cola drinks expected in all U.S.… |