Keurig Green Mountain (NYSE:GMCR) has grown larger than just a cuppa. Keurig (NYSE:GMCR) has gained status of a standard in the single-serve coffee, with its brewer and K-Cup portion packs. The company that has set several standards in the brewing business has announced to start its own line of carbonated beverages in 2015.
According to sources, a separate branch, Keurig (NYSE:GMCR) Cold has been in the pipeline for quite a while now, and was being targeted for an expected launch towards the end of September, which brings end to the company’s fiscal year as well. It was also in talks with Coca-Cola (NYSE:KO) as a potential investor as well as for provision of syrup recipes. In the earlier part of the month however, the company announced its plans to make investments worth $220 million to buy a company based in Europe that has been planning to launch its own multi-drink system, based on single portions. This will give the company complete ownership of the European brand. Keurig (NYSE:GMCR) already own stakes, worth 15% in Bevyz.
This year has brought about a lot of popularity of Bevyz that is a master in the art of making hot and cold beverages. The company’s hardware partner is projected to be Cuisinart and it has partnered PepsiCo (NYSE:PEP) for flavor provision.
Bevyz and Keurig (NYSE:GMCR) had plans to function as two separate entities, and launch a line of home-brewed soft drinks in a market that seemed quite promising at that time. But it is now being wondered if the company plans to go ahead with this idea or will it work with a combination of both patents, and create a best model of each of the machines to launch an improved Keurig (NYSE:GMCR) Cold system, come 2015.
Few years ago, the market would have been quite excited about such endeavors, however, the enthusiasm seems to have fizzled out, with the beverage industry losing the pompous trends. In light of soft drinks rendered unhealthy, the market in US seems to have declined. Even the leader in the market, SodaStream (NYSE:SODA) has found it tough to keep its head above the water.
Analysts see this new development by Keurig (NYSE:GMCR) as not being time appropriate, as Keurig (NYSE:GMCR) seems to be doing quite well in its current line of business. However, it seems that the current dip of 8% in 2014, after boasting remarkable figures for years, Keurig (NYSE:GMCR) wants to distribute its eggs in to different baskets. There is a lot of hope attached with its brewing business, as latest products such as Keurig (NYSE:GMCR) 2.0 coffeemaker look promising.
While the sugared drinks are losing their long kept fame, Keurig (NYSE:GMCR) has established itself as a strong contender in the home-based beverage market. If it can make its new venture a success, it will yield excellent results.
Will it continues to make efforts in keeping its backing companies pleased with it, Keurig (NYSE:GMCR) aims to set itself as the main driving force in the business.