It always seems to happen this way. I finally go out and buy a SodaStream International
The new Revolution system will further cement SodaStream's home soda system as the must have small appliance for every kitchen, at least in my humble opinion. The product continues to become an even healthier alternative to name-brand soda, introducing a line of flavors using all-natural stevia as a sweetener, helping them check in around a mere 5 calories per serving. Combine that with the addition of Kraft Foods'
Look out, Big Soda?
SodaStream's home system is still relatively new to the mainstream, if it is even there yet, but I don't think "Big Soda" is quaking in its bottles yet. Coca-Cola
There is still something to be said about the convenience of simply buying your sweet drinks already mixed and in a convenient, ready-to-go container. Decades after we started brewing our own coffee at home, millions still flock to the local Starbucks for their morning caffeine fix. It will definitely take a change in behavior from the often fickle American consumer for SodaStream to be fully embraced in the U.S., but I feel that even a 5% conversion rate for the product would equal sizable returns for the company and its investors.
The model seems to be working
The old "razor and blade" model is very apropos when it comes to SodaStream. It continues to improve the "razor" by offering new products that continually make it easier to use, while simultaneously changing the variety of "blades" available, which are the products that folks will hopefully continue to buy. Increases in unit sales of flavors and carbonators bear this out, but investors were slightly spooked when sales in systems went up only 8%.
Soda for everyone!
SodaStream seems poised to maintain its Rule Breaker status, with only minor competitors in the home-carbonation game. Its systems are found in the small-appliance section of major retailers across the country, and its wide variety of flavors provides options for even the pickiest consumer. To keep an eye on what is going on with this exciting company, feel free to add SodaStream International to My Watchlist, a free service from The Motley Fool to bring you all the news and analysis about the companies you care about most. Get started by using the following links.
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