Dr Pepper scored with Gen Z in 2024.
Dr Pepper has always been a little different. Yet, somehow, things were even more different this year.
Making headway with Gen Z and multicultural consumers, and scoring with traditional and digital media, the 139-year-old brand caught rival Pepsi in the soda wars and is gaining share in an otherwise soft market for soft drinks.
Trends have come to Dr Pepper rather than the other way around. Gen Z demands such as customization and personalization have amplified Dr Pepper’s longstanding equity in uniqueness, and rewarded its emphasis on its distinct flavor.
“People are looking for differentiated experiences,” said Andrew Springate, who oversaw the brand for most of the year as chief marketing officer of U.S. beverages for parent company Keurig Dr Pepper before being promoted in November. “And, you know, everyone wants to be considered unique. And I think Dr Pepper is a brand that is just a little bit left of center, and celebrates uniqueness and individuality, and that’s been a great thing for us.”
While the soda industry has been rocked by fast-growing challengers such as Olipop and Poppi, Dr Pepper may be benefiting from the trends lifting them, said John Craven, editor-in-chief of the beverage industry publisher BevNet, citing “a broader consumer trend towards beverages that feel niche and unique.”
“Despite it being a large brand in its own right, Dr Pepper has always had an outsider image—and combined with its unique flavor and wide distribution, is filling this need for some consumers,” he said.
While its soda competitors talk about how they can accompany food, Dr Pepper has become something of a culinary ingredient itself, starring in viral “dirty soda” mashups or seen paired with pickles or hot dogs. The brand partnered with Coffee Mate this year on a co-branded coconut lime-flavored creamer meant to be mixed with the soda (a Creamy Coconut Dr Pepper flavor extension was also introduced this year). Dr Pepper also teamed with Jack Link’s on co-branded meat sticks and jerky.
Dr Pepper’s social personality is quick-witted and internet-savvy, meant to complement the intensity of brand love from fans. It has the largest following (1.5 million) and most engagements of any soda brand on TikTok, and its Instagram engagements were up by nearly 200% this year, said Springate.
“My generation was ‘Have a Coke and a Smile.’ And it feels like my daughter’s generation is ‘Have a Dr Pepper and a Smirk,’ because they’re able to have so much fun with it,” said David Carter, principal of the Sports Business Group and adjunct professor of sports business at the University of Southern California.
Dr Pepper’s social posts are led by Deutsch, its agency for nearly 16 years. The agency was involved this year in the introduction of the “It’s a Pepper Thing” tagline, and three new spots showing how disparate pairs could bond over their love of Dr Pepper.
All three ads in the series scored in the top quartile of those ranked by Ace Metrix, indicating high consumer approval. “Just as important, we actually saw sales performance really go up so we’ve actually gained share this year,” Springate said. “We’re up almost a tenth of a share point, and that’s a big deal in this category.”
Dr Pepper’s college football serial ad franchise, “Fansville,” reached its seventh season, highlighted by another brand mashup—the pairing of Dr Pepper and the supplemental insurance provider Aflac. That series is a “relevant yet irreverent” way to connect with the college football community, said Carter. “They keep it fresh year after year. They’re nimble enough to incorporate all the controversy and the campiness of college football.”
“We obviously feel like we know the consumer well, and we’ve been in a really good sweet spot,” Springate said. “So much of our growth this year has come on the base Dr Pepper brand. So much growth has come from the Gen Z and Hispanic populations that we’re interested in winning with.”
