Costco Reverses Pepsi Decision, Announces Switch to Coca-Cola
In a surprising move, Costco has announced that it will be discontinuing Pepsi products at its food courts and transitioning to Coca-Cola offerings.
During a recent shareholder meeting, CEO Ron Vachris confirmed the change. "This summer, we will be converting our food court fountain business back to Coca-Cola."
The decision follows rumors and speculation about a potential switch. In 2013, Costco had transitioned from Coca-Cola to Pepsi to maintain its iconic $1.50 hot dog combo price.
"The $1.50 hot dog price is safe," CFO Gary Millerchip stated in 2024.
Rejection of DEI Rollback
The Coca-Cola announcement coincided with a shareholder vote on an anti-diversity, equity, and inclusion (DEI) proposal. Over 98% of shareholders voted against the proposal.
Costco Chairman Hamilton James emphasized the importance of fostering an inclusive and appreciative work environment, which he believes aligns with the company's success.
"We owe our success to our over 300,000 employees who serve our members every day. It is important that they all feel included and appreciated."
Supporters of DEI praised the decision, particularly in light of recent rollbacks in diversity and inclusion initiatives.
The Rev. Al Sharpton expressed support for businesses that uphold DEI practices, stating, "Costco has stood firm, proving that doing the right thing is also smart business."