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The Student News Site of Saint Louis University

The University News

Coke fizzles out: Cola wars- Pepsi secures 10-year contract on campus

Coke+fizzles+out%3A+Cola+wars-+Pepsi+secures+10-year+contract+on+campus
Erik Engelskind, a service tech for Pepsi, inspects a vending machine in the Busch Student Center. Photo by: Noah Berman / Photo Editor

Coke or Pepsi? Saint Louis University started the year with a new answer to this question: The school picked Pepsi.

The University signed a 10-year contract with PepsiCo Inc. in early January, replacing the school’s prior 12-year agreement with the Coca-Cola Co.

This spring, students should expect to find Pepsi beverages in place of the old Coke products that could be found on campus in years past. The Pepsi line up includes brands like Gatorade, Mountain Dew, Tropicana, Lipton Iced Tea, Sobe, and Aquafina water.

“Coke’s contract expiration date was Dec. 30, 2010 which prompted a competitive bid process for the University’s beverage pouring and vending rights, Annaliese Giordano, Contract Management Specialist at SLU said. “It is the University’s policy to collect competitive bids when purchasing decisions need to be made so the University is ensured the best combination of price, service and quality the market can offer.”

Both Coca-Cola and Pepsi submitted contract proposals. At the end of the bidding process, the University decided that Pepsi’s offer was the strongest.

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“Pepsi offered superior financial support, improved customer service, highly-rated product line, enhanced marketing support, reasonable contract terms and the option to sell Coke at select on-campus locations, Giordano said.

Some of the benefits that come with the new contract include increased funding that will be put toward activities at the Simon Recreation Center, Billiken Club events and student organization initiatives. Pepsi will also allocate funding to the Billiken athletics program and provide additional support to the athletes with Gatorade products and merchandise, Giordano said.

The Pepsi contract also appealed to the University because of its enhanced sustainability program, Giordano said. All the new vending machines are Energy Star rated, making each energy efficient, and Pepsi will provide the school with a green machine recycling kiosk.
“This machine accepts empty bottles and cans for recycling, Giordano said, Pepsi will donate proceeds to disabled veterans.

Kevin Morris, a spokesperson for the Coca-Cola Company, wished SLU the best of luck with the new contract when asked for a comment.

“It has been Coca-Cola’s pleasure to serve the students, faculty, staff and broader Saint Louis University community for the last 12 years,” Morris said. “We look forward to the chance to be a partner to provide the non-alcoholic refreshments to Saint Louis University in the future.”

Giordano said that the transition from Coca-Cola to Pepsi has been going well, with Pepsi replacing over one hundred vending machines around campus and installing new coolers and fountain equipment. The switch, however, was not without its difficulties.

“We put some more vending machines in the auditorium than were there previously so there was a power surge which caused some electrical problems,” said Manager of Operations, David Young, “The Pepsi machines were using more power than the Coke machines.”

Both Giordano and Young report, however, that the issue has been addressed and fixed.
“It’s good to go now,” Young said. “Nothing catastrophic.”

Pepsi may have won the bid for the University, but it has yet to win the collective heart of the student body. Some in the SLU community remain opposed to the transition.

““I don’t like it. I’m a Coke drinker. Cherry Coke especially,” said freshman Danielle Huster. “Cherry Pepsi just isn’t the same. And Pepsi doesn’t have [Minute Maid] lemonade or Powerade. I just don’t like it.”

Students against the new beverages are in luck, however, as the Pepsi contract allows for limited Coca-Cola products to continue to be sold in places like the C-store, Fusz Food Court, and Grand Market.

Some SLU students welcomed this change enthusiastically.

“I prefer Pepsi,” said junior Amanda Miller. “Freshman year I was so disappointed because all my friends had Pepsi at their schools.”

Other students don’t feel as though the new contract will have that great of an impact on their lives.

“I don’t drink pop at all,” said freshman Abby Wolfenson. “So I really have no preference.”
The replacement of Coke by Pepsi is set to be completed this week.

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