Sprite Is So Popular That Pepsi Launched a New Lemon-Lime War

In January, PepsiCo introduced Starry, a lemon-lime soda that the company says is aimed at “a generation of irreverent optimists.” The real optimists, though, are Pepsi marketing executives, who are taking the soft drink maker’s fourth stab at a category in which success has proven elusive. Starry follows closely on the heels of Sierra Mist, which launched in 1999 and was shut down last year. Before that, Pepsi had Slice, started in 1984. And Slice followed Teem, a brand dating to the 1950s. In between was Storm, a misfire that never made it to market. “PepsiCo needs to try, try and try again until they get a brand that succeeds,” says John Sicher, a beverage industry consultant whose clients have included the Coca-Cola Co.

Pepsi is hoping Starry will do what the others couldn’t: help it stop, or at least slow, Coca-Cola’s Sprite. Researcher Euromonitor says 10% of all carbonated soft drinks sold in the US are lemon-lime, and Sprite and Sprite Zero account for almost three-quarters of that. With soda consumption falling by 12% in the last decade as Gen Z consumers seek healthier options, the real battle for producers is stealing market share from one another.