Coeur d’Alene-based Tractor Beverage Company announced last week that it has signed a long-term sales arrangement with Keurig Dr. Pepper as part of its effort to raise $60 million in growth funding.
Tractor Beverage touts itself as the “only certified organic, non-GMO” line of soft drinks. It directly markets to restaurants, which then offer the beverages to customers as fountain drinks.
The agreement with Keurig Dr Pepper is expected tap into the larger company’s production and marketing capabilities to expand Tractor Beverage’s corporate reach, CEO Kevin Sherman said in a news release.
“We believe this partnership will enable us to solidify our product leadership while leveraging the strength of Keurig Dr Pepper’s powerful distribution system to scale our influence in the food service industry,” Sherman said.
Terms of the deal between Tractor Beverage and Keurig Dr Pepper were not disclosed.
Tractor Beverage posted a projected revenue in 2021 of $40 million and expects that to grow to $70 million in 2022. The company has grown from selling beverages in 300 restaurants to about 3,500, said spokeswoman Chrystie Heimert.
“From the start, it’s been our goal to be a catalyst for a more accessible and sustainable food system,” Sherman said. “We believe business is one of the most powerful levers for meaningful change, and we’re thrilled to partner with Keurig Dr Pepper and work hand-in-hand to provide consumers with premium options when dining out of home.”
Derek Hopkins, president of the Cold Beverages division at Keurig Dr Peper said in the news release that consumers continue to seek new beverage options and experiences.
“We have built strong brands and relationships in the restaurant space, and this strategic partnership with Tractor Beverage complements our beverage portfolio and supports our commitment to deliver innovation and develop growth strategies with our customers,” Hopkins said.
Founded in 2015, Tractor Beverage built its business on offering sodas made with all-natural ingredients and less sugar, which is also pure-cane sugar, Heimert said.
The company, located at 147 E. Aqua Circle, Suite 2, in Coeur d’Alene, hopes to use its soft drinks to expand organic-farm practices which can provide a sustainable future for restaurants, consumers and farmers.
Tractor Beverage in 2021 was named to Fast Company’s annual list of the World’s Most innovative Companies.
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