The Modern Retail Podcast PepsiCo thins portfolio and bets on better-for-you products
Dec 13, 2025
Allison Smith, a Modern Retail reporter specializing in retail trends and marketplace dynamics, joins Julia Waldow, who focuses on retail and commerce topics. They dive into the booming secondhand market, discussing how economic shifts and tech advancements fuel shopper interest. The appeal of used items for cost savings is highlighted, along with AI's role in enhancing platforms like ThredUp. The thrill of in-person estate sales is also explored, as younger shoppers seek unique finds, revealing the exciting dynamics of the resale landscape.
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PepsiCo Streamlines To Reignite Growth
- PepsiCo will cut about 20% of its product line to streamline and boost growth after pressure from Elliott Investment Management.
- The company aims to lower prices by creating supply-chain efficiencies and reinvesting savings into marketing and new products.
Cost Cuts Reinvested Into Repeat Growth
- Closing underperforming production lines should reduce costs and enable lower consumer prices across brands.
- PepsiCo plans to reinvest some savings into marketing and innovation to drive repeat purchases instead of relying on price hikes.
Better‑For‑You Innovation At Scale
- PepsiCo is pursuing 'better-for-you' innovation: prebiotic sodas, protein snacks, and simpler ingredient lines like Simply Naked.
- These moves align with consumer demand for fewer artificial dyes and higher protein, fiber, and whole grains.