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Sodastream: A Political Landmine?

By  +Follow May 31, 2014 8:25AM
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sodastream, sodastream versus coke, sodastream West Bank and Gaza Strip, sodastream scarlett johanssonSodastream (SODA)  machines are not a new product. They are based a concept dating back to 1903. They are doomed to repeat their rise and massive fall of the '80s, just as the novelty demand for “Frankie Says Relax” or “I shot JR” T-shirts dried up.

“Get busy with the fizzy”

In the '80s in England, Margaret Thatcher was in power, there were ongoing miner strikes, a Falklands war, along with many other crisis, money was in short supply in most homes. McDonalds (MCP) had not yet taken over the local chipper, and the British Commonwealth was in slow decline.

A History That Will Repeat itself

Sodastream appeared to help quench everyone’s thirst for soft drinks by offering a cheaper alternative than store bought cans and bottles. It is true that the hundreds of flavors were far from tasty, the Orange, Lime and Cola flavors were merely sucrose and food coloring and tasted nothing like their store bought counterparts. The systems were a blessing for some families in tough times. The ability to have the unique contoured bottle in your lunch pack gave some a feeling of superiority as their peers had a carton of milk or nothing at all. You took great care at lunch, if you broke the glass bottle, your parents would not buy a new one. Only three bottles came with the system.

As quickly as the economy recovered the soda stream systems sat on shelves collecting dust. Their growth in Europe again forged by continent that has been hit by the economic collapse but now with an added political specter hanging over the company.

New Design, New Marketing Strategy

Thirty years later they get a celebrity endorsement by way Scarlett Johannson, how can any man or woman resist any message delivered by such a loved personality. Now their concentrated syrups are geared at the more fitness orientated, health conscious and environmentally friendly. How many of us though about our carbon footprint in light of Scarlett’s message? “What Would Scarlett Do?” T-shirts at should have been sold.

SodaStream is Here in the US. So Whats Different Now?

SodaStream is under a very serious political pressure right now. Finland, Norway and Sweeden have all boycotted SodaStream Products manufactured in their parent plant in Mishor Adumim factory. Canadian religious and international human rights groups have ask for boycotts on all SodaStream products, citing Human Rights violations at plants and exploitation of employees.

SodaStream sold to Soda-club in 1998 and has previously been owned by Cadury Shweeppes. With Soda-Clubs aggressive marketing and environmental campaigns they seem to be creating an illusion that Chris Angel wouldn’t attempt, the smoke and mirrors are being dismantled.

While their market share and their 2010 launch on the NASDAQ echoed a new era for the company, how can they sustain their market share when its failed as model before.

An attractive spokesperson, a tug at the hearts for the environmentally aware, and an efficient healthy choice of syrup options will still not able to sustain long term as even without the political backlash and negative press the model did not succeed before.

Sodastream has had several advertising mishaps, a superbowl advertisement in 2013 was rejected as quickly as Janet Jackson excuse of wardrobe malfunctions due to their direct reference to Coke and Pepsi.

The novelty of SodaStream along with political package that can be debated ad infinitum will eventually wear thin. The fitness crowd will simply turn to alternatives, the environmental groups will soon catch wind of the Human Rights allegations, and the households on shoestring budgets will just not bother getting a new gas cylinder eventually.

 

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions.


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Results for SODA
Seehoo
24 Oct 14 20:38:07
Markets End Hectic Week On Positive Note $P $PG $SODA via @benzinga http://t.co/c2d3Xwq89Y
TickrWatch
24 Oct 14 20:35:41
SodaStream International Shot Up 16.19%, What's Cooking? $SODA http://t.co/bNh2wsdFMi
SPY_vrs_SPY
24 Oct 14 20:32:30
$SODA +15.4% running a test selling $PEP ’s Sierra Mist, Cranberry, Wild Cherry, peach & vanilla @ $WMT & $BBBY in Tampa & Orlando, Fl! $
jason chan
24 Oct 14 20:15:28
$SHLD, $ABEV, $SODA for monday.
GAVIN
24 Oct 14 19:48:21
i'm going to focus on fades next week on over extended/bloated stocks. $RGLS $BJRI $SODA $DRIVE $RMD $SPNC
Kym L
24 Oct 14 18:28:53
Earnings Wed $ADP $CAR $BIDU $BAH $CENX $CNW $ETN $FFIV $GRMN $GET $HSY $HES $H $PEIX $PSX $PSX $RL $SFLY $SODA $SO $SPWR $TRLA $WTW $WLP
JMS
24 Oct 14 17:16:05
RT @WizardofStocks: Don't worry, when $SODA is bought out or is 5 times higher in 2 yrs or less we can all talk about how much $$ I made.
Fahd El
24 Oct 14 17:09:18
overal good day, traded a bit 2 much tho. $AAL $ALK $APT $ESI $ETE $FB $FEYE $HDSN $ISIS $ISR $MACK $RGLS $SODA $TWTR http://t.co/2prN15vF91
Fahd El
24 Oct 14 17:06:11
$SODA..missed a huge huge move 2 the upside..tried 2 short but missed. http://t.co/T6B0DsaXg5
Beating the Market
24 Oct 14 16:33:33
New post: $SODA http://t.co/SWNYEftKfO
INVEX Banco
24 Oct 14 16:30:11
Títulos de $SODA fueron impulsados tras mencionar que está probando productos de la marca Pepsi
Bidness Etc
24 Oct 14 16:30:01
Sodastream is up 20% after news broke that the company may be collaborating with PepsiCo http://t.co/CfL8DQYIT4 $SODA $PEP
DailyStockPicks
24 Oct 14 16:14:24
Attn $SODA investors: U.S. government grants five open #Ebola waste permits. $SMED may also procure a contract http://t.co/Qf6xGOhRfA
Julie
24 Oct 14 16:04:43
RT @StockSignaling: After Hours Price Advances: $INVN $DECK $KTOS $MRK $SWN $ZMH $ELNK $BWLD $VALE $IPI $ARO $WEC $CY $FLR $SODA http://t.c…
David (no relation)
24 Oct 14 16:03:13
RT @StockSignaling: After Hours Price Advances: $INVN $DECK $KTOS $MRK $SWN $ZMH $ELNK $BWLD $VALE $IPI $ARO $WEC $CY $FLR $SODA http://t.c…
Dave
24 Oct 14 16:01:36
RT @StockSignaling: After Hours Price Advances: $INVN $DECK $KTOS $MRK $SWN $ZMH $ELNK $BWLD $VALE $IPI $ARO $WEC $CY $FLR $SODA http://t.c…
Stock Signaling
24 Oct 14 16:01:18
After Hours Price Advances: $INVN $DECK $KTOS $MRK $SWN $ZMH $ELNK $BWLD $VALE $IPI $ARO $WEC $CY $FLR $SODA http://t.co/Vtx6dLy0Nw #finance
Ron Smith
24 Oct 14 15:46:43
RT @FluentInFinance: #SODASTREAM jumps ~10% on reports from @BeverageDigest that it's testing #Pepsi products http://t.co/9wqI4tJN7s $SODA …
Alex Vieira
24 Oct 14 15:46:34
World’s Best Stock Traders Invest in Sodastream stock https://t.co/Rbw174NERU $SODA #Sodastream #stocks
sdh
24 Oct 14 14:51:38
thank you $SODA... helps offset my horrible trading this week...reduced loss to -$3,258 in one acct & +$695 in other http://t.co/LtRtn8WVCh
sdh
24 Oct 14 14:47:36
$SODA ~ +$7,214 today's gain.... http://t.co/dos5aa4mOE
iSENTIUM
24 Oct 14 14:30:16
iSENTIUM Post-Market Sentiment Report: Breaking alerts on $SODA, $ISIS, $P, $BMY http://t.co/m4KXBUngrP
RC
24 Oct 14 14:29:37
Weekly Scorecard | Momentum Trading with RaginCajun http://t.co/QrIQ7Layyc $SODA $DE $BLOX $DISH $EMC $COF MNKD
O T P i c k s . com
24 Oct 14 14:27:11
http://t.co/oHSUax81PW dDT : Gapper $SODA ! :-): dDT http://t.co/DZz78A48tJ http://t.co/oHSUax81PW
O T P i c k s . com
24 Oct 14 14:27:11
http://t.co/oHSUax81PW MiamiGent: ..three chances to exit $SODA for a profit, lol: MiamiGent http://t.co/cnMPAn11zu http://t.co/oHSUax81PW
O T P i c k s . com
24 Oct 14 14:27:11
http://t.co/oHSUax81PW MiamiGent: $SODA: MiamiGent http://t.co/PjZxPpJF0i http://t.co/oHSUax81PW
OTPicks.com
24 Oct 14 14:27:05
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OTPicks.com
24 Oct 14 14:27:05
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OTPicks.com
24 Oct 14 14:27:05
http://t.co/ceoRbQvp9t MiamiGent: $SODA: MiamiGent http://t.co/RMmlmel8rh http://t.co/ceoRbQvp9t
OTPicks.com
24 Oct 14 14:27:03
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OTPicks.com
24 Oct 14 14:27:03
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OTPicks.com
24 Oct 14 14:27:03
http://t.co/y9vrMnuZrk MiamiGent: $SODA: MiamiGent http://t.co/gIpX2bOkIq http://t.co/y9vrMnuZrk
OTPICKS.COM
24 Oct 14 14:27:01
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OTPICKS.COM
24 Oct 14 14:27:01
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OTPICKS.COM
24 Oct 14 14:27:01
http://t.co/RbJ4Ap16l1 MiamiGent: $SODA: MiamiGent http://t.co/X7s9ZVwACf http://t.co/RbJ4Ap16l1
OTPicks.com
24 Oct 14 14:27:00
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OTPicks.com
24 Oct 14 14:26:59
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OTPicks.com
24 Oct 14 14:26:59
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OTPicks.com
24 Oct 14 14:26:58
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OTPicks.com
24 Oct 14 14:26:57
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OTPicks.com
24 Oct 14 14:26:57
http://t.co/rruxxRYVwc MiamiGent: $SODA: MiamiGent http://t.co/1Fo9NownpK http://t.co/rruxxRYVwc
On Time Picks
24 Oct 14 14:26:55
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On Time Picks
24 Oct 14 14:26:55
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On Time Picks
24 Oct 14 14:26:55
http://t.co/ZO8wg1ovu2 MiamiGent: $SODA: MiamiGent http://t.co/W0mjJag4GS http://t.co/ZO8wg1ovu2
smart-ticker.com
24 Oct 14 14:13:52
Market close top stocks bull trade ideas: $DRIV $SODA $BJRI $RGLS $QLIK $KLAC $CQB $AGU $LGF $N
BigBoardScans
24 Oct 14 14:07:32
dDT : Gapper $SODA ! :-) http://t.co/H2k3rJ7yAR
Exposethebest
24 Oct 14 14:04:21
ClayTrader: * * $SODA Video Chart 10-24-14 * * http://t.co/hhndMvBKEM
Finamex
24 Oct 14 13:59:22
$SODA declaró que para 2015 venderá algunos sabores de la estadounidense PepsiCo Inc $PEP.
OTPicks.com
24 Oct 14 13:56:27
http://t.co/UUQeeS6eNk ClayTrader: * * $SODA Video Chart 10-24-14 * *: ClayTrader http://t.co/QFPDfK0e9J http://t.co/UUQeeS6eNk
ClayTrader
24 Oct 14 13:50:48
$SODA Stock Chart Analysis_ 10-24-14 - watch here: http://t.co/mqNZZcrPOG #stock #stocks #stocktrading
				
				
By  +Follow May 31, 2014 8:25AM
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