Sign in or Register

Already a member?

Sign in

Or sign in with your account on:

Not a member yet?


Sodastream: A Political Landmine?

By  +Follow May 31, 2014 8:25AM
Tickers Mentioned:

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.

Liked What You Read? Join Equities.com and Connect With Your Favorite Financial Experts FOR FREE! Members of Equities.com gain access to our leading financial news and content, active social investment community, proprietary research tools including the 2014 Small-Cap Stars, E.V.A. reports and more.

Results for SODA
Zero Filter
21 Dec 14 16:28:05
$TGT near me surprisingly sold out $SODA machines - just refills & mix left
Zero Filter
20 Dec 14 09:55:12
If $SODA ignites U.S. consumer atten with #Toluna study houses device consume 43% > water/-based drinks possible game-changer @GuyAdami $PEP
20 Dec 14 06:45:28
“@Inbox101: Looks like there was some activity here $SODA http://t.co/mbs2MR7n1x” #indepthresearch
Teddy Vallee
20 Dec 14 06:15:50
Looks like there was some activity here $SODA http://t.co/LmwalOpt1v
19 Dec 14 13:59:57
RT @CNBCClosingBell: ON NOW: @sodastream CEO Dan Birnbaum in an #exclusive with @Kelly_Evans. Tune in! $SODA
Zero Filter
19 Dec 14 13:54:30
$SODA CEO #CNBC initiates #battlecry reestablish rel USA global study show houses with @SodaStream drink 43% more water/day @jimcramer $PEP
Media Sentiment
19 Dec 14 13:50:00
$SODA received a new alert. Find out why at http://t.co/5lwmDm2SCs #stocks #daytrading #trading #mkt #NYSE #NASDAQ #markets 417
19 Dec 14 13:47:55
$SODA moving up in after hours after ceo interview on @CNBC
19 Dec 14 13:46:15
$SODA is such a goof, like really? A water company? Carbonated drinks are so cheap lol
19 Dec 14 13:45:11
The $SODA CEO interview on cnbc is fascinating.
CNBC's Closing Bell
19 Dec 14 13:41:07
ON NOW: @sodastream CEO Dan Birnbaum in an #exclusive with @Kelly_Evans. Tune in! $SODA
19 Dec 14 13:40:59
$SODA ceo on now
19 Dec 14 13:37:05
$SODA ceo coming up on @CNBC
Christian Lamarco
19 Dec 14 12:09:36
$SODA not the hottest this holiday season http://t.co/SCCKlSp787
Steven Schoenfeld
19 Dec 14 07:31:58
Yes #BDS is insane @wesbury: This is insane: "Harvard to Stop Buying $SODA Machines Because a ‘Microaggression’ http://t.co/zewKDdkax8 "”
Klaus Daimler
19 Dec 14 06:59:56
Wow first time I've heard the new $SODA ad in which all it mentions is sparkling water. Trying desperate to not mention core product. Hmm
Roddy Boyd
18 Dec 14 14:19:55
Thinking of the Israeli-Palestinian disputes, $SODA & the broader carbonated water industry spring to mind. #Jewseltzer? #hegemonwater?
ken luskin
18 Dec 14 10:00:00
$SODA Is SodaStream a takeover candidate? http://t.co/xcDWMLXoGG via @hvst
Klaus Daimler
17 Dec 14 20:21:52
$FINL $GNC $GT three newer ideas doing great $SODA $HTZ not so much. Here at 27-28 $TRN no idea as well.
17 Dec 14 14:11:52
$ECIG buyout target of $0.50. 400% upside. Positive EBITDA and $200MM revenue in 2015 $BG $SODA $PANW traders read: http://t.co/xi3978GuDs
Market Int Center
17 Dec 14 08:26:09
SodaStream $SODA Trading Near $21.57 Resistance Level ( http://t.co/LAcEyxrojO )
17 Dec 14 08:21:02
$soda squeeze
17 Dec 14 06:43:11
$PEP $SODA: Will SodaStream International (NASDAQ:SODA) Benefit From Its ... http://t.co/vc3SlzK9tz http://t.co/1pJXXZrH0p
US Banking News
17 Dec 14 06:20:24
Sodastream International Ltd Receives Consensus Hold Rating from Analysts $SODA http://t.co/jQqZb77nLj
17 Dec 14 04:53:05
$SODA: Top Earnings Per Share Stocks: Sodastream (SODA), Francesca's ... http://t.co/1xY4fkr3Hr http://t.co/Z6vq4icKav
16 Dec 14 22:33:23
SODA -0.10% Stock Charts $SODA SodaStream International Ltd. (NASDAQ) Last Updated: 12/17/2014 00:33:28 SODA S http://t.co/IpnHAbaJWH
Dan Chapman
16 Dec 14 20:30:19
$SODA (SodaStream) stock holding firm at 20.4 support area, details http://t.co/LpVhxC5wwU http://t.co/2QMKb4FeEi
Emmie Pankhurst
16 Dec 14 10:59:27
@themotleyfool As a $PEP stockholder, I hope so. Boycotting $SODA because they're evil. http://t.co/MMluvxxt4E
Stock Advisor Team
16 Dec 14 09:34:54
RT @themotleyfool: Is $SODA's partnership with $PEP already going flat? Pepsi's CEO seems to think so: http://t.co/WRG0ifwTx7 http://t.co/…
The Motley Fool
16 Dec 14 09:28:01
Is $SODA's partnership with $PEP already going flat? Pepsi's CEO seems to think so: http://t.co/WRG0ifwTx7 http://t.co/LQIdq7AyB6
Zero Filter
16 Dec 14 06:10:34
Woke up thinking given global distribution in place imagine $SODA properly run by highly intelligent PE or powerhouse co $SPY $PETM $KO $PEP
16 Dec 14 06:03:07
$SODA $KO $PEP: What Pepsi Really Thinks of Its Partnership with SodaStream http://t.co/jacqpiVMiC http://t.co/FtkdK6XUZv
Mr. S
16 Dec 14 05:54:47
RT @OpenOutcrier: $SODA hearing vague chatter of possible Pepsi stake again
Open Outcrier
16 Dec 14 05:54:41
$SODA hearing vague chatter of possible Pepsi stake again
News Box
15 Dec 14 12:23:10
$SODA $PEP: Pepsi's Foray Into The Home Carbonation Category With ... http://t.co/6KfEKoEnhS http://t.co/Ln3c6kQ4NP
Ichabod's Cranium
15 Dec 14 11:33:12
Commented on: "Why I Am Not Long SodaStream" http://t.co/3pSyi4dQ5B $SODA
Aron Pinson
15 Dec 14 10:20:29
$SODA Jet Home Starter Kit For Just $29.99 Shipped - The cheapest price it has EVER been on $AMZN - http://t.co/Xf6Pdw1KZk cc @firstadopter
D Robertson
15 Dec 14 09:36:50
@deltaStrikejj like $CROX $SODA and soon to be $GPRO, all fads
Market Int Center
15 Dec 14 08:48:29
SodaStream $SODA Showing Resistance Near $21.89 ( http://t.co/nVfcY2aTYA )
Scott Smith
14 Dec 14 19:04:52
Commented on StockTwits: ....cept $SODA / couldn't help myself :) http://t.co/xd0q7p00gD
Ichabod's Cranium
14 Dec 14 17:37:24
Commented on: "Why I Am Not Long SodaStream" http://t.co/3pSyi4dQ5B $SODA
Kooler Aid
14 Dec 14 17:35:59
$GMCR next but dont go bananas on it. The offer on table was 146 months ago funny enough almost the LVN above... $MNST $KO $SODA
14 Dec 14 08:38:04
$SODA: Key Takeaways From A Prominent Bullish Thesis On SodaStream ... http://t.co/2ROOHEBewX http://t.co/qf17znzvpd
Seeking Alpha
14 Dec 14 08:32:03
Key Takeaways From A Prominent Bullish Thesis On SodaStream http://t.co/ACXOtpiuke $SODA
By  +Follow May 31, 2014 8:25AM



blog comments powered by Disqus

About us

Equities.com is the most advanced interactive online social ecosystem for the financial industry, serving as a resource center and next-generation communication platform that connects self-directed investors with public issuers, market experts, and professional service providers and vendors. Registered members can leverage our exclusive proprietary research tools such as the Small-Cap Stars, which outperformed 90% of all small-cap mutual funds, and robust do-it-yourself E.V.A. research reports. The Equities.com Issuer Dashboard is the ideal tool to communicate and manage investor awareness campaigns to the investment community, as well as to access valuable resources to help your company grow.

Market Data powered by QuoteMedia.
Copyright © QuoteMedia. Data delayed 15 minutes unless otherwise indicated. Terms of Use.